Employee recognition is a topic we frequently discuss here at the Asap Awards Blog. Something we haven’t discussed, however, is the true value of recognizing workers from an employer’s perspective. Some companies may brush employee recognition off as an unnecessary cost that yields nothing in return, but that couldn’t be futher from the truth. There are dozens of reasons why all companies, regardless of size and industry, can benefit from recognition. To learn more about the true value of employee recognition, keep reading.
Employee Engagement
A 2004 study performed by the Corporate Leadership Council (CLC) found that only a mere 11% of employees are actively engaged with a strong, positive attitude in their profession, while 13% are actively unengaged, and a whopping 76% fall somewhere in the middle. According to this CLC study, over 3 quarters of today’s workforce aren’t striving for excellence on the job. This study should serve as a real eye-opener to employers throughout the country.
The good news is that the study found that “elevating employee engagement” improved discretionary effort by 20% and employee retention by as much as 87%. By creating more engagement among employees, there’s a far less chance of them wanting to look for another job.
Reported Benefits of Employee Recognition Programs
Still on the fence about implementing an employee appreciation program in your workplace? Yes, running programs, such as employee-of-the-month, costs money, time and resources. Employers must select a reward, grading system, and inform employees about the new program. But the fact of the matter is that employee recognition programs are well worth the minimal investment in the long run. Here are some of the top reported benefits of running them:
- Improved employee engagement
- Improved return on investment (ROI)
- Improved customer retention
- Improved employee retention
- Less work-related accidents
Employees Leave Because of Lack of Recognition
Workers may leave their job for a number of reasons; perhaps they received an offer for a higher paying position elsewhere, or maybe they’re moving out of state. While these are just a few common reasons why workers tend to leave their jobs, the single most common reasons is because of lack of recognition. When a worker isn’t being recognized for his or her hard work and dedication, they’ll feel more inclined to leave – even if they are being paid well. Employers must address this issue through the use of an employee recognition program.