Give your employees praise, not perks

Companies should forgo “headline-grabbing perks” in favour of a simple “thank you” and recognition for a job well done, according to global recruitment firm Hays.

According to Hays, most Australian workers would rather be praised for their successes than offered unwanted perks by their employers.

“Headline-grabbing perks have been a trend for many organisations in recent years,” Hays managing director in Australia and New Zealand Nick Deligiannis.

“However, when it comes to attracting and retaining the top talent, improving staff recognition is usually a lot more beneficial.”

In recent years, he continued, unusual perks and rewards have increasingly been used as differentiators for many organisations, but, according to Hays, the answer is much simpler.

“The fact that so many workplaces are foregoing recognition is concerning, given the impact doing so can have on a business, including its culture,” he said.

As O.C. Tanner manager of institute research and assessment Alexander Lovell added: “Workplace culture comprises six elements: purpose, opportunity, success, appreciation, wellbeing and leadership.”

“Recognition has a tangible impact on each one of them. When it is used to improve culture, we have seen a significant impact on an organisation’s ability to retain, engage and attract talent. For example, we saw engagement increase 129 per cent in organisations that move from weak to strong recognition practices. Additionally, people stay with an organisation two to four years longer when best practice service recognition is implemented,” he said.

“Employee appreciation doesn’t have to be expensive to be beneficial,” noted Mr Deligiannis.

“Instead, it’s more about taking the time to recognise success and make your employees feel valued. It should be personal and therefore more effective. Good bosses know what motivates and engages their staff and will take the time to treat them as individuals.”