5 Benefits of an Employee Rewards Programme

Updated: Aug 5

For any business to succeed, it’s important to keep employees engaged all year round by having a positive workplace culture.

Rewards and recognition programmes can serve your business in multiple ways.

Whether you're beginning your recognition programme or looking to refresh what you have in place already, surprising your staff with unexpected gifts is a great way to make people feel appreciated.

Let’s look at the five benefits of a rewards and recognition programme.

1. Motivate and engage employees

Success-themed rewards generally create more success. If you’re rewarding an employee for doing a great job on a project or for hitting a target, the boost in morale an unexpected gift provides has a lasting effect.

Poor engagement rates have been directly linked to a decline in productivity, in fact, a staggering 85% [1] of employees are either not engaged at work or feel actively disengaged.

Unexpected rewards make people pay more attention to what happens next and can have a tremendous effect on how well employees are motivated.

2. Boost Productivity

When your employees are engaged, your business is likely to be more profitable. In fact, research shows that higher employee engagement levels can increase profitability by 22%. [2]

A positive atmosphere at work is the key to boosting productivity and collaboration, and a happy team in turn will improve your business and make it more efficient.

3. Raise your company profile

Most people imagine customers when they think of brand ambassadors, however, your employees are one of the most credible sources to promote your company goals and values. Whilst it’s rare to find employees promoting their company’s mission, this doesn’t mean they don’t believe in their company. Most people enjoy sharing their success and benefits, and many find self-promotion comes naturally.

Traditional company benefits, whilst attractive to new hires, are rarely bragged about. Whilst a great dental plan might make it onto Glassdoor, it’s unlikely to feature on an employee’s Instagram story. Whereas a new starter finding a welcome gift box on their desk, or a remote working finding a surprise first-day package at the door, is more inclined to share this gesture with others.

4. Impr