
WHEN YOU CAN'T SHOW THEM THE MONEY:
HOW TO MOTIVATE AND APPRECIATE EMPLOYEES IN A RECESSION
It looks like 2010 is off to a cautiously optimistic start. We're told the economy is rebounding. The Dow Jones Industrial Average is above 10,000 points and many Wall Street banks are expecting a blockbuster year. On the flip side, 85,000 jobs were lost in December, unemployment figures hover at 10 percent, and Main Street business owners remain frustrated, unable to secure loans that would in turn create jobs. So what gives?
As we kick off the new year against this discordant backdrop, employers feel like they're stranded in uncharted territory. Many new workplace obstacles have emerged as a direct result of the recession, among them the question of how to show appreciation in the workplace when limited (or non-existent) funds are available. As one client put it, "I know how to incent my staff when the bonus dollars are there, but what do I do to motivate employees now that the bonus dollars have dried up?"
After hearing so many reiterations of this question, I created a survey on the topic called Gratitude in the Workplace. After being announced in the last Moosletter, more than 150 surveys were completed. Nearly 90 percent of the respondents came from the following five industries:
- Finance/Insurance
- Scientific/Technical
- Health Care/Social Assistance
- Advertising/Marketing/Communication
- Education/Not-for-Profit
- Manufacturing
Thank you to everyone who took the time to fill out the survey. I very much enjoyed hearing your input. We promised to share the results with you, so here goes.
Thirty-three percent of the respondents report that the recession has negatively impacted how appreciated they feel at work. But despite budget cuts and spending freezes, it appears there are still plenty of things employers can do to make employees feel valued.
Of course people still want money, and we received an avalanche of comments reiterating this rather obvious fact. But remove money as a reinforcer from the equation and, believe it or not, good old-fashioned (also cost free!) verbal praise and public acknowledgment ranked highest in determining how appreciated folks felt at work, with 84 percent of the total respondents citing both methods as effective. And for some people, verbal praise and public acknowledgement ranked even higher than cold hard cash. One respondent stated, "The most important methods do NOT involve money, but taking notice when an employee goes above and beyond. Many supervisors miss this point." Greater flexibility in schedules, such as flextime or telecommuting, also ranked high, while breaks from the daily grind were considered the least beneficial.
The survey findings delight me on multiple counts. They demonstrate that even in these dark times, there is still much that can be done to increase positivity in the workplace. More importantly, they reveal what I believe to be a silver lining to the current economic crisis. Stripped of the cash once relied on to motivate staff, managers must get creative when it comes to incenting employees. Eighty-five percent of the survey respondents were from mid or senior levels at their companies, so I know that many of my readers are in positions where you supervise others. For you, becoming adept at soft skills that demonstrate appreciation to workers is just what the doctor ordered and the recession requires! Here are a few of the most valuable ones:
- Encouraging employees to express their ideas and listening to their input
- Trusting direct reports to do their jobs
- Being respectful and aware of individual differences
- Becoming more mindful communicators
I’ve poured over the data and have compiled the following results, along with some practical ideas on how to show and deliver appreciation in the workplace during the (not so) Great Recession.
EXPRESSING THANKS IS ESSENTIAL
I’ve said it before, and the survey reinforces this simple fact: people like being thanked when they do a good job. How’s that for a cheap way to make the workplace more positive? Now try taking your appreciation to the next level. When you write thank you notes via email, one respondent suggested cc’ing HR and higher management. Or, instead of dashing off an email, write a handwritten note and send it to an employee’s home address so they get a little unexpected surprise. One respondent reported, "One of the nicest thank yous I ever received at work was a simple handwritten note from a Sales VP. The note seemed sincere, not just a ‘form’ note and it was completely unexpected, which somehow made it more valuable." If bonuses are out of the question but there is still a little bit of cash in the coffer, many respondents effused about how nice it is to receive little items at work, such as gift cards to Starbucks, Amazon, or iTunes. If your company didn’t give out bonuses last year, consider handing out some little tokens of appreciation instead. Even better, make the gifts personal by giving things you know a particular person would especially appreciate—concert tickets to a music lover or a kitchen gadget to a cooking aficionado.
MAKE IT PUBLIC
Sixty-nine percent of respondents said that they wish public acknowledgment was being used more frequently at their workplace to express appreciation and motivate staff. Many mentioned really enjoying the recognition programs already in place at their companies. "We have small monetary awards ($100) with a public shout out for people who do something above and beyond what’s expected." In the past year, people have been bombarded with bad news so implementing performance awards is a useful tool for creating a happier environment. As one respondent said, public appreciation is a "great way to change the atmosphere and energy." So, don’t feel bad if monetary awards are out of the question. Respondents indicated that even a little awards ceremony along with a certificate could give staff a big morale boost.
ONE SIZE DOES NOT FIT ALL
Of the survey respondents, only 41 percent report feeling either appreciated or very appreciated at work. For those that feel otherwise (the majority of respondents), one major factor is a sense that the praise they receive comes across as insincere or canned. Dashing off a generic thank you that’s not personalized can actually do more harm than good. Be sure to let those you’re appreciating know specific things about them and their performance that you value and how their individual talents contribute to the team. Additionally, before deciding how you’re going to show appreciation to a specific person, consider their personality. "What works for one will not always work for the next. You could make someone very uncomfortable if you gave them public acknowledgment and they were very shy," pointed out one manager respondent. Another manager said she keeps an eye out for information (articles, comics, etc.) that she thinks specific members of her team will like. "I'll send these items to them with a note of appreciation to let them know that I thought of them."
PAY ATTENTION TO THAT MAN BEHIND THE CURTAIN
When dispensing praise, don’t forget to recognize folks from across all departments and those you may not see on a daily basis (behind the scene workers, telecommuters, etc). One participant wrote, "There are many operational people who work hard and no one realizes how critical their role is. I'd like to see those people recognized, too." If you don’t pay equal attention to your entire staff, your attempts at appreciation may backfire. "One problem in the organization I’m in is that perks to show appreciation are not uniform across the organization. When you see people in another group who work down the hall getting picnics thrown for them and gifts given to them as rewards for their hard work, it makes it really hard for those not in that group to not feel resentful and unappreciated."
OPPORTUNIES FOR GROWTH
This point came through loud and clear: When budgets are in the deep freeze and employees aren’t getting the bonuses or raises that they typically receive, one thing that can really be effective in showing staff that you value them is to provide opportunities for professional growth. Many of the following options can be done on a limited budget:
- Coaching or mentoring opportunities
- Lunch and learns
- Attendance at seminars/conferences/trainings
- Special assignments/projects that the employee is interested in and may be outside of their day-to-day job
- Paid time off for volunteer work
ATTENTION & ACKNOWLEDGEMENT
It’s always important to let staff members know you listen to them and appreciate their input, and it’s particularly important now. Anxiety and stress are running rampant, and knowing they are part of a team instead of working in isolation helps alleviate these symptoms. When asked what appreciation methods they would like to see being used more in their workplace, many respondents said they want more face time with supervisors. "I sometimes feel that my immediate supervisor simply doesn’t have time to bother and that’s a shame." Another wrote, "What do I want to see more of at work? Better listening skills of those in managerial positions." Even if people’s requests can’t be acted on, it’s crucial that you acknowledge that you heard their input. Your staff is out there on the front line every day, and may have some critical information or suggestions that could benefit the entire team or company. So listen up.
GIVE THE GIFT OF TIME
Overall, the survey data demonstrates that managers are pretty savvy when it comes to knowing what works in showing appreciation to staff members. We asked respondents to rank how appreciated they feel at work and then asked them to rank how appreciated they think those they supervise feel. The numbers for both questions were quite similar, give or take a few percentage points. However, when given the opportunity to elaborate, supervisors tended to write about fun get togethers and outings as effective in motivating employees while employees focused more on flex time and unexpected time off. Giving people comp time after completing a large project, permission to leave early on a slow Friday, or the ability to telecommute a day or two per week—in other words, giving people the gift of time—might be a better way to show appreciation than by birthday celebrations in the break room, pizza parties, or lunches at the local Chinese joint.
TRUST AND FREEDOM
Here’s where one of the soft skills I mentioned earlier will come in very handy. When you have a competent staff member, letting go and trusting them to do the job will not only make your life easier but will make them happier, too. One respondent wrote, "I don't think people are looking for less work. I think they're looking for meaningful work and an atmosphere of trust from their supervisors." Another said, "I want more responsibilities and more freedom in managing my own world. Basically, I want signs that supervisors and management have enough confidence in my work that they can lessen their reins of micromanagement."
DON’T KNOW WHAT WILL WORK?
I bet your employees do! One terrific suggestion we got was to "create a team grab bag where team members get to select from a list of choices—i.e., dinner gift certificates, half day off without using existing personal time, one hour of mentoring with an executive, etc." How’s that for being democratic?