Employee Recognition

First published on Wednesday, November 2, 2022

Last updated on Tuesday, October 15, 2024

Employee recognition can help you with employee retention, reduce turnover and improve your workplace culture.

Recognition helps employees see that you value their hard work, contribution, and success. This will help employees remain motivated to go above and beyond to achieve your company’s goals.

In this guide, we’ll explain what employee recognition is, why is it important, and various programs that you can implement in your business.

What is Employee Recognition?

Employee recognition is the acknowledgement of an individual or team’s success, effort, and accomplishments that benefit your company. Employee recognition can also be acknowledging an employee for embodying the company’s goals and values.

It can also improve employee productivity, engagement, and reduce turnover.

Recognition programs for employees can take many forms depending on the approach you choose. Employee recognition is not a one-size-fits-all. You need to thoroughly analyze what would be appreciated by the person being recognized. Sometimes, it can be simple as asking them how they want to be recognized.

Why is employee recognition important?

Recognizing outstanding behaviour can be a great motivator. Employees who are recognized are motivated to create and maintain the company culture of growth and achievement. By investing time and resources into employee recognition, you can increase the chance of productivity and success in your workforce.

Other reasons why employee recognition is important include:

  • Letting employees know that their work is valued.
  • Improving workplace morale.
  • Helping build a supportive workplace environment.
  • Increasing workplace motivation.
  • Decreasing employee turnover.

Who Gives Employee Recognition?

Employee recognition can be given amongst each other, by the business owner, a manager, or your internal HR specialist. However, the best method of giving employee recognition depends on the circumstances.

One of the most common forms of employee recognition is where an employee’s manager or supervisor recognizes the contribution of an accomplishment.

This is a great method. Managers or supervisors are generally seen as leaders within your business. Moreover, acknowledgement from managers or supervisors may lead to monetary increases such as a pay rise, promotion, or bonus.

Co-workers and team members can also give employee recognition. Often, it may be difficult for managers or supervisors to keep track of every employee’s success and accomplishments. However, employees who work closely in a team can observe their peer’s job performance on a day-to-day basis.

Everyone should recognize employee success and accomplishments. This will help your business grow and improve.

How Recognition Motivates Employees

Recognizing an employee’s work encourages a sense of purpose. Employees are motivated knowing that their work is helping others. Sometimes, managers or supervisors recognizing hard work and success will help motivate employees to continue to perform at their best. Which leads to the overall success of your business.

It is easy to forget to recognize employees throughout the normal working day. However, frequent recognition will help sustain a positive work environment and help towards the company’s goals.

How Do I Recognize Employees?

Employee recognition will vary from organization to organization. Employee recognition can be done informally or formally. It can be in the form of a simple “thank you” or it can be through employee recognition awards.

Informal employee recognition examples may include:

  • A sincere thank you for a job well done.
  • Tell your employees about a positive comment by a client.
  • Spontaneous gifts of food (e.g. morning muffins or bagels).
  • Acknowledging birthdays and work anniversaries.

Formal employee recognition examples may include:

  • Recognizing employees through company-wide emails.
  • Setting an “employee appreciate day”.
  • Celebrating project completion with a work event or party.
  • Giving an employee a promotion (monetary increase, title change, etc.)

Employee recognition and rewards are great programs to implement in your business. It demonstrates that you appreciate your employee’s hard work and success.

Types of Recognition and Awards Programs

There are various employee recognition ideas and programs that you can implement in your business. Below are a few employee recognition examples that you can put in place today.

Years of Service Award

An employee award acknowledging years of service can help existing employees stay engaged with your company and may encourage new employees to stay as well.

Small awards such as gift cards to local coffee shops for completing each year of service are great ways to celebrate an employee’s tenure. Employee recognition based on years of service goes a long way in improving employee retention.

Customer Service Award

If you are a customer service-based company, you can show recognition by rewarding employees for receiving positive customer reviews and exceptional service. You can reward them with bonuses and informal praise such as a shoutout during the next team meeting.

Employee Appreciation Events

Employee appreciation events are a good way to show employee recognition. They are meant to show your appreciation to employees for their good work. These events can help motivate employees to continually reach their goals and make them feel valued.

Furthermore, implementing an informal award ceremony at these events is a fun way to make everyone feel special.

Monetary Employee Recognition Awards

The most common form of employee rewards and recognition is monetary payments such as extra paid time off, bonuses, or gift cards. They do not have to be large and cost a lot of money. It can be as simple as paying for their coffee the next morning or treating them to lunch.

Importance of Rewarding Employees

An employee recognition program has many positive impacts that will help you improve your business. This includes:

  • Increased engagement by employees.
  • Decreased turnover.
  • Productivity.
  • Morale.

You must ensure that you have a well-thought-out employee recognition program. A non-existent or poorly managed employee recognition program will have the opposite desired effect and may lead to high turnover, decreased morale and a negative workplace culture.

Employees that are engaged with their workplace can lead to higher performance, commitment to your company, and the desire to go above and beyond in their role. It is important to recognize employees who meet and exceed expectations.

Get Advice on Employee Recognition with BrightHR

There are many forms of employee recognition that you can implement for the success of your business. It is important that you assess each form of employee recognition to find the one(s) that will fit your needs.

If you need assistance implementing an employee recognition program or assistance in modifying an existing one, our BrightAdvice service allows you to receive quality advice on any employment issues you may have.

Contact us on 1 888 220 4924 or book a demo today.


Alan Price

CEO, BrightHR and Group Chief Operating Officer

Share this article


More on culture and performance

Business team members in a meeting room, actively discussing performance management initiatives and team objectives.

Best practices in performance management for Canadian business owners

Running a business is no small feat. Among the many challenges and tasks, you may have to face, one of the most complex is performance management. ...

Read more about Best practices in performance management for Canadian business owners

Whistleblowing

Whistleblowing can happen in any workplace. It may not happen often with small businesses, and as an employer, you may think your business isnt at ...

Read more about Whistleblowing
Staff member giving a team meeting with a list of core values

Core Values in Business

Core values In an increasingly competitive market, your businesss core values are vital to its success and longevity. A businesss core values are ...

Read more about Core Values in Business

Change management

While change can be challenging, it is necessary for growth in todays fast-paced business environment. To stay on top of new technological ...

Read more about Change management

Employee Engagement Survey

Engaged employees are more productive and provide value to your workforce. The more productive your workforce, the more successful your business will ...

Read more about Employee Engagement Survey

Unfair Treatment at Work

Treating someone in your workforce unfairly can lead to sever consequences. It is your duty to maintain a healthy and safe work environment for ...

Read more about Unfair Treatment at Work
Two people looking at a laptop,

Teamwork in the Workplace

Teamwork is a word that is used quite often in the workplace. It’s a tool that allows businesses and employees to succeed and learn from each other. ...

Read more about Teamwork in the Workplace