Determining the success of an employee recognition program relies on a few different factors. Of course, companies want to measure indicators such as productivity and revenue hard, but some measures of success are more difficult to track.
Hinda Incentives, along with Trendicators, asked real employees their opinions on their company’s employee recognition program. They interviewed 1,500 employees in the United States to discuss program engagement, rewards, productivity, and other performance indicators. Here’s what real employees had to say about recognition.
Companies in almost every industry, including hospitality, construction, technology, healthcare, education, and others utilize some form of recognition tool to reward and incentivize employees. In fact, nearly 72 percent of workers surveyed by Trendicators stated they work for an organization that has a performance-based recognition program. These programs are meant to align company values with goals and encourage employee productivity.
Just over 80 percent of employees surveyed say they consider their organization's performance recognition program to be effective. It’s a human need to want to feel appreciated. Employees have a positive response to appreciation given through recognition because it confirms their work is valued. Employees who feel valued are more productive and more motivated to maintain or improve the work they are doing.
Employee turnover is costly, time-consuming, and slows production. According to a 2018 Gallup poll, 1 in 3 workers in the United States feels undervalued and unappreciated in the workplace. These workers reported feelings of disdain. They suffer from burnout and are reportedly more disengaged than those employees who feel recognized by their employers. Everyone feels the need to be recognized. In fact, 89 percent of survey respondents said that their engagement in the workplace increases when they receive recognition for their performance. They are also more committed to staying with the company if they feel valued and appreciated for their contributions to the company. These results have a direct effect on a company’s retention numbers. Employees have a greater sense of purpose and loyalty when their employers give rewards.
Survey participants were also asked to answer a series of questions concerning their relationship with their employer and coworkers. The most persuasive evidence of the positive impact of performance recognition programs make is the difference in opinions shared by employees who work for organizations with performance recognition programs and those whose companies do not have formal programs.
Employees who work for companies with performance recognition programs expressed, on average, nearly two times higher levels of favorability for their work than those who work for companies without recognition programs. When asked if they were proud of the organization they worked for, 75 percent of employees who benefit from a recognition program said that they were. They also stated they were satisfied with their workplace and were 73 percent in favor of recommending their workplace to others. Almost half the employees surveyed who do not benefit from a recognition program expressed their dissatisfaction and noted that they do not feel they are part of a promising future with the organization.
The results are clear when it comes to how employees feel about recognition in the workplace. While it can be a challenge to gauge the hard indicators of a successful program, employee surveys don’t lie. Employee attitudes shift when they are active in programs that encourage engagement and strong performance. Having solid goals and rewards to earn upon reaching those goals is a strong motivator when it comes to how employees feel about their employer. Employees want programs that allow them to recognize their peers, earn rewards, and participate in a range of activities including continuing education programs and wellness challenges. Modern recognition programs enable employers to offer all of these features and more.
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