Facts you didn’t know about employee recognition
Recognizing employees is one of the most overlooked facets of managements that even great leaders sometimes forget about. Without a good employee recognition strategy, people will feel unappreciated and build up stress.
In fact, the number 1 reason why most Americans leave their jobs is that they don’t feel appreciated. The last thing you want is to have high employee turnover because of poor employee recognition.
Here are some incredible statistics about employee recognition:
1. You better recognize
41% of companies that use peer-to-peer recognition have marked positive increases in customer satisfaction.
It’s quite simple really, the more an employee feels engaged and motivated the better they will perform.
You can easily boost employee performance by doing more to recognize employees. Even if it’s a little pat in the back, or small verbal cue, goes a lot longer than just accepting that an employee did something right and just moving with it.
It’ll definitely go a long way and allow you and your colleagues to work better.
2. Investing in employee recognition is a must
46% of senior managers view recognition programs as an investment, rather than an expense
A lot of industry leaders (with the HR-space) will tell you that employee recognition programs are a solid investment for a company.
The reason being is that they know how it’ll benefit the company down the road. Short-term, it’ll provide a good way to start getting employees happy and motivated within their workspace. Long-term, it’ll probably be one of the reasons that you’ll be able to retain the employee.
So don’t let good employees go to waste! Start investing in employee recognition platforms.
3. Employee recognition programs work, even in recruitment
14% of companies indicated that their organization features recognition programs regularly when recruiting.
Recognition has become such a big deal, that it’s showcased when recruiting new employees.
As you may (or may not) know, millennials have been all the rage lately, as they’re now entering the corporate world. They’re clearly a unique generation from an employment standpoint, because they value a couple of more things than money.
Recognition and a sense of belonging are two important factors that can not be look, if you’re looking to attract the next generation of top talent.
4. Stop losing employees
Companies with strategic recognition reported a mean employee turnover rate 23% lower that the retention at companies without any recognition program.
That’s right. When companies strategize that their employee recognition, they have lower employee turnover and higher employee retention, than those without any form of recognition program.
If your company is losing a lot of great talent, it’s not because they aren’t enjoying their craft, it’s because the company is not providing a good atmosphere or room for growth.
5. Raise employee performance
Manager’s recognizing employee performance increases engagement by also 60%
Leadership plays a major role in how motivated employees can get. With the right leaders in place, employees will feel appreciated whenever they receive recognition from them.
When managers recognize their employees, the employees tend to perform better. I don’t know what causes it, but I’m sure it has something to do with the fact that it creates an almost family-like atmosphere within the office.
I think the one difference between a good and bad leader is that, good leaders are able to not only recognize and appreciate employees, but they’re able to make them feel welcome. Whereas bad leaders do not.
With that said, would you rather work with a horrible boss or someone who is a great leader?
6. Lower stress at work
Organizations with strategic recognition programs in place, exhibit 28% lower frustration levels than companies without recognition programs
We’ve often talked about the effects of stress at work and how it can negatively affect individuals within the workplace.
But could lack of employee recognition be one of the biggest reasons why people are stressed at work?
The numbers aren’t lying and they’re saying it just “might” be, as companies that don’t use employee recognition programs have lower frustration levels than companies without programs.
7. Recognition is even better amongst colleagues
Peer-to-peer is 35% more likely to have a positive impact on financial results than manager-only recognition
This is something that isn’t forced and should happen organically. Peer-to-peer recognition is a lot more effective, as it’s a good way of gaining a senses of belonging within an office.
As an employee, you’ll probably feel more motivated to have those around you giving you some love, even if it’s a small task that you happened to execute to perfection.
Make sure that you spend a little bit of time recognizing or praising someone for their efforts at work.
8. A positive impact within your office
When companies spend 1% or more of payroll on recognition, 85% see a positive impact on engagement.
Companies that spend on their employees know of the huge return on investment that they’re receiving whenever they do something to give credit to them.
Whether it be an intrinsic or extrinsic gain, a person will feel better if the company is doing their best to better the environment for them.
9. Companies operate better
In organizations in which individual employees or teams are recognized results were approximately 14% higher than in organizations in which recognition does not occur.
It’s simple, the more you recognize your employees the better your company runs.
When teams and individuals are recognized, they feel empowered to do more and be effective.
I would even go as far as putting the teams in small competitions to see who can get the most work done, so you create a fun competition, while recognizing top-performing teams. It doesn’t even have to be work related, just have fun around different activities that will boost your office’s morale.
10. Better business
Organizations with a strong employee recognitions approach are 12x more likely to have strong business results.
I won’t even lie, I really don’t know what this means or how it was measured. But I’m going to assume that it is correct. Mostly because we see how much better we work here at officevibe when we recognize employees.
We’re able to come up with a lot of great concepts and cool ideas (a lot of which you haven’t seen yet) as our site keeps on growing.
I can only assume that this is how it would work when instituting recognition on a larger scale. That companies from all industries would be a lot more innovative because their employees are satisfied.
11. Less voluntary turnover
Organizations with effective recognition programs had 31% lower voluntary turnover than organizations with ineffective recognition programs.
When there’s an effective employee recognition program, people are less likely to quit.
Eventually, most employees lose all motivation to continue working within their office because of lack of recognition and advancement. This can easily be avoided if a company were to run an efficient recognition plan.
Although no workplace is perfect, things can change to make it a better atmosphere for all employees. Forward-thinking companies are now pulling out all the stops to recognize and cater their employees. Without employees, companies don’t exist, and without motivated employees, companies can’t flourish.
So start doing what you can to create a better atmosphere within your office. And remember, a little pat in the back, goes a long way.
How does your company recognize employees?
Do you have some form of employee recognition program? Are you trying something new to make the office better? Let us know your thoughts on twitter @Officevibe.