The Power of Recognition: Why Celebrating Employees Isn’t Just Nice—It’s Strategic
By Ann Dugstad, Extraordinary Workforce
In today’s competitive job market, attracting and retaining top talent requires more than offering a competitive salary and benefits. One of the most powerful—but often underestimated—drivers of employee morale, productivity, and retention is meaningful recognition and rewards.
When companies go beyond the paycheck to acknowledge employees’ contributions, milestones, and dedication, they cultivate a workplace culture where people feel seen, valued, and motivated. Celebrating anniversaries, birthdays, and personal wins—as well as participating in industry events like Hospital Week, Department Weeks, and Nurses Week—isn’t just a “nice-to-have.” It’s a smart, strategic investment in your people.
The Tangible Benefits of Recognition and Rewards
Here’s how thoughtful recognition can drive real results:
1. Boosting Retention and Reducing Turnover
Employee turnover is expensive—recruiting, onboarding, and lost productivity all add up. When people feel valued, they’re far more likely to stay.
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Gallup (2023): Employees who feel recognized are twice as likely to say they’ll be with their company in a year.
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SHRM: Companies with strategic recognition programs see 31% lower voluntary turnover.
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Achievers (2024): 53% of employees say they would stay longer at a company if they felt more appreciated.
These findings confirm what many leaders intuitively know: a simple “thank you” can go a long way.
2. Fueling Productivity and Engagement
When employees feel appreciated, they show up differently. Recognition reinforces what matters most, encouraging others to follow suit.
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Harvard Business Review: Regular praise leads to higher productivity and engagement.
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Bonusly (2022): 82% of employees say recognition increases motivation.
Publicly acknowledging employees during events like Nurses Week, Hospital Week, or team milestones inspires purpose and reinforces shared values.
3. Building a Culture of Belonging
A culture of recognition signals to employees that they matter—not just for their output, but as people.
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Celebrating birthdays shows personal care.
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Honoring anniversaries reinforces loyalty and longevity.
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Participating in industry-specific weeks acknowledges the unique contributions of teams.
The ripple effect? A more connected, collaborative, and positive workplace.
How to Put Recognition into Action
Recognition doesn’t have to be costly. Thoughtful, consistent gestures can have major impact:
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Anniversary Recognition: Personalized gifts, public shout-outs, or extra time off.
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Birthday Celebrations: A signed card, small gift, or team lunch.
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Special Occasions: Mark life moments like weddings, graduations, or new babies.
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Industry Weeks: Host events, give branded gifts, offer professional development, or post thank-you messages.
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Verbal & Written Thanks: Handwritten notes and casual “thank yous” go a long way.
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Peer-to-Peer Programs: Let colleagues nominate and celebrate one another.
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Public Recognition: Use meetings, newsletters, or internal channels to spotlight wins.
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Small Incentives: Think gift cards, bonus time off, or unique experiences.
The Bottom Line
Recognition and rewards are more than perks—they’re strategic levers for improving performance and retention. By consistently acknowledging your team’s efforts and milestones, you create a workplace where people want to stay, grow, and contribute.
It’s not about grand gestures—it’s about making appreciation part of your culture.
Start small. Be consistent. Watch your team thrive.
Blog post written in collaboration with Ann Dugstad at Extraordinary Workforce.
