The Gift of Employee Appreciation

Study after study shows that the #1 motivator for employees is to feel appreciated. How are you treating your team?

I’ll never forget when I was working at a large online retailer in Seattle, doing my best to power through one of the many stressful days I faced there. Frequently, it helps to just walk away for a minute, so I took 5 minutes to briskly walk around the block a few times, letting the drizzly air replenish me.

When I came back to my desk, I found a can of Diet Dr. Pepper and a package of peanut M&Ms—two of my favorites. I looked up, and my manager gave me a smile. She knew how hard I was working, and she wanted to show me how much she appreciated it. Frankly, it felt wonderful.

Although an annual raise, a quarterly bonus, or an extra week of paid vacation is divine, just feeling appreciated at work can make a huge difference in employee satisfaction. And with happier employees, companies see better retention rates, stronger internal teams, and higher productivity.

In fact, employees are much more motivated by non-cash, tangible gifts than by money itself. Many studies have proven the point, including one from EconStor by German and Swiss researchers. “As part of the study, one group [of employees] was gifted with a water bottle worth about seven Euros,” reports Rebecca Hinds in Inc. Magazine. “The other received seven Euros in cash. Productivity among employees who received the water bottle increased by 25 percent—an increase that more than offset the cost of the bottle itself. In contrast, productivity among those who received the cash remained stagnant.”

If productivity increased 25% from a water bottle, imagine what a gift every day for a week could do? With employee burnout running rampant, it’s critical that managers take the time to show their appreciation.

And for those who start talking about the cost of gifts, I would ask you to consider the price of losing an employee. The Center for American Progress (CAP) estimates that the cost to replace a $10/hour employee is $3,328. And for mid-range employees making about $40k per year, CAP estimates the cost to be about $8,000. The Society for Human Resource Management believes the cost to be even higher—an average of about 6 to 9 months’ salary per employee. With that formula, a $40k/year manager could cost $20,000 to $30,000 to replace if he or she quits.

The costs aren’t just in advertising, interviewing, screening, and hiring. They also include training, lost productivity during new employee ramp-up time, lost productivity of other employees whose morale has lowered, and natural errors while the employee learns the ropes. All of these factors get to be pretty pricey.

What was the cost of the soda and candy that my former manager gave me? Maybe $2. But that wasn’t really the point. For me, the best part was that it was such an unexpected treat, and it made me feel really good. She definitely got her money’s worth!

Whether you’re hoping to show appreciation and reward your team on Employee Appreciation Day (every March 1), the administrative professionals in your office (April 24, 2019), or your best customers on Client’s Day (every March 19), consider The Days of Gifts. Choose from one of our multi-day “just because” packages—send it to yourself and present your employee, admin, or client with a unique, quality, SURPRISE gift every day. Or contact us to create something custom for your team. Your employees will love you for it!