With the constantly evolving market and the fast-paced nature of the work environment, your employees are trying to drive success and stay on top of the competition – making them your company’s most valuable assets.

While competitive salaries and workplace perks are essential to employee happiness, one of the most overlooked aspects of employee satisfaction is expressing appreciation. Recognizing employees and showing that you value them with development opportunities, support and other benefits will help to boost morale and engagement while also increasing loyalty and overall productivity. 

Why is Employee Recognition Important? 

According to a Gallup poll, employees who receive regular recognition are four times more likely to be engaged in their work and five times more likely to feel connected to their company culture. Fostering a culture of recognition and appreciation promotes a sense of belonging as well as job satisfaction among employees. 

Other impacts of recognition include: 

• Boosted productivity: When employees feel valued, they want to maintain high levels of performance. 
• Increased engagement: Engaged employees are more likely to want to take ownership of their work, actively contribute to the company’s goals as well as feel a stronger connection to work, leading to higher levels of enthusiasm and dedication. 
• Higher retention rates: In an environment where employees feel appreciated, they will be more loyal and will stay for the long term. 
• Improved customer satisfaction: When employees are happy, this will also translate to serving their customers, boosting satisfaction.  

5 Tips to Effectively Recognize Employees 

Companies know the importance of recognizing employees, but knowing the most effective ways to show appreciation can be tricky. Here are five tips to get you started. 

Tip #1: Lead by example 

As a leader, you set the tone for your team. If you show that you value and prioritize appreciation, you set the tone to foster this in the company and team culture. When other managers see you doing this, they will likely start doing the same as well. Leaders who focus on recognition inspire a work environment that is rooted in respect and motivation.  

Tip #2: Encourage peer recognition 

Sometimes, the best recognition is from your peers! It’s not only managers who need to show appreciation all the time. Encourage peer-to-peer recognition at meetings or get-togethers to create a workplace where employees feel valued by their colleagues. Team shoutouts, recognition programs and employee awards are some examples to incorporate in your meetings. 

Tip #3: Celebrate all wins 

Big or small, all wins should be celebrated! Meeting deadlines, helping the team or simply demonstrating company values are all reasons to show appreciation. These little moments help to continue to build a culture of positivity and motivation for your employees. 

Tip #4: Offer meaningful rewards 

Verbal recognition is powerful; however, tangible rewards can also make a significant impact. Bonuses, an extra day off, gift cards or even a company-wide recognition program are all meaningful ways to reinforce positive behaviors and encourage outstanding performance. 

Tip #5: Make recognition a regular thing 

Recognition should be consistent and ongoing, not just done once in a while. Try to incorporate recognition into everyday interactions to show appreciation for milestones, achievements and other ways to show you acknowledge your coworkers’ hard work. Quick verbal praise or notes can go a long way in making someone feel valued.