Reward and recognition strategies have always been fundamental to fostering strong employee engagement, performance, and retention, but the methods of implementation are evolving.
Prior to the impact of COVID-19 on the modern workplace, many reward and recognition initiatives were heavily dependent on in-person interactions. Employee appreciation often took spontaneous and visible forms, such as physical awards, celebratory events, all-hands meetings to honour achievements, or birthday cakes in the breakroom.
In our hybrid business environment (and against the backdrop of stagnating wages and growing recruitment and retention challenges), reward and recognition strategies must adapt to suit today’s workforce needs and acknowledge sustainability efforts.
The shifting expectations around employee rewards and recognition
Here are just some of the ways expectations around employee recognition are changing:
- Timeliness is key. You should still consider rewarding employees in the moment, whether they’re working from home, in the office, or splitting their time in between. No good deed should go unseen. Remote and hybrid workers shouldn’t feel overlooked when praise is handed out. This can be digital shout-outs, rewards via your benefits platform, or acknowledgement across your company’s communications channels.
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Your rewards programme should enhance motivation, morale, and well-being alongside existing perks and benefits. One study found that employees who feel recognised enjoy an 89% higher sense of drive and determination. Furthermore, employee appreciation can help reduce stress levels and increase job satisfaction, with 73% less likely to feel burned out when recognition is offered.
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Rewards and recognition should closely align with progressive company values and sustainability initiatives to encourage and amplify positive ESG actions. Employees want to work for purpose-driven organisations. Research by IBM found that 68% of potential employees are more likely to apply for a job with an organisation they consider to be environmentally sustainable.
How to modernise employee rewards and embed company values
It’s important to have a relevant programme for the hybrid working era to meet evolving employee expectations around rewards and recognition and reap the benefits of a more engaged and motivated workforce.
Here are five questions to consider when looking to modernising your reward and recognition programme:
1. Does it have clearly defined criteria?
It’s vital to outline the types of actions and behaviours you’re looking to reward via your programme. That way, everyone from management to staff is on the same page with reward and recognition, and there’s complete transparency, fairness and consistency throughout the organisation.
2. Does it align with your company’s values?
Your rewards programme is a terrific opportunity to meet sustainability targets while encouraging staff to embrace company values. For example, you could reward employees who implement energy conservation measures or spearhead community outreach programmes.
3. Do you have the capability for peers to recognise smaller actions?
In the age of hybrid working, sometimes small yet meaningful acts can fly under the radar simply because they happen online. Ensure your rewards platform allows staff to recognise and celebrate their colleagues. Small gestures can have a huge impact on teamwork and morale.
4. Are your goals realistic?
Lofty and ambitious goals are to be admired, but if they can’t be realistically achieved, they can lead to discouragement and demotivation among employees. Ensure you’re not setting your employees up for failure when designing your rewards programme.
5. Do you offer alternatives to monetary rewards?
Vouchers are a popular choice for employee rewards, but offering green alternatives could help you further underline your sustainability credentials. For instance, you can staff with a paid day off to volunteer with a charity, plant trees or contribute their time to an ESG project. FlexGenius allows you to flex your rewards to match your people.
Elevate employee morale with an online reward & recognition platform
Whether someone’s gone above and beyond when hitting a deadline, shown kindness to a new start, or helped achieve a key ESG milestone, the importance of recognition hasn't diminished. However, its delivery and implementation must adapt to changing working conditions, employee expectations and sustainability requirements.
Complementing those organic in-office moments with a relevant reward and recognition programme and a digital platform available to all, including dispersed teams, can significantly boost employee engagement, motivation and retention.
FlexGenius offers fully integrated reward and recognition modules, allowing your organisation to roll out innovative and engaging reward programmes simply and efficiently, tailored to your workforce's specific needs.
If you’d like to join companies experiencing increased employee engagement and retention by offering thousands of benefits, sign up to FlexGenius today.
To find out more about FlexGenius or book a demo of our leading flexible employee benefits software solution, book a demo now or visit our contact page or give our team a call on 0800 652 4745.
This article was first published on the REBA website. FlexGenius is a member of REBA, the Reward and Employee Benefits Association.
