In 2024, businesses have a choice: make employees feel valued or pay the price. That’s not just a figure of speech — with burnout and dissatisfaction at an all-time high, our research uncovered that 50% of employees have considered leaving their job in the past six months.
The cost of poor mental health in the workplace is also growing. Deloitte estimated it could be costing businesses as much as £56bn a year in the UK, over £9bn more than pre-pandemic levels.
To remain competitive, businesses need to take steps to make sure their people feel engaged and confident at work. But how can you be sure you’re pushing the right buttons?
Employee experience is all about appreciation
Like Maslow’s Hierarchy of Needs, we all have a hierarchy of physical, emotional and psychological needs at work – from job security to financial stability to the respect of our peers.
At the top of this hierarchy is appreciation — it’s what happens when we feel all our needs are met. A sense of fulfilment and belonging that allows people to achieve more and be the best version of themselves. A significant 83% of UK employees say they feel more productive if they have a manager who appreciates and cares about them.
Mind the appreciation gap
But demonstrating appreciation for employees isn’t an easy thing to get right – almost half of UK employees say the praise they receive at work is meaningless and feels like an empty gesture.
Overcoming this ‘appreciation gap’ – the space between standard workplace gestures and meaningfully meeting people’s needs – is one of the most effective ways for companies to show their employees that they appreciate them for who they are as an individual, not just what they do for the company.
And making that extra effort makes a big difference. Research by HAAS School of Business shows that people who are recognised at work are 23% more effective & productive. But people who are feel they are actively appreciated and valued as people are 43% more effective and productive.
Appreciation transforms performance and enhances wellbeing (according to science)
Appreciation isn’t just an abstract concept. Studies have shown that feeling appreciated leads to an increase in serotonin and dopamine in the brain – the neurotransmitters responsible for pleasure, happiness and wellbeing.
But the stress of not being appreciated – or the fear of being blamed when things go wrong – produces cortisol in our bodies*, which can make us tired, irritable, and less comfortable with taking risks.
A more inclusive attitude creates a safe environment where people feel encouraged to be more ‘themselves’ – which means a braver, bolder, more empowered and more engaged team.
* A review and theoretical integration, Clinical Psychology Review. Volume 30, Issue 7, November 2010, Pages 890-905 Alex M. Wood a, Jeffrey J. Froh b, Adam W.A. Geraghty, C.)
And that translates into real results. In our upcoming Economic Value Study, we have identified that those with a highly-engaged workforce also tend to report that business is booming.
Small acts of appreciation are infectious (in a good way)
Just as low morale has a tendency to spread through a workplace, the same is true of appreciation. When people feel appreciated, they’re more empathetic and collaborative, and more likely to spread positive feelings themselves.
Showing appreciation to colleagues strengthens the bonds between team members, who are then more likely to collaborate in the future. According to Gallup, 66% of people who are appreciated agreed that they trust their colleagues.
Appreciation grows organically, transforming a whole business and making it more effective (and more profitable).
In other words, appreciation appreciates. An investment that starts small and grows exponentially.
Businesses can harness appreciation by focusing on the total employee experience
When work is so integral to, well, work, how can companies move their focus away from their employees’ results?
At Reward Gateway Edenred, we help companies of all sizes bridge the appreciation gap by offering the right combination of engagement tools for meeting employees’ hierarchy of needs. From market-leading employee discounts and perks to reward and recognition, surveys, wellbeing and internal communications.
Our platform can be customised to suit your individual needs with solutions, including:
- Employee communications
- Employee benefits
- Employee discounts
- Recognition & reward
- Employee wellbeing
- Employee surveys
- CSR programmes
Because our intuitive platform allows businesses to care for the whole person beyond the context of their job role, we’re able to foster an environment in which people feel they can be themselves at work, and are proud to be part of the company.
And also by making it personal
Every workplace is different, so employers must adopt different strategies to keep people engaged. Our research shows that remote-working employees are motivated more by physiological rewards (like food or voucher perks), while in-office staff respond better to recognition and wellbeing initiatives. Our platform allows you to tailor your solutions, adding only the ones that are most relevant to your business. Driving maximum engagement and enhancing overall performance.
Discover the benefits of the total employee experience
Making your people feel like exactly that – people – rather than just workers occupying a role benefits everyone. Fostering a culture of appreciation is the best way to make sure your team feels valued (and avoid them wanting to quit).
Our total employee experience platform lets you personalise your employee experience, improve overall wellbeing, and give each person the confidence to perform at their best.
Capture the power of appreciation today.
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