Positive appraisal of a job well done is key to having satisfied employees and increasing productivity. Let’s see what types of labor recognition exist and how companies use them.
It is evident that the main reason we work is to receive a decent salary at the end of the month, and offering a salary that covers all needs has to be the main priority of companies and the government. However, some specialists and studies have highlighted the importance of the existence of other types of incentives that go beyond salary when looking for work or feeling professionally satisfied.
Many workers choose the companies they work for because they are socially responsible, have a real commitment to the environment or feel that they are doing good to the world, also because they feel valued and self-fulfilled within them. The culture of recognition has become essential for many organizations; some workers prefer it rather than receiving better salaries in places where they feel zero value.
Promoting people’s satisfaction at work is essential for companies, since a motivated and happy employee is a more productive employee. Business psychology found that the two most important factors for job satisfaction are motivation and hygiene, the latter including the protection of both the physical and mental health of workers.
One of the key and most studied strategies to increase motivation is the establishment of rewards, among these is job recognition. In this article we are going to explain how this affects employee motivation and performance, exploring the different types of labor recognition and how to apply them
Within the business area, as we have said previously, job recognition is a type of reward; is also defined as the gratitude that companies express to their employees This is offered for a job well done, but it is not always monetary; a few words of gratitude also serve to recognize the value of employees.
The very definition of recognition already offers a good framework for its application at the business level. It is a distinction that is granted based on the characteristics and traits of someone or something, it is also synonymous with gratitude for a favor or outstanding behavior.
It is important to understand that a recognition It cannot be something standard or pre-made that is automatically awarded ; for example, upon reaching certain years in the company. The employee who receives it has to feel that job recognition is personal. Your specific way of working or getting involved makes you deserve the reward, otherwise the prize will fall on deaf ears.
In a published work on job satisfaction. He measured, among others, the impact of recognition as a strategy to have motivated employees. This study concluded that employees who feel appreciated within their companies by their bosses and colleagues have better possibilities for growth and a career plan and show greater motivation. Therefore, we see how job recognition strategies are useful to, on the one hand, keep the employee in the company and, on the other, to increase their productivity.
Its benefits in companies
Job recognition specifically has a positive impact in different areas.
1. Productivity
As we have already mentioned, people’s motivation and happiness have a direct impact on the productivity of companies. It is estimated that employees who feel valued and satisfied, can increase your performance by up to 30%
2. Commitment to colleagues and clients
A good work environment, where communication and the expression of gratitude are encouraged, It will foster not only a good relationship between bosses and employees, but also between colleagues
3. Business loyalty
It is evident that people do better work when we feel that it not only affects the company, but also favors our personal interests, whether monetary or work-related.
4. Work health and well-being
Occupational health is not exclusively concerned with the physical integrity of workers, and also encompasses mental health ; Workers who feel satisfied have lower levels of stress and express higher levels of well-being.
5. Collaboration between teams
It is interesting to understand that although job recognition is personal, it is important to understand that it is offered within an organization, therefore, the rest of the team must be taken into account. Recognition does not try to encourage competition between colleagues but on the contrary, collaboration, where the good work of everyone will allow each individual to achieve their objectives and feel valued within the group.
What types of labor recognitions exist?
Despite its benefits, many companies still do not apply this strategy for the well-being of their workers. More than 50% of employees say they do not feel sufficiently valued in their jobs. They do not receive recognition from the company, nor from their direct bosses, in fact, they say they feel undervalued. According to a study carried out by Gallup, 65% of workers did not receive any type of labor recognition in the last year
Different consulting companies have carried out different studies where they show that all types of job recognition encourage collaboration between colleagues, promote health and increase job satisfaction, which, as we have repeatedly insisted, also has an impact on productivity and improves business results.
The types of labor recognition can be divided into different categories: on the one hand, there are monetary and non-monetary recognitions and on the other, formal or informal recognition.
1. Formal labor recognitions
Formal recognitions follow a structured plan or internal processes in which It is decided to grant the reward to a specific employee or a group, based on objectives that can be measured This recognition has to be aligned with the values and behaviors that the company chooses as its own.
2. Informal job recognitions
This type of recognition has no planning , it is simply based on spontaneous actions that arise between the boss and collaborators. They are tokens of gratitude for a job well done, which can translate into an invitation to lunch, a thank you note, or a small detail. Although they are seemingly simple acts, these are highly valued by many employees and in the long run they are key in building a good work environment for everyone in the company and also encourage motivation.
3. Monetary labor recognition
Monetary work recognitions include rewards that go directly to the checking account or are tangible, such as trips, cars, gift certificates, etc. They are the types of classic recognitions and recognized as such. In our heads it is evident that if they pay us more it means that they really value our work.
One of the most common monetary recognitions, especially in the sales and customer service sector, are bonuses Bonuses are occasional payments that workers receive when they reach sales objectives or pre-established goals. The monetary labor recognitions also include salary increases and retirement plans.
Although this type of recognition is the most important, since it has a direct impact on improving the quality of life, It is advisable to use them in conjunction with other types of strategies so that the worker feels valued This type of recognition, without good communication, can be associated with a company custom rather than a recognition of the individual or group work of employees.
There are different types of non-monetary job recognition, among the most relevant are verbal recognition and the construction of a good career plan.
4.1. Verbal recognition
Verbal recognition is an important job recognition on a daily basis But you have to know how to use it.
On the one hand, if we receive compliments, but they are of the type “very cool, you are a genius, everything is perfect,” at first they can be positive and relieve us, since they generate confidence in a new job. But, After a while, these comments, if they continue, will become something empty and they could be interpreted as a lack of interest on the part of our bosses in our work or make us think that it really is not that relevant. It is better to make a less effusive, but more specific comment: “I really liked Thursday’s presentation, it was very original and fun, but also the information was very clear. Congratulations!”
On the other hand, if really the only thing we receive in our work are good words and these are not accompanied by other recognition, especially monetary, such as a salary increase, it is likely that we will end up feeling frustrated and the words will stop making sense: “Ok. , but pay me better.”
4.2. Career plan
Among non-monetary recognitions, the possibility of moving up at work and acquiring new responsibilities and tasks is often what keeps us motivated. At the peak of human needs is self-realization, feeling that we are growing facing new challenges, in addition to having a future perspective is essential for motivation.
But as for other recognitions, it is essential that the tasks and responsibilities are adapted to the salary and also allow for conciliation, otherwise there is a risk that the worker ends up dissatisfied or suffering from stress.
