Why It’s So Important to Show Employee Appreciation – And How to Do It


CommPRO Editorial Staff

Most companies fail to realize when their employees are dealing with stress, disengagement, and lack of motivation. Others that do realize know little about how to combat it. However, there is a simple solution: appreciation.

Employee appreciation is the open recognition and admiration of an employee’s accomplishments or conduct. Companies use it to show gratitude, inspire staff, and encourage desirable behavior. One study found that 82% of surveyed employees wish they were recognized more.

Establishing an appreciative culture in the organization is not something you do for just the employees. This also has a significant impact on your operational efficiency and organizational profit. Here’s what you need to know about employee appreciation and why it’s so important:

Increased Satisfaction and Productivity

Employees’ connections to the company, team, and job are impacted when they feel appreciated and recognized for their efforts. These emotional connections drive increased satisfaction that fuels good performance. Employees content with their work and organizations tend to be 12% more productive than the others.

Boosts Employee Retention

Employee retention is three times higher in organizations where the culture of appreciation is highly regarded. Even when an average employee opts to leave, an appreciated employee tends to stick around. This is because the constant gratitude makes them feel as if they’re an essential part of the company and helps develop a sense of ownership within the organization.

Builds Inspiration

A healthy and motivating environment is essential in a workplace because it allows the team to learn from each other. Individuals will see their colleagues working hard and receiving praise as a result. This can generate a little healthy competition and inspire the rest of the team.

Setting an example for your employees will also influence the overall business culture and how people recognize and appreciate one another. As this mindset develops throughout the company and departments, it will trickle down into peer-to-peer relationships and build a culture of gratitude.

Reinforces Company Values

Acknowledging achievements helps demonstrate to staff what is desired by managers, executives, and the business as a whole. When an employee gets good feedback for an activity, they tend to link it with a reward and strive to replicate that emotion in the future. When employees are appreciated for a particular thing, it emphasizes the principles that a company wishes to instill in its culture and demonstrates the type of achievements that the company is looking for. 

Improves Relationships 

Trust in management is essential. When an employee feels valued by upper management, they develop confidence in the process. It makes the individual feel like their contributions make a difference and they can count on their boss. Over 90% of employees who received praise or appreciation from their employer in the previous month said they had more faith in that manager, compared to only 48% of employees who did not receive acknowledgement and still trusted their superiors.

Creates Company Ambassadors and Advocates

Potential recruits typically go beyond the recruitment process to get to know the values of the organization. If you have satisfied employees, they will be able to act as advocates for the organizations. They promote the company and tell others about their positive experiences.

This acts as a stimulator for prospective applicants in taking a position at your firm. The ones that haven’t applied also get encouraged to listen to good personal experiences.

How to show employee appreciation?

Employee appreciation raises desire, promotes engagement, encourages loyalty, and improves productivity. All of these elements are valuable to any company. Here are a few ways you can show employee appreciation

1. Use social media 

Celebrate your workers’ birthdays and company milestones through social media. The post might include a photo with details about the employee’s role in the company or what they’ve achieved.

2. Lunches/Events

Send cupcakes to work or host a pizza party on the company card for lunch. This sort of reward will not only unite your workplace together and enhance their interpersonal ties, but it will also make everyone feel valued.

3  Send Gifts

Giving away business gifts, raffles, and other prizes is a simple way to offer a token of appreciation. For example, you might send them branded notepads, writing utensils, subscription boxes, gift cards, custom labeled wine bottles, and much more. These gifts go a long way towards making your team feel valued again and again. 

4. Vacation Time

Sometimes all an employee needs is time off to do something other than work. If they have performed well or accomplished a major goal, show your appreciation by giving them a well-deserved break in the form of a paid vacation or personal day.

5. Thank You Notes

People want to know that their efforts do not go unnoticed. Sometimes you don’t need a grand gesture; just a simple thankyou will make the worker feel valued.