By Hayley Hughes MS, CN, LMHC CWPC & Katie Hassall MBA, CWPC

America’s workforce is experiencing severe levels of burnout and loneliness. These widespread problems are creating daily challenges for organizations, and managers are struggling to keep their teams engaged. While there are certainly many contributing factors as to why workforces are struggling, one approach that workplaces may not have considered tapping into enough is through recognition.

Recognition has not historically been considered a top-of-mind component of a workplace “wellness program.” However, it is one of the most affordable, actionable, and impactful ways that leaders can improve both employees’ working experiences and overall wellbeing. It should be a foundational aspect of any employers’ organizational wellbeing and retention strategy: well-recognized employees are more engaged, healthier, and less likely to leave organizations. (1)

Many workplaces today are lacking in recognition, not to mention high-quality recognition. (2) Understandably, with many competing business essential priorities, managers can frequently justify pushing “feel-good” recognition initiatives to the side. However, effectively recognizing employees is not a “nice to have,” it’s a “need to have” – the return on investment is significant. It is a business-critical foundation that without proper attention and consideration will only spiral into greater problems down the road. Employee retention depends on proper recognition: well-recognized employees are 45% less likely to leave organizations and 65% less likely to be looking for another job opportunity. (1) Neglecting employee recognition may occur more often if the impact it makes on employees’ satisfaction, wellbeing, and engagement at work is not fully understood.

Recognition is the concept of being positively acknowledged. This is not just a pizza party at the office; it is important to note that all acts of recognition do not provide the same outcomes. To make recognition impactful, it needs to be a strategic way of providing both feedback and praise. High-quality recognition needs to be personalized, authentic, and embedded in day-to-day work culture and practices to be impactful. And to take this a step further, a strong recognition program can even create a valuable reinforcement of tangible actions between employee work and an organization’s goals and values.

Where to Start

Building a culture that fosters both wellbeing and recognition can start small. It does not have to be overly complicated, expensive, or perfect before taking action. Positively impacting employees through recognition can start with simply encouraging managers to ask the question, “How do you like to be recognized?” This will open dialogue about how to incorporate recognition in a way that feels authentic to the manager and meaningful to the employee. It can be as simple as writing a thank-you note, giving a certificate, or creating an employee spotlight.

Quality recognition from managers is not exclusively monetary, like annual bonuses or pay increases, which certainly is a strong tool to recognize employee actions. Non-monetary actions of recognition can be public or private acknowledgement as an award or certificate, verbal or written evaluations or reviews, as well as a promotion or increase in scope of work or responsibility.

Managers may find it helpful to set a reminder for themselves to utilize and promote existing recognition platforms. Many teams already have recognition tools and platforms in place today, but they fall short in that they are severely underutilized. Educating employees and leaders on the importance of recognition can help with adoption of these existing resources. Understanding the greater purpose, meaning, and impact behind these resources can make these actions feel less “fluffy” and inspire action.

Recognition that is tied back to company values is a great way to make employees feel connected to their organization. It brings to life company values, highlighting team members who model company-aligned behaviors for their colleagues. This can be a great way to foster positive company culture.

It is everyone’s responsibility to collectively foster and maintain a culture of wellbeing and to buy into the value of recognition and positive feedback.

For inquiries about how PartnerWell can assist you and your team, contact us at partnerwell@tpgrp.com.

Citations:

  1. Yi, R. (2024, September 18). Employee retention depends on getting recognition right. Gallup.com. https://www.gallup.com/workplace/650174/employee-retention-depends-getting-recognition-right.aspx 
  2. Gallup. (2016, June 28). The importance of employee recognition: Low cost, high impact. Gallup.com. https://www.gallup.com/workplace/236441/employee-recognition-low-cost-high-impact.aspx
  3. Mikhail, A. (2024b, January 17). Workplace health benefits don’t move the needle on improving worker happiness and well-being: The solution is “more than a program, prize or portal.” Fortune Well. Retrieved from https://fortune.com/well/2024/01/17/workplace-wellness-benefits-not-effective/