Employee Performance Rewarding Works – Here’s Why

You pour your heart into your business. You work tirelessly to make it successful. But are you overlooking one crucial element?

Your employees. It’s the beating heart of your operation.

They’re the ones who bring your vision to life. And if you want to see real growth, you need to make them feel valued. Rewarded. Appreciated.

It’s not just about throwing money at the problem. Sure, bonuses are nice. But true employee satisfaction goes deeper. It’s about creating a culture of recognition. A place where hard work is celebrated.

Where people feel like they belong. Like they’re part of something bigger than themselves.

Still not convinced? Let us break it down for you.

Why It Matters

Happy employees stick around longer. They’re more productive. More engaged. Companies with effective reward programs see a 20% employment engagement increase. Highly engaged teams are 25 % more profitable.

But it’s not just about the numbers. When you reward your people, you’re telling them you see them. You appreciate their efforts. And that feeling? It’s priceless.

Provide unique rewards

Let’s start with the fun stuff. While bonuses and raises are always appreciated, think outside the box with some unique rewards tailored to your company culture. A thoughtful mix of the following can go a long way in making your top performers feel truly valued:

• Surprise them with an impromptu paid day off via email. A spontaneous long weekend? Yes, please!
• For the music lover, score tickets to see their favorite band or artist in concert.
• If they’re a sports nut, treat them to tickets for the big game or a premium subscription to their go-to sports streaming service.
• Avid travelers will jump at the chance for a sponsored weekend getaway to a destination of their choosing.
• Help ease the household burden with grocery store gift cards. Practical and appreciated!

The options are endless – get creative with rewards that cater to their specific interests and hobbies outside of work.

Invest in professional and personal development

Investing in your employees’ growth isn’t just good for them, it’s a savvy move for your company too. By sponsoring opportunities to expand their skills and knowledge, you’re creating a more talented and motivated workforce. A few ideas:

• Cover the costs for them to attend an insightful industry conference, seminar or masterclass.
• Reimburse tuition for continuing education like certifications or degree programs related to their role.
• Let a stellar employee tackle a passion project that excites them and benefits the company.
• Arrange mentoring sessions by pairing them with a respected senior colleague.
• Pursue personal enrichment by gifting a membership to a library, book club or hobby class like art, music or pottery.

The more you invest in their professional and personal development, the more engaged and invaluable they’ll become.

Align rewards with performance

Of course, any good incentive program needs to directly tie rewards to the metrics that really matter for your business. If hitting aggressive sales targets is a top priority, implement a program that compensates your sales team based on their attainment of those goals. Some potential performance-based rewards:

• Quarterly or annual bonuses for exceeding quotas
• Lucrative commission rates or accelerators
• Stock options for company overachievers
• Profit-sharing incentives
• Salary increases for consistent top performers
• Coveted perks like extra vacation days or remote work flexibility

Leveraging digital HR tools with customizable dashboards allows you and your employees to easily track their progress towards goals in real-time. The transparency fuels motivation and accountability.

Offer personalized and specific recognition

While group rewards are motivating, don’t underestimate the power of personalized recognition. Celebrating an individual’s unique accomplishments makes them feel truly seen and appreciated in a much more impactful way. A few personal touches go a long way:

• Have the CEO or a senior leader write a heartfelt note highlighting their specific contributions and impact.
• Spotlight their achievements companywide through internal comms channels, email newsletters or social media.
• Interview the employee about their outstanding work and share the video with the team.
• Create a custom gift like a company t-shirt or plaque with their name and photo commemorating the occasion.
• On major milestones, arrange for their family to join celebrations at the office.
• For an easy win, never let a birthday go by without a card, treat or small present!

Getting this personalized makes an employee feel like more than just another cog in the machine. They see you genuinely value them as an individual.

Reward teamwork

While individual recognition is great, it’s also crucial to incentivize amazing teamwork and collaboration. The most innovative products and solutions arise from coworkers combining their talents. When a team pulls off something huge together, provide a meaningful shared reward to celebrate their unified efforts:

• Spring for a fun team outing like laser tagging, go-karting, bowling or a tasty group lunch.
• If the team prefers low-key bonding, order in a catered meal or snack basket for them to enjoy together.
• Give each teammate a custom t-shirt, mug or piece of swag commemorating the group accomplishment.
• Experiences mean more than stuff, so annual tickets to a sporting event, comedy show or concert can be a phenomenal shared reward.

However you approach it, rewarding teams (not just individuals) reinforces that you value employees who cooperate, share ideas and elevate each other’s work.

Donate to a charity or cause

For employees passionate about social impact, making a donation to a cause they care about can be an incredibly meaningful reward. Giving back creates positive change beyond just your workplace. A few ways to put this into action:

• Allow the honoree to select a reputable charity or nonprofit, and make a generous donation in their name.
• Instead of a cash gift, cover the costs for the employee and their family to volunteer for a day at a local organization.
• For remote teams, coordinate group participation in a charitable virtual event like a 5k walk/run.
• Cater a meal for volunteers and staff at a food bank, animal shelter or community outreach program.

Tying the reward to social good amplifies its significance and helps your company build goodwill. It’s a powerful way to make your values as an organization more tangible.

Create fun surprises

In addition to formal rewards, you can keep things light and spontaneous by surprising employees in fun, casual ways. These little gestures go a long way in making folks feel appreciated. Some ideas:

• Have their favorite snack or meal delivered right to their desk or home with a playful note.
• Leave a spa gift basket, small plant or sweet treat on their desk as a “just because” pick-me-up.
• For major achievements, arrange a special office celebration like decorations, treats, music and fanfare when they arrive.
• Create custom memorabilia like branded swag or a plaque commemorating a huge deal they helped close or project they spearheaded.

These thoughtful, unscripted surprises make the daily grind more delightful. Don’t underestimate the motivational power of some festive confetti!

Recognize major and minor achievements

While celebrating major breakthroughs is a must, it’s equally important to acknowledge the smaller wins along the way. Consistent recognition and positive reinforcement keeps your team motivated until they cross those bigger finish lines. A few ways to provide that steady stream of encouragement:

• Celebrate work anniversaries with a special treat or gift each year. Go bigger for major tenure milestones.
• In team meetings or standups, start by highlighting individual’s recent accomplishments and successes (big or small).
• Send out regular kudos emails or Slack messages giving shoutouts for impressive work.
• Print out certificates or give out small branded tokens to commemorate mini-milestones.
• For promotions or title changes, make sure to properly announce, congratulate and commemorate the levelling up.