Employee rewards are a wonderful way to improve your employees’ productivity, team spirit and satisfaction with their jobs. However, you can’t improve your employee rewards if you are lacking these 3 crucial prerequisites: employee recognition, motivation and loyalty. Continue reading to find out more:
1. Employee recognition
Giving your employee rewards would not matter if they don’t feel like you recognize their efforts and hard work. Therefore, you need to demonstrate on a daily basis that you value and appreciate your employees. This will ultimately lead to higher employee satisfaction! And satisfied employees are on average 12% more productive than their unhappy colleagues (Forbes, 2017)!
In addition, when a manager thanks their employees for their efforts, they encourage a sense of mutual trust. In fact, when employees feel like their work is appreciated by their managers, this leads to a deeper connection to leadership.
2. Employee motivation
As a manager, how often do you witness a new employee start working for you, all excited and ready to take on the world, and then their motivation gradually, but steady declines over time? To avoid this, you need to make sure that they are engaged with their tasks.
When your employees are disengaged, this may lead to lower productivity, higher employee turnover, more mistakes, days off work and frustration. Therefore, open up the conversation with your employees and ask them how satisfied they are with the jobs and working conditions. Take their feedback seriously and implement any changes which might lead to higher employee motivation. After all, your employees can be your biggest asset, but only if you let them!
3. Employee loyalty
Finally, employee loyalty is something which simply cannot be bought with rewards. Therefore, forget about improving your employee rewards if you don’t have strong employee loyalty. Why? Because hiring and training a new employee can cost up to $4,129 and up to 42 days with completely lost or strongly diminished productivity (Forbes, 2017). You can easily spare yourself those costs by working on your employee loyalty.
Furthermore, according to Forbes, one of the main reasons behind employees switching companies or careers is that they felt like they weren’t respected enough in their workplace and they lacked autonomy. To avoid this, make sure that you are open and honest with your employees. Instead of micromanaging, learn how to delegate tasks and build long-lasting trust with your staff.
In conclusion, employee rewards should only come after working hard on improving your employee recognition, motivation and loyalty! Only then will you have the perfect conditions to implement a reward system and take your company to the next level!