There are several kinds of employee recognition. The most common may be recognizing anniversaries and selecting an employee of the month for going above and beyond or for exemplifying the company’s values. There are also celebrations based on the company’s anniversary, new products or record results. But it’s the day-to-day recognition from supervisors that seems to have the greatest impact on employee engagement. When the manager’s role in recognition isn’t executed, the formal recognition programs lose value. Daily informal recognition should focus on effort rather than results.
Senior management needs to have a sincere interest in employee well-being and employees must have opportunities for personal and professional development to create an engaged workforce. Management needs to maintain the human asset. True effectiveness isn’t producing as many as fast as possible. It is maintaining, even enhancing the capability to produce.
Discretionary effort should be recognized and rewarded in order for it to be repeated. Everyone wants to be someone. For some, doling out recognition is natural. According to The Carrot Principle, by Adrian Gostick and Chester Elton, good managers do one or two of the four foundations of management well. Incorporating recognition in the four will accelerate positive outcome. They define those foundations as goal setting, trust, communication and accountability. In fact, they propose the 5:1 ration of compliments to criticism to preserve morale and make it easier to give and take criticism.
Managers need to clarify expectations and draw a line of vision from the employee’s task to its purpose. Employees want to know what’s important and how they can make a difference. They also want to know what’s in it for them if they do make a difference.
Managers today hardly have the time to add one more thing to their plate. Recognition isn’t one more thing; it’s a way to manage. It’s management by getting to know employees as people. Treating employees like people shifts from telling, to discussing. It’s discussing how procedures are working and why they’re important. These discussions will lend themselves to opportunities to say “thanks.” But a thanks is not good enough.
Appreciation needs to be specific, timely and sincere. Recognition is a piece of the puzzle that accelerates engagement and satisfaction. Many studies show how an engaged workforce will improve productivity, reduce turnover and increase customer loyalty.
The connection between the manager and the employee has the strongest influence on employee satisfaction. Dialogues between the manager and employee focused on real issues will enhance production capability by creating a united effort to accomplish something greater.
The bottom line is people want to be recognized for doing a good job. If managers do that it will have a positive effect on the company’s bottom line.
Legislative Update
DOL issues free app!
The Department of Labor (DOL) has a timesheet app available in English and Spanish to provide people an easy method to track their hours worked and wages owed. DOL Secretary Hilda Solis said, “This app will help empower workers to understand and stand up for their rights when employers have denied their hard earned pay.”
A summary of hours worked can be emailed. To date, this app is compatible with iPhones, iPad and iPod Touch. The DOL is hard at work creating versions for other smartphones and has plans to include other features. The app does not use rounding which may impact employers who do. Employers are warned not to prohibit use of the app, as it may constitute “protected activity.”
Employers need to accurately record employees’ actual hours worked. When an accurate accounting of hours worked is not available from the employer, employee records are accepted at face value in wage and hour cases.
New FCRA Law
The Fair Credit Reporting Act (FCRA) will change effective July 21, 2011 as a result of the Dodd – Frank Act amendment. Employers who use a consumer report that includes a credit score to determine eligibility for employment must disclose the information to the applicant.
Employers must provide the applicant or employee a copy of the report and a copy of their rights, including the right to dispute the accuracy of the report should any adverse action be taken based on credit scores. Employers using credit scores must be aware of their obligations, including obtaining an applicant’s or employee’s consent to order the report and providing pre- adverse action notices.