Employee Appreciation Day 2023: The value of Recognising and Appreciating employees
It’s Employee Appreciation Day! An annual celebration that provides employers with the opportunity to show employees that they are valued and appreciated for their contributions to the success of the organisation. Research shows that when employees feel appreciated, they are motivated to perform at their best and are willing to go the extra mile. Why? Because being recognised confirms that their contributions are valued, resulting in boosted morale, increased motivation, job satisfaction and team engagement. Companies can create a more positive work environment that fosters productivity, innovation, and creativity by showing employees they are valued and appreciated.
Employee satisfaction and engagement
Employee satisfaction refers to the level of contentment and fulfilment employees feel in their jobs. It is important because it can significantly impact employee engagement, productivity, overall job performance, and talent retention. According to research undertaken by Gallup, highly engaged teams are 18% more productive and 23% more profitable than low engagement teams. Furthermore, low-engagement teams have 18% to 43% higher turnover rates than highly engaged teams, which is costly to the bottom line.
When employees feel appreciated, they are more likely to be emotionally invested in their work and the organisation’s success. In addition, an employee who feels appreciated is more inclined to go above and beyond their job requirements, take on additional responsibilities, and demonstrate a strong commitment to the organisation’s goals.
Many employees report feeling stressed and burnt out in their jobs, and recognition and appreciation can help to alleviate some of these feelings. When employees feel appreciated, they are more likely to feel a sense of purpose and fulfilment in their work, leading to better mental health and well-being.
According to a report by Lattice (2023 State of the People Strategy report), employee engagement, as a whole, is a key focus for 2023. Over 40% of HR leaders named engagement as their top-rated people strategy initiative. And that increased focus on engagement isn't subtle: The majority (86%) of HR teams say they're putting more effort into improving employee engagement this year than in the past.
Boosting employee retention and acquisition
Appreciation also plays a key role in employee retention. Employees who feel valued and appreciated are less likely to leave their jobs, leading to a more stable and productive workforce, reduced turnover rates, and the costs associated with recruiting and training new employees.
According to a study conducted by Glassdoor, more than 80% of employees said they would be willing to stay with their current employer longer if they felt more appreciated. High turnover rates can be expensive and disruptive for companies, and by recognising Employee Appreciation Day, companies can help to reduce turnover and retain their best employees.
This is particularly important in today's job market, where the demand for skilled employees is high, and the competition for top talent is intense. Organisations that fail to appreciate and retain their best employees risk losing them to competitors who offer better compensation, benefits, and workplace culture.
Employee appreciation can also have a positive impact on talent acquisition. When current employees feel appreciated and valued, they are more likely to recommend their organisation to others. This can help attract top talent and improve the organisation’s reputation in the industry. A positive reputation can also increase the organisation’s ability to attract and retain clients, partners, and investors.
The impact on company culture
Employee appreciation can also have a positive impact on organisational culture. When appreciation is a part of the organisational culture, it fosters a sense of community and teamwork. Employees are more likely to work together to achieve shared goals, and they are more inclined to feel a sense of pride and ownership in their work. This can lead to a more positive work environment where employees feel supported and valued.
How to show employee appreciation
There are many ways to show employee appreciation, ranging from simple gestures to more significant rewards. Simple gestures can include saying thank you, acknowledging employees' achievements, and providing regular feedback and recognition. More significant rewards include bonuses, promotions, professional development opportunities, and other tangible benefits. It is, however, important to tailor the recognition to the employee and their preferences to ensure maximum impact.
One effective way to show employee appreciation is through employee recognition programs. These programs can be formal or informal, but the goal is the same: to recognise and reward employees for their contributions to the organisation. Recognition programs can include rewards such as gift cards, extra vacation days, or other incentives.
Another effective way to show appreciation is through employee development programs. By investing in employees' professional development, organisations demonstrate their commitment to employees' growth and potential. This can include training, coaching, mentoring, and career advancement opportunities.
Employee appreciation is a critical component of any successful organisation. Therefore, organisations should make employee appreciation a priority and develop effective strategies to recognise and reward employees' achievements and contributions.