10 Advantages to Giving Out Years of Service Awards (and How to Do It Well)

As an employer, it can be difficult to motivate staff, keep them working hard, and encourage them to stay loyal to your organization. But, with years of service awards, you can do all of that and then some. Here are 10 advantages to giving out awards and how to do it well. 

How to Give Out Years of Service Rewards the Right Way

It’s vital to make sure that years of service awards are carried out correctly and in the right way, so that the work and loyalty of your employees are adequately recognized and appreciated. 

Here are a few tips on how to do this well:

• Consider the award type: The type of reward should be suitable for the individual and relative to the tenure achieved by the person. A plaque that showcases the number of years of service on it is the perfect way to recognize your employees’ contributions.
• Hold a ceremony: Reward ceremonies are an excellent way to recognize employees’ hard work and dedication while making the spectacle public. They can bring people together for a special occasion and make the award more meaningful and memorable. 
• Celebrate the person: Chances are, the person receiving the reward worked very hard to earn it, so make sure to emphasize this by celebrating this individual’s successes and service. Don’t just place the reward on their desk; thank them for their hard work.
• Personalize the award: Avoid making the awards too generic, and try to make them unique to each individual. Even small things, such as customized certificates, can go a long way to showing that someone’s hard work is being noticed and appreciated.
• Promote the awards: Press releases or internal announcements can be useful ways to promote the awards and bring attention to your hardworking employees. They’re also a great way to market your business, employees, and your incredible company culture.

If employee turnover is a problem in your organization, you’ll start to see some improvements when you acknowledge your staff’s hard work. But that isn’t the only reason to give out rewards.

10 Advantages of Giving Out Years of Service Awards

Over 91% of HR professionals believe that recognition will make employees more likely to stay, and they’re absolutely right. Here’s why you should give out years of service awards.

1. Increased Motivation 

Giving out years of service awards is a great way to encourage employees to stay motivated and strive for excellence in their personal and work life. By providing rewards, you make the employee feel appreciated and valued, which provides a big sense of accomplishment.

2. Improved Morale

Rewarding employees with years of service awards can greatly improve morale in the workplace. People will be proud of the awards they receive, which improves mood. Not only that, but rewards can also spark a sense of community and camaraderie among staff. 

3. More Recognition

Awards provide recognition of an employee’s work and dedication, which can be invaluable for their confidence and feeling of self-worth. When we feel like our efforts are recognized, we’re more likely to work harder. We’re also less likely to feel depressed at the thought of working.

4. Increased Loyalty 

Years of service awards can help boost employee loyalty, keeping people dedicated to the causes within your organization. Employees will appreciate being noticed and valued by the company and are more likely to remain loyal to it. Loyalty is hard to earn in the workplace.

5. Happier Customers

If employees are recognized for their commitment and loyalty, they’re more likely to deliver good customer service, which, in turn, can lead to happier customers. Every business owner wants to improve their customer satisfaction rates, as that leads to a better overall ROI and reputation.

6. Improved Retention 

By rewarding employees for their tenure, you’re conveying a strong message to other staff that their work and loyalty are valued, which can encourage them to stay within your organization longer. We all want to feel recognized, and we’ll stay in places that respect and honor us.

7. Lowered Costs 

It costs 30% to 400% of an employee’s salary to replace them after they quit, so turnover isn’t cheap. Thus, giving out awards annually can be a great way to retain staff and ultimately save money. Rather than having to hire continually, the overall cost to the business can be reduced.

8. Improved Productivity

Rewarded, valued, and motivated employees are more likely to work at their best, leading to higher productivity. When we’re in a better mood, we simply feel more energized to put more effort into our work. And as we become more productive, we also become more efficient.

9. Increased Networking 

If you’re giving out years of service awards, you’ll have the opportunity to network with other employees, which can be extremely beneficial for your organization. This is especially beneficial for CEOs or upper management that don’t get a lot of one-on-one time with employees.

10. It’s Easy to Do

It’s easy to implement years of service awards into your strategy, and despite this, the benefits outweigh any financial hit you may take when buying the awards. It’s so easy, in fact, that you should consider giving out rewards more frequently, such as after finishing a complex project.

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