For managers: Use recognition and rewards actively

It makes sense to work with opportunities to reward your employees and ensure they feel valued. When used wisely, recognition and rewards are a powerful management tool that you can use to achieve your company's goals.

Staff meeting

Recognition and rewards increase employee engagement and motivation, whereas lack of recognition and rewards can lead to frustration, burnout, stress and a feeling of worthlessness.

Video films

The film at the top of the page is a good place to start, because it’s a fictitious workplace. Include the film on the agenda for a staff meeting (and perhaps look under “Materials” in the menu for a staff meeting guide).

Remember: Watch the film carefully before the meeting, so that you know exactly what it’s about.

Prepare yourself

Prepare yourself for what you’re going to say at the meeting. Consider whether you want to come to a conclusion at the meeting, or whether you need more time to think about what’s being said before launching any initiatives.

Being clear about your expectations when the meeting begins will ensure that employees’ expectations about reaching a conclusion and any actions are aligned with what you’ve planned.

If you want to introduce rewards and recognition, you can use the material on this page.

Here is what you can do:

Below are a number of specific initiatives other managers have found useful:

  • Notice, listen and remember. Do you notice, listen to and remember your employees? At shops where managers and employees are not always present at the same time, as a manager you should be regularly in contact with your employees. This is the only way to get an idea about your employees’ performance and it is a golden opportunity to recognise their efforts.

    Recognition is also about remembering special days, showing consideration in situations where this is required and offering your help as a manager with tasks that the employee finds difficult.
  • Provide clear feedback. Provide specific and clear feedback. No matter when you recognise or reward your employees, it’s always a good idea to be as specific as possible in your feedback.

    What is meant as positive feedback can have the opposite effect and seem demotivating if the employees (and colleagues) don’t understand what you mean by it, or they think that it’s unfair.
  • Make appreciative inteviews. Make sure to hold appraisal interviews. They are good for establishing the framework of a more systematic dialogue between you and your employees.

    The appraisal interview is the employees’ possibility to receive specific feedback on their work, and it gives you an opportunity to understand how an employee feels about his or her job, and about what’s going on at the workplace.

    The interview is also an excellent opportunity to ask for feedback from the employee and find out whether the employee feels that his or her efforts are being recognised. It’s therefore a good idea to just listen for at least half of the meeting.
  • Fixed guidelines. Establish fixed guidelines for giving rewards. It’s important that your employees know the guidelines for rewards at the workplace and that the reward is perceived as fair.

    It’s therefore a good idea to define the competences required for a specific task and the job functions and results that are rewarded with a bonus, pay supplement or other benefits.

    Remember that what people perceive as a reward is very different. Apart from salary, pay supplements and bonuses, almost all other types of reward are individual. This requires a little extra effort on your side, because, as a manager, you need to know what your employees prefer.

    A group or a large company will often have general guidelines for appraisal interviews, education policy, bonus/reward systems and pay supplements. It’s important that you know these guidelines, know whether it’s possible to differentiate, and the options you have as a manager. In this context, you should use the channels available to launch new initiatives and to exploit existing initiatives in the best possible way for your department.
  • Praise each other. Build a culture, in which you praise and recognise each other. As a manager, you must lead the way in building a culture in which praising and recognising each other comes naturally. If you’re remember to praise and recognise your employees, this will typically rub off on them too.

    You can also put praise and recognition on the agenda for staff meetings or staff days. Put into words that praise and recognition help create a positive work culture.

    Be open to feedback, criticism and opinions from colleagues. If you’re receptive and react positively to your employee’s demands, feedback and criticism, you can create a trusting environment in which your employees feel comfortable talking freely. In this way, you let them know that they’re important, and you gain valuable information that you can use as a manager.

    If you receive harsh criticism that upsets you, wait to react. Thank the person for the feedback, and then talk to him or her when you’ve had a couple of days to think about it.

Think about the following

Rewards and recognition

  • When do I want to reward a work effort?
  • What kind of reward (recognition, development opportunities or salary) can I give?
  • Do I remember to recognise my employees’ work efforts?
  • Also in specific situations?
  • Do my employees think that I praise and recognise them fairly?
  • Do they think that I do this based on clear criteria and without unfair treatment?

Is it me?

  • Do I praise and recognise my employees, or do I mostly think about doing it?
  • What’s holding me back?

Feedback

  • How do I give criticism?
  • Is it constructive or merely critical?
  • Do I think about the background and situation of the employee?

Support

  • How do I support employees?
  • In what situations do I support them?
  • When do they need my support?

Feedback and recognition

  • Is there generally a positive, appreciative and praising culture in the workplace?
  • Do you say good morning and goodbye, thank each other when receiving help, do you welcome each other back when returning from illness and absence, and do you remember each other’s special days?

Last revised at 04. July 2023