Develop a Culture of Recognition at Work to Better Mobilize Teams and Improve Performance

Indeed Editorial Team

What is recognition at work, and why is it so important? People are fundamentally motivated by recognition — when others highlight their achievements or attractive qualities.

In the past, recognition at work mainly consisted of giving a pay raise, bonus, or end-of-year gift to employees in recognition of their effort and performance. Today, the world of work has evolved significantly, and people's needs are changing.

This article explores the benefits of cultivating recognition within your company and focusing on teamwork and collaboration to optimize employee engagement and improve collective performance.

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Recognition is not a futile exercise

According to Jean-Pierre Brun, professor and Chair in Occupational Health and Safety Management at Laval University and author of books on recognition in the workplace, recognition is a practice that is well worth developing*.

Recognition is essential for organizations and promotes psychological health, wellbeing, commitment, and performance. According to Professor Brun, while remuneration does not significantly influence recognition, it does have a considerable impact on satisfaction. 

Practicing recognition at work has many benefits, including an improved work environment, increased staff engagement, better stress resistance, and increased productivity. In short, recognition boosts health and happiness at work.

It has also become a major issue for retaining talent within an organization and is a powerful indicator of a company's economic performance.

Needs for recognition at work are changing

Employees are increasingly likely to change jobs when they do not feel valued. This is all the more important as new generations of hires are about to replace retiring baby boomers. These younger generations have a strong need for recognition at work. For the first time since July 1, 2023, the millennial generation (born between 1981 and 1996) comprised a greater number of people in the population than the baby boomer generation. Alongside Gen Z., these new generations of workers have differing views on work-life balance and company loyalty.

According to Jean-Pierre Brun's research1, workers want to be valued more than ever. While study participants said they were happy to receive recognition in the form of a performance bonus or an occasional "thank yous", they underlined the importance of the following aspects: Participation in decision-making, discussions, and information-sharing, as well as contributing to new projects.

In other words, workers want to feel that they have a place in the company, have a role that matters, and are recognized as contributors. This recognition should come from superiors, peers, and colleagues. Recognition among teammates will become ever more important with the arrival of younger generations as they prioritize their relationships with others.

Engagement and recognition go hand in hand

In a study on multi-generational engagement, Mercer reports that the top factors that shape employees' commitment to accomplishments are:

  • meaningful work
  • recognition
  • career development
  • an inspiring mission

The report also cites a lack of feedback as a factor that undermines employee engagement.

Smart employers know that employees who are mentally and emotionally invested in their work and their organization work harder, longer, and provide better customer service.

The survey draws this conclusion: stock performance is 11% to 16% higher in organizations with high levels of employee enthusiasm than those without.

Collective recognition

Recognition isn't limited to acknowledging individual performance. Where collaboration and teamwork are essential to the workplace, it may be more relevant to recognize teams, departments, or certain categories of employees. Showing recognition to groups of employees helps you cultivate a culture of cooperation and gives you a better chance of achieving your desired outcome. Here are some examples of collective recognition:

  • Highlighting the success of a project team
  • Thanking members of a department for their cooperation and support
  • Consulting with a team before making a decision that concerns them
  • Writing an internal article on a collective achievement
  • Rewarding all employees after overcoming a crisis

Do people have too much of a need for recognition?

An excessive need for recognition is linked to an individual's lack of self-esteem. People who experience this often have difficulty recognizing their own merit and need constant reassurance. Sincere gestures of recognition to teams and employees daily positively affect workers' commitment, sense of belonging, and happiness.

Recognition at work is closely linked to staff engagement and, therefore, staff retention. The arrival of new generations of workers and the challenges posed by a changing job market put the need to cultivate and encourage employee and team recognition back on the agenda.

1 The power of recognition at work: 30 practical sheets to motivate and improve performance, Jean-Pierre Brun and Christophe Laval, Eyrolles, 2018.

* French article

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