Employee Recognition Myths You Shouldn't Believe

While the idea of recognition has been around for decades, only in recent years have companies begun to embrace it as an essential part of an organization’s strategy. As an element of company culture, proper recognition is critical and a key driver of engagement. That’s why there are so many myths and misconceptions that surround Employee Recognition. If you are new to this subject, you may find it a bit surprising, even shocking to learn about them. Well, here’s a friendly tip, employee recognition myths can easily become your worst enemies if you’re planning to use them as your tools for improving employee engagement.

The fact that recognition is important cannot be ignored. People like to feel valued and appreciated for their hard work. However, employees need to feel their effort is not going unnoticed. There are many common myths surrounding employee motivation and recognition programs. Here are the top six employee recognition myths you should stop believing right now.

1. Employee Recognition is an HR?Thing

Have you ever heard this statement: “Employee Recognition is an HR thing and they’ll figure it out.”? Well, it’s not. Employee recognition is part of the company culture. And like every other aspect of culture, it starts at the top. Every great company has an employee recognition program, and you need to have an employee recognition program too.

Employee recognition is not an HR thing. It’s not just something that gets handled by the HR department or one person in charge of employee engagement. Recognition needs to come from the source. Managers need to recognize their employees for doing a good job and meeting their goals.

Employees want to know that they’re making a difference, and managers are the ones who can deliver that message in a timely way. The worst thing you can possibly do is wait until the end of the year, or until someone leaves your company for another job, to say thank you for all of the hard work and dedication.

That doesn’t mean that HR can’t play a role in helping to support managers and supervisors with recognition programs, but it does mean that we have to let individual managers take responsibility for recognizing their own employees. By the way, if you are looking to start your career in HR, be sure to read our complete guide on How to Start Your Career in HR .

2. Employee Recognition is?Bribery

Employee recognition is not bribery. It’s a way to reinforce the behaviors that make your company great. Studies show a direct link between employee recognition and employee engagement, so you’re not just rewarding people who do a good job, you’re encouraging them to keep doing it. And engaged employees are more productive, so there’s a benefit to your bottom line as well.

Still, if all you’re doing is handing out cash bonuses and other prizes, you might be making the mistake of having a transactional relationship with your employees. Are they working hard because they want to or because they think they can get something out of it? Most people will choose the former option, but they’ll also feel more invested in their work if they have a personal connection to the company.

Some people confuse recognition with bribery, but they are not the same. The goal of recognition is to increase the frequency of desirable behavior, not to induce someone to do something they would not normally do. When you reward someone for going above and beyond, it shows them that you appreciate their effort and value them as an individual. That can go a long way toward making someone feel like part of the team.

3. Recognizing Employees Is a One-Size-Fits-All Proposition

People like to be recognized for the work they do. They also like to feel valued, understood and appreciated. But what is important to one person may not be important to another. That’s why, when it comes to recognizing employees, there is no one-size-fits-all solution.

The best recognition programs are built to take into account the different types of employees, their unique needs and how the company culture impacts individual motivation. It’s important for employers to recognize that not all employees have the same needs or goals. Tailoring the recognition to each individual employee is much more appropriate, because it allows employees to express themselves and show their unique personalities, interests and capabilities.

When managers know their employees as individuals, they can recognize them in ways that are unique and personal. For example, if you’re a manager in a highly competitive call center environment, a personalized note thanking an employee for surpassing weekly sales goals could be a powerful incentive. If you’re in a manufacturing environment where team players are more valued than individual stars and the spirit of cooperation is paramount, the same note might not have the same impact — even though both recognition methods cost nothing.

4. Employee Recognition Occurs Through Formal, Top-Down?Programs

The majority of companies have formal recognition programs. These can be annual awards, peer-to-peer recognition, or even access to other benefits. While these are great ways to acknowledge the hard work and dedication that employees put in each day, recognition doesn’t need to occur only through these formal and top-down programs.

Employees, especially millennials, want to feel a sense of connection with their work and colleagues. They also want to feel appreciated for the work they do. And when you show employees you value them and their contributions, it makes them feel more engaged and part of the company’s mission. One recent employee recognition survey by the Achievers found that respondents mentioned interesting work (74%) and recognition and rewards (69%) as the top factors that keep them at their current employers.

It’s important to remember that employees don’t need to wait for someone else to recognize their value. We can all praise and celebrate one another for the good work we do every day. And we should — as often as possible! When you see someone doing something great, say it out loud. It’s important that employees are recognized for their accomplishments no matter how big or small. As an employer, it’s important to recognize your employees outside of the office too — use social media as a tool for employee recognition. Social media is a great way to celebrate recent successes and highlight individual milestones.

5. It Takes Money to Create an Effective Employee Recognition Culture

With all the budget cuts, layoffs, and furloughs taking place across industries, many organizations are quick to put employee recognition on the back burner; with the idea that it’s something that can wait until things get back to normal. But even though most companies don’t consider recognition a business priority, research shows that employees do. A WorldatWork study found that the average budget for employee recognition is 2% of payroll, and the median amount is 1% of payroll.

It is true that monetary rewards can make employees feel appreciated, but they are not the only way to show a person that you value their work. Recognition comes in many forms, and some of them do not cost anything. You can think outside the box and use your time, attention and creativity to create an effective employee recognition culture.

Most people are not used to hearing words of appreciation from their employers. They are so accustomed to hearing what they did wrong that it may surprise them to hear what they did right. Acknowledge your employees for work well done as soon as you see it. Make sure everyone knows what great work your employees are doing so everyone else can emulate them.

Set aside time each month or each quarter for one-on-one meetings with your employees. Use these meetings to give feedback about the employee’s job performance, but also make sure you take the time to tell them how much you value their efforts. This lets the employees know that you care about their work and encourages them to keep up the good work.

6. You Can’t Measure the ROI of Employee Recognition

In a world where finances are scrutinized and budgets are shrinking, we need to be able to demonstrate the value of recognition beyond basic facts: It makes people feel good, it increases engagement, or it lifts productivity. As humans, we know these truths intuitively. But as business leaders, we need to be able to show the hard numbers.

A high-performing recognition program can have a dramatic impact on an organization, and many companies are already seeing the benefits of recognition in their bottom line. Recognition improves employee engagement, resulting in an improvement in job performance and achieving business value, according to Deloitte. Recognition increases employee engagement, productivity, and performance by 14% .

But how can you measure the return on investment (ROI) of your employee recognition program?

You might think that ROI is a simple calculation: what you spend on your employee recognition program versus the revenue it generates. While this is important, it’s not the only factor to consider. There’s also the indirect benefit of an effective recognition program. Here are some factors to consider when calculating the ROI of employee recognition:

— Increase in productivity

— Avoided cost from talent turnover

— Simplified processes

— Improved business outcomes

— Customer satisfaction scores

Conclusion

If you want to recognize your hardworking employees and get a feel for how they think, the first thing you should recognize is that people are all different. Not everyone understands recognition and rewards the same way, so it’s important to keep this in mind when determining how you’re going to show your appreciation for their hard work.

Employee recognition is often much more than just a reward for a job well done; it’s sometimes a key that unlocks success in other areas of your business. In today’s article, we’ve explored some of the most common myths about employee recognition, and we hope this information has helped you to improve your recognition initiatives.