As an award and recognition company, we often champion the many benefits of implementing employee recognition. For example, companies with recognition programs experience financial savings from increased productivity, lower turnover, and other factors related to boosting employee morale. A recent Gallup report has neatly summarized just how profound this financial benefit can be. The report was done in partnership with Workhuman and is entitled “From Praise to Profits: The Business Case for Strategic Recognition.”
What They Found
Gallup, a renowned authority in organizational research, embarked on a comprehensive study, analyzing hundreds of companies and thousands of teams across a variety of industries. Their findings conclude that employee recognition can actually improve an organization’s financial success. Currently, employee disengagement is at a decade-high, and they’re looking to feel valued at their places of work. By implementing a strong employee recognition program, Gallup found that a 10,000 person company can save up to $16.1 million a year due to reduced employee turnover.
Helping employees feel valued through recognition is proven to boost productivity, engagement, morale, and positive customer experiences while reducing safety incidents, absences, and turnover. In fact, a 10,000 person company can save:
- $92 million in gained employee productivity - Recognized employees tend to be more engaged and productive, leading to significant financial gains for an organization.
- $2.8 million due to decreased injuries - Recognition programs contribute to safer working conditions, resulting in lower incidents of workplace injuries and the associated costs.
- $3.8 million due to fewer unscheduled absences - Recognized and motivated employees are less likely to take unplanned time off, reducing the financial burden of unscheduled absences on the company.
A Must-Have
We strongly recommend delving into Gallup's full report on employee recognition, as well as exploring their other resources on this topic. It's easy to perceive recognition as a kind gesture towards employees, but as the data suggests, its impact is far more powerful. As more businesses come to realize the tangible ROI associated with recognizing their employees, these programs are evolving from a nice-to-have to an absolute must-have in the modern workplace. By adopting a proactive approach to employee recognition, organizations can not only bolster their financial bottom line but also cultivate a workforce that is inspired, engaged, and committed to achieving shared goals.
As businesses look forward to 2024, creating a robust recognition program should be on their New Year’s resolution list! Dion has a dedicated team ready to help you create dazzling, unique, and meaningful custom jewelry awards. Get inspired by browsing our gallery of past products, or This email address is being protected from spambots. You need JavaScript enabled to view it. give us a call, or message us to get started!
