Why is Employee Appreciation Important in the Workplace?

Stress is inevitable in the workplace. No matter how much you love your job, there will be days when your workload is too much to handle. And at times like these, receiving appreciation from your team leader can be the boost a person needs to get them through a rough patch. 

Employees will leave a company because of many factors, such as low pay, a toxic environment, lack of growth opportunities, etc. But among these factors, the lack of recognition is one of the biggest hindrances to employee productivity and contributes to their decision to leave an organisation. 
Given this, you, as a team leader, must know that being appreciated is an inherent component of a company’s success. Your employees are your internal customers. So treating them well and showing them that they are valued in the company needs to be a priority.

Employee appreciation helps satisfy people’s need for a sense of belonging, which can eventually increase morale. This is why employee recognition is seen as one of the cornerstones of effective management and team development, especially in today’s generation, where the talent competition escalates. 

Additionally, with the current work setup of many companies, burnout and stress are very common. So making sure that your members still feel that they are being valued is more crucial than ever, particularly during busy or challenging times.

Appreciating your team members does not need to be extravagant. Some simple words of affirmation or buying someone a coffee can do amazing things. This is also the simplest, easiest, and most effective way to show gratitude for your members’ dedication. Showing your team that you appreciate them instills loyalty and develops a creative and positive working environment. 

Three-key purposes of employee recognition

An open acknowledgement and praise of your team members’ behaviour or achievement is a must to establish a positive environment in the workplace. But more importantly, employee appreciation serves three key purposes:

  • Showcase goal achievement

The more you appreciate your employees, the more engaged they can become. A simple thank you is enough to show that your members’ efforts are seen and valued. When a person achieves something, there is this feeling of accomplishment. The rush is amplified when they are recognised for their achievement.

  • Motivate effort

When you recognise your employees, its effects manifest in their performance. This will also trickle down to their productivity level, and you will see an increase in effort towards their job. Appreciation helps develop emotional connections within the workplace, which eventually fuels better performance and increases productivity and efforts.

  • Reinforce values

Every company has its identity and values, which are expected to be followed by employees. And appreciation helps in reinforcing these principles. Behaviours and actions often recognised can show your members what are valued by managers, leaders, and the whole organisation. When your employees receive recognition for a value or behaviour aligned with the company they were able to adopt, they are likely to continue doing that, eventually influencing their fellow employees. 

Apart from these three main functions of employee appreciation, here are some additional benefits that you can reap just by showing your employees that you value them and the effort they put into their work:

Increased productivity and engagement

  • Decreased employee turnover

  • Greater employee satisfaction and enjoyment of work

  • Improved team culture

  • Higher loyalty and satisfaction scores from customers

  • Increased retention of quality employees

  • Decreased stress and absenteeism

    Types of employee recognition

    While giving your employees appreciation is not difficult, you must still remember that each employee embraces recognition differently. Thus, you need to know the different ways of recognising your employees.

  • Peer vs Superior

This is the kind of recognition from a manager or a higher-up. Frequently, impressing a superior increases job security and the likelihood of a promotion. However, that is not always the case. Sometimes, it feels good to be appreciated by a co-worker, whether the appreciation came from your peer or superior.

  • Attributed vs Anonymous

Most of the time, recognitions are given publicly by a known party. But there are times that an anonymous shout-out or a simple thank you note left on your employee’s desk holds the same power. 

  • Social vs Private

As mentioned, different employees have different ways of accepting appreciation. Some like to be in the spotlight, while others avoid it and prefer subtle praise. Therefore, a team leader should know what kind of recognition their team is more comfortable with. Remember that recognitions should be tailored to the preferences of each individual.

  • Behaviour vs Achievement

Most of the time, recognition is often tied to metrics, such as hitting a sales quota or celebrating years of loyalty to the company. But praise should not only be limited to this. An appreciation can also be lauded for working extra hours, helping a co-worker, or organising a company party. Either way, both efforts should be seen and valued. 

How to appreciate your team members?

While saying thank you is the most common and easiest way to show appreciation for your team members, there are many more ways you can show them that you value them.

Some of these ways are the following:

  • Reward hard work

  • Give gifts (it does not have to be an expensive gift, you can give at least some things they can use to improve their work)

  • Give them a simple pat on the back

  • Say a few positive words like “you did great” or “I loved your work.”

  • Involve them in decision making

  • Give a thumbs up from across the office

  • Provide specific, positive feedback

  • Throw an appreciation event

  • Discuss business with them on an individual basis

  • Buy them lunch or a coffee

    Don’t undervalue the simplicity of these gestures.  None of these things are challenging to do. Yet a few kind words, a simple positive remark or gesture, or just making your employees feel that they are an integral part of the company goes a long way. A frequent, honest, public, and timely employee recognition provides confirmation to your members that they are making a meaningful contribution to the company’s success.  This also creates an emotional connection with your team, which yields excellent results and eventually contributes to your organisation’s success. 

    Employee appreciation may seem minor, but it ripples through and provides many positive results, such as reinforcing good work and creating an office culture that every employee will enjoy. 

    Learn more about leadership development

    If you are a team leader seeking to help your team improve, you must start by developing your leadership skills. There are many courses in leadership online that you can use to enhance yourself.

    Corporate Learning Solutions can provide you with the knowledge and skills to help you become a better leader for your team. If you want to learn more about us and what we offer, you can check out our website at www.corplearn.com.au.









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