Why Employee Recognition is So Important

Why Employee Recognition is So Important

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Human beings are conditioned to crave recognition from their parents, friends, teachers, and employers. Therefore, employee recognition is a critical component in developing a motivated, high-performing workforce consisting of employees who give their hearts and minds, not just their time. Every organization must recognize employees for going above and beyond their achievements, tenure, service, or desired behaviors. This article in the following paragraphs presents reasons as to why employee gratification and recognition are essential in accelerating the success of a business.

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1. Builds a Positive Work Environment

Negativity at work has an undesired result in business productivity. Negativity in the work environment has been computed to cost the United States an annual loss of about $3 billion. Recognizing employee performance will create a conducive work environment where employees can collaborate and achieve a common goal.

2. Reduces Employee Turnover and Improve Retention

In today’s world, there is massive competition for talents by established companies. If a company fails to treat its employees properly, it will lose its labor to companies that have promised dreamland to their employees. To control the massive exodus of your employees to other companies, you ought to recognize their efforts. By recognizing your employees through rewards, you reduce their voluntary turnover, therefore, securing human resource growth for your company. Rewarding does not have to be a random exercise. Somewhat different employees need specialized attention. Below are some various ways in which you can reward employees to make them loyal to your company:

● Financial compensation

● Good working conditions and relationships

● Offering customized gifts

● Encouraging employees with dinner

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3. Boosts Productivity

Employees who are constantly appreciated for any work they do or the milestone they hit have the potential of not only doing quantity work but also quality. Moreover, as the employees strive more and more to get recognized, there will be positive competition among them, which will mean better work output. The most effective way to recognize employees to boost their productivity is to award custom engraved plaques during periodical employee recognition events. Awards plaques are the perfect way to say thank you or recognize outstanding achievements that will forever remain in the employee’s mind. They are simple to display and can be artfully arranged to highlight multiple achievements or create a high achiever wall that will inspire and motivate others. Awards plaques are available from EDCO, a company based in the United States.

4. Improves Employee Engagement

According to Proof Hub research, 58 percent of employees believe that their leaders could do more to improve their engagement through recognition. It is, thus, your responsibility as an employer to express gratitude to your employees more frequently and consistently if you want to improve their engagement.

5. Boosts Morale and Employee Happiness

Happiness in an organization breeds like rabbits. Joy has a multiplying nature that grows all over the organization. In simple terms, happy employees mean happy bosses and many more happy employees, and the cycle continues. Sharing gratitude and appreciation through recognition is the best way to improve employees’ workplace happiness and boost their morale. Going for office lunch or holding office parties are the current trends of making employees happy. Happy employees are crucial to the survival and performance of an organization. A team of happy employees works better and is generally more productive. Apart from the resulting profits, happy employees are more loyal to a company.

6. Improves Employee Satisfaction

When your employees are satisfied, they are happy with their jobs, and this positive attitude pervades every minute of their day. Employees who receive recognition are naturally more satisfied. Employees who are happy and appreciated work hard to satisfy customers. Meijer, a family-owned superstore chain in the United States, discovered that improving the frequency of employee recognition from two times a month to twice a week results in increased customer satisfaction by 5%.

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Human resources play an essential role in the growth of any organization. Rewarding employees is imperative for organizational growth. In addition, it assists employees in developing a sense of security in their value to the company, motivating them to continue doing excellent work. Therefore, it is a call of every stakeholder in any organization to recognize their employees to realize excellent performance and growth.

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