In today’s competitive talent landscape, retaining top talent and keeping employees, at all levels, engaged is more critical than ever. If 2024 is the year of retention then organisations need to build and maintain a culture of retention – and that starts with the way we recognise and support our people.
One of the memorable keynote observations for me recently came from best selling author on human relationships Esther Perel at Workhuman’s 2023 conference, when she said “We used to leave our jobs because the factory closed. Today, we leave jobs because we aren’t being recognised”. All the research I’ve been involved with in recent years on retention and engagement always comes down to how well recognised and supported our people feel.
The conversation around recognition in the workplace has now evolved from a mere nicety to a strategic imperative for organisations worldwide. However, this often requires an internal culture shift for many HR and business leaders, and it can still be a struggle to have the necessary conversations with the right people.
At Workhuman Live I had a podcast conversation Brenda Pohlman, a practice leader and senior recognition strategist at Workhuman, about how we can shift the dial on internal conversations around recognition and engagement and make the business case for the investing in recognition.
Here are the 5 key points from the conversation:
1. Seeing recognition as the cornerstone of Engagement and Retention
Brenda underscored the undeniable link between recognition and employee engagement and retention. At the time of our conversation there was still a lot of speculation around trends like “great resignation”, which underlined an opportunity for organisations to see that recognising employees for their contributions is not just a feel-good practice, but a strategic necessity. Research consistently demonstrates that employees who feel valued and appreciated are more likely to stay with an organisation and exhibit higher levels of engagement.
2. Leveraging Technology to Facilitate Recognition
While recognition may seem like a straightforward interpersonal interaction, Brenda highlighted the role of technology in driving and facilitating these practices within organisations. Contrary to any concerns that technology may erode human connections, it can be the conduit for bringing back the natural inclination to express gratitude in the workplace. We are used to thanking people digitally in our day to day lives and there’s no reason why technology-enabled recognition platforms at work can’t streamline the process, ensuring consistency and scalability across the whole organisation.
3. Training and Tools for Effective Recognition
One crucial aspect that often gets overlooked is the need to help and support employees with the necessary training and tools to express gratitude effectively. Brenda raised the point that whilst the sentiment of recognition may be natural, the skill to articulate it meaningfully requires guidance and practice. By offering training programs and intuitive tools, businesses can empower their workforce to engage in consistent and impactful recognition practices.
4. The Role of Monetary Rewards in Recognition
Non-monetary recognition is valuable as it’s usually expressed personally (whether in person or through technology) and creates a positive emotion. However there is a strong case to be made for incorporating a monetary component into the recognition experience too. This can enhance the impact and connection of recognition, especially when it’s coupled with specific feedback. Contrary to concerns, research indicates that monetary rewards, when appropriately integrated into the recognition, contributes significantly to the overall recognition experience and wider employee morale.
5. Making the Business Case for Recognition
The imperative of building a robust business case for recognition should resonate well with HR leaders and line mangers. Demonstrating the tangible benefits of recognition initiatives, such as improved employee engagement, retention, and improved organisational performance, is essential for getting support from organisational leaders. By quantifying the ROI of recognition programmes, HR professionals should be able secure the support and resources necessary to embed recognition into the organisational culture.
It’s clear that now, more than ever, recognition isn’t a formality or nicety, but a strategic lever for driving employee engagement and retention. By embracing technology, providing training and tools, integrating monetary rewards, HR leaders should be in a position to build a compelling business case, enabling their organisations to harness the transformative power of recognition to create thriving workplace cultures where employees feel valued, motivated, and inspired to contribute their best.
You can listen to my full conversation with Brenda Pohlman on HR Means Business – Helping Business Leaders to Understand the Power of Recognition
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