The Power of Praise & Recognition on Employee Happiness

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Jami Oetting
Jami Oetting


Your team might show up every day because they have to pay the rent or their mortgage at the end of the month, but it doesn't mean they are engaged or happy.

employee recognition and happiness tips

And disengaged workers can cost you money — in terms of productivity or lost accounts due to neglect or poor attitudes. Not to mention their feelings and attitudes can influence the people around them, leaving you with what could become a human resources problem (among other things).

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So what makes employees happier and more satisfied at work?

The Power of Employee Recognition

It turns out that employee recognition is the second most powerful source of employee satisfaction — in the rankings, it follows achievement yet comes before the work itself and job advancement opportunities.

In fact, employees not adequately recognized at work are three times more likely to leave in the following year. So, it goes without saying that employee recognition is an important practice that should be systemized to avoid your employees going elsewhere.

To further drive this point home, let's touch on some of the (many) benefits of employee recognition.

Benefits of an Employee Recognition Program

Employee recognition and praise have the power to increase:

  • Loyalty
  • Retention
  • Morale and motivation
  • Productivity
  • Notability for the company
  • Happiness and delight
  • Engagement

So, how to you actually get these results? With a program focused solely on employee recognition and praise.

Create an Employee Recognition Program

You need a process for employee recognition that occurs either weekly, monthly, or quarterly — because, while you might have the thought to tell a colleague they did a good job on a project, you might also forget to execute on the idea and quickly move onto something else.

To enhance your program, you may set aside time on your entire teams' calendars for an employee recognition day among an array of other tactics and tools to help you boost employee engagement.

Cake HR put together the below SlideShare that details why employee recognition can't be ignored in your agency. It includes some ideas for simple and effective ways to recognize and reward your team members.

Recognize Your Employees

When you spend the time planning and implementing an employee recognition program, you'll be able to promote greater happiness across your organization. And with that comes improved employee productivity, engagement, retention, motivation, and loyalty.

Editor's note: This post was originally published in December 2015 and has been updated for comprehensiveness.

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