Reward to Retain. We all know that saying. Reward what you want to repeat; Reward to retain your talent; Reward to increase your production; Reward to keep employees happy. Glassdoor, Inc. confirmed in their 2015 survey that more that 80% of employees were motivated to work harder and stay at their jobs longer when they received appreciation and reward for their work. But even more eye-opening was that the survey also found 79% of employees felt undervalued due mainly to lack of recognition.
But how do you reward employees when your budget is next to nothing? Stress not – there are ways. As they say “the best things in life are free”. Well, not always, but let’s look at a few ways to make it seem like that may be true when it comes to rewarding your employees.
Here are 5 ways to reward employees while on a very tight budget:
- Send a Note. Let’s consider the employee who has worked above and beyond to get a project done right or a company goal met on time. Many hours of dedication and true grit without of whisper of a grumble. Have your owner or the President of the Company write and mail that person a note thanking them for all their hard work and letting him/her know how much it was recognized and appreciated.
Once the President of a large company I worked for in CA wrote such a note to a production employee. Years later when that employee was killed in a motorcycle accident, his wife had many of his former co-workers over after the funeral service. As the President was mingling at the home, he saw his old note on the refrigerator, where his wife explained it had been for the past 4 years. She told him when things got crazy at work he would see that note and be reminded that he was appreciated.
- Remember the Family. Often employees are asked to work long hours, or travel away from home extensively for periods of time. The valued employee can handle that because they know it’s what’s needed to be done, but what about the wife/husband at home, or the kids who are without Dad (or Mom) for periods of time. Don’t forget about the impact to their family life that crazy work hours have on your employees too.
When this happened at a mid-size company I worked for in FL we would send the wife flowers with a note saying something like: “Thank you for sharing your husband through this period of long working hours and excessive job demands. We appreciate him and we appreciate your support in all you do at home when he’s away”. When I worked for a toy company we would also send a toy for each child or a gift certificate to take a shopping trip to a local Target or toy store. Once we sent a spa certificate to the wife instead of flowers. But what if you have no budget at all? Have the President write and mail a note to the family to express his thanks for their support. The key is to not forget those who are also feeling the pain from your employee’s crazy work demands.
- Praise in Public. In your department meeting or at a general company meeting, take a few minutes to thank those who have gone above and beyond. A few heartfelt sentences from a respected manager, or even a co-worker, can make a person feel appreciated. You could give out small gift cards, like a $5.00 “Thanks a Latte” card from your local coffee shop, or a “You Deserve a Break” lunch coupon. And speaking of praising in public, always remember to give credit where credit is due. Don’t take sole credit for the success of a project or a goal met. Managers should always give praise those who contributed to their success, never taking sole ownership for the results. No one does it all alone. And celebrate successes! That’s the fun part of managing.
- Provide Opportunities. Recent statistics have shown that the employees perform and thrive best when they are given more opportunities (Gallup’s State of the American Workplace Report). Studies have also found that people tend to stay at a company longer if they can see a career path there and/or are given the chance to learn different functions within the organization. This is a win-win for all. Cross-training, mentoring, job shadowing, and training all add value to the employees on both the giving and the receiving ends, and help to create a culture based on team success. Offer Emerging Leader trainings, lunch-and-learn presentations by the senior team members, and cross-training programs within each department. Share skills and knowledge freely and make it one of your core values. Create a career path for each employee and ensure they are all clear on the mission and vision of the organization. And remember opportunities can be from other areas, not just career growth. It can come in the form of financial growth, professional growth, and personal growth opportunities.
Providing opportunities for employees can also come in the form of your benefit packages. Health Management and Mindfulness benefits can provide employees with the opportunity to take care of themselves and doing what’s best for their personal wellbeing by embracing a healthy lifestyle that is supported by work values as well.
- Give On-The Spot recognition. When you see your employees doing something great, above and beyond, helping a fellow employee, solving a problem, etc., give them an on-the-spot reward. It can be a candy bar (many with meaningful names like: Skor, Mr. Goodbar, Extra, Life Savers, 100 Grand, Smarties, etc.). It could be verbal recognition, a handshake or pat on the back. On the Spots could also be given to and from co-workers, not just by managers. If your team is working hard to finish on time and they finish a little early, let them all go home 30 minutes early. Reward immediately for a job well done. Make it unexpected and meaningful.
Even children learn best when feedback is given immediately. It’s the way parents often train their children to do what they want them to do. When I was a Kindergarten teacher right out of college (many, many years ago) I would whisper to a room of noisy kids with something like “If you can hear me, raise your hand and I will give you an M&M”. Maybe one or 2 kids would hear and raise their hand, so I would give them an M&M. Then all the other kids would stop and say “I want one too! or “Can I have an M&M?” I would then quietly say that I had asked if anyone wanted one, but they were not listening so unfortunately they don’t get one this time. After a short while as soon as they saw my lips moving they would quiet down, just in case there may be a reward coming.
There are many more reward ideas that are inexpensive that you are hopefully using already. The value is in the effect the reward and the recognition has on the employee. Some of the best forms of recognition are priceless. Give praise often, say “Thank You” wherever you can, and recognize the valuable time and effort employees give to their employer every day while at work.
Eileen has practiced HR for over 30 years and has served in both large companies and boutique companies, including Disney, Hasbro, and Umpqua Bank. She currently serves on the board of directors for the EDD/EAC as well as the NCHRA. A Bay Area native, Eileen enjoys visiting Lake Tahoe, reading, and spending time with her family.