The ROI of Appreciation: Building a High-Performing Workforce 

Team showing appreciation to their coworker.

Why Appreciation Matters Now More Than Ever 

Today’s employees expect more than a paycheck. They want to feel seen. 23% of U.S. employees believe they receive meaningful recognition for their work. What is the ROI of appreciation? Those who believe they receive meaningful recognition for their work are four times more likely to be engaged and five times more likely to stay with their current employer. Meanwhile, the cost of replacing an employee can reach up to two times their annual salary, according to SHRM, which makes the case for investing in appreciation even stronger. 

Recognition does not have to mean extravagant rewards. Simple acts like verbal thanks, highlighting wins in team meetings, or sending personal notes can go a long way towards acknowledging your workforce. Recent research shows when companies embed recognition programs into the culture, organizations see an increase in engagement. These statistics clearly demonstrate the ROI of appreciation is real, not theoretical. 

The Link Between Recognition and Productivity 

Appreciation creates a feedback loop that fuels performance. When employers recognize employees, employees experience a surge in motivation and are more willing to go above and beyond. The American Psychological Association found that 93% of employees who feel valued are more motivated to deliver their best work, compared to only 33% who do not feel appreciated. In skilled and industrial roles especially, recognition also influences safety and teamwork. Employees who feel respected and appreciated tend to be more proactive in identifying risks and supporting their peers. 

The ROI of appreciation extends beyond individuals to entire organizations. Companies with high recognition cultures have been shown to enjoy a lower turnover rate and an increase in productivity. The math is simple: investing in gratitude pays back in engagement, retention, and operational stability. 

How Recognition Connects to Workforce Support 

Recognition is not only verbal. It is also practical. A powerful, often overlooked way to show appreciation is to recognize when your team’s workload is too high. During periods of high demand, acknowledging workload strain and taking action to reduce it shows employees that their well-being matters. Partnering with a staffing provider like Peoplelink Group can make all the difference. By supplementing your core team with flexible staffing solutions, you demonstrate that you value both productivity and balance. Whether through contingent labor, project-based support, or specialized placements, Peoplelink helps alleviate pressure points so your workforce can perform at their best. Pairing appreciation with tangible support builds trust and encourages long-term loyalty. 

Practical Ways to Reinforce Appreciation 

  1. Be specific and timely: Recognize achievements immediately and describe what made the contribution valuable. 
  1. Include everyone: Appreciation should reach all levels from entry-level workers to leadership. 
  1. Leverage peer recognition: Beyond praise by management, encourage employees to celebrate each other’s wins. 
  1. Invest in flexible support: Use staffing partners strategically during peak seasons to prevent burnout and show employees their health and balance matter. 

Partner with Peoplelink Group to Strengthen Workforce Appreciation 

More than a gesture, appreciation is a growth strategy. When recognition incorporates concrete action, it strengthens your culture, improves retention, and boosts productivity across the board. Track retention, absenteeism, and engagement scores after implementing recognition programs, and you will see the true ROI of appreciation. 

At Peoplelink Group, we help employers express appreciation not just in words, but through solutions that relieve strain, promote balance, and empower your workforce to perform at their best. Ready to explore how appreciation can become part of your performance strategy? Contact us today! 

Fairness First: Avoiding Favoritism in the Workplace

Two staff members working together with envious staff member alone in the foreground.

What Is Workplace Favoritism? 

Workplace favoritism is when employees receive preferential treatment based on personal relationships rather than qualifications or performance. This unfair advantage may show up in many ways including promotions based on friendships, exclusive access to high-profile assignments, and ignoring or excusing poor behavior of “favorites”. Favoritism disrupts fair workplace practices and can damage team dynamics. Unchecked favoritism drives away top talent and lowers engagement. 

How Common Is Favoritism in the Workplace? 

Favoritism is more widespread than most employers realize. In the U.S. alone, 56% of executives admitted to playing favorites when making promotion decisions. 96% said they would promote their favorite even if another employee had stronger communication skills. 47% of employees believe their manager has a clear favorite on the team. These statistics highlight how pervasive and normalized workplace favoritism is and how essential it is to combat it. 

The Negative Impact of Workplace Favoritism 

Damaged Employee Morale and Increased Turnover 

When employees feel overlooked or undervalued due to favoritism, motivation drops. Workers disengage and lose trust in leadership. Employees are more likely to leave if they see their efforts ignored in favor of office politics. Replacing top talent is costly and time-consuming.  

Toxic Work Culture and Lower Productivity 

Favoritism creates cliques, gossip, and resentment. A divided team cannot collaborate effectively, making it harder to reach goals. Managers may assign work to the wrong people simply due to bias. This leads to inefficiencies, poor results, and project delays. 

Legal Liability 

In some cases, favoritism can lead to discrimination claims or lawsuits. Employers must ensure policies are fair and compliant with labor laws. 

How to Address and Prevent Favoritism at Work 

Combating favoritism starts with creating a transparent, inclusive work culture. Leadership sets the tone. When leaders are transparent, fair, and open to feedback, favoritism declines. Promote a workplace culture where decisions are based on skill, effort, and performance, not personal relationships. Employers and HR professionals should consider these best practices: 

1. Implement Fair and Clear Policies 

Standardize hiring, promotions, and reward systems. Make policies accessible and understandable for all employees. 

2. Use Objective Performance Metrics 

Measure employee performance with data and KPIs rather than subjective opinions. 

3. Offer Equal Opportunities for Advancement 

Rotate assignments and leadership opportunities so everyone can grow and shine. 

4. Train Leaders on Unconscious Bias 

Managers often favor those they relate to. Regular training helps them identify and avoid this behavior. 

5. Foster Open Communication 

Create channels for employees to report favoritism without fear of retaliation. Anonymous surveys can help. 

6. Conduct Regular Policy Audits 

Review decision-making processes in your workplace. Look for patterns that indicate bias and make changes where needed. 

In the end, workplace favoritism does not just hurt individuals. It hurts your bottom line. Addressing favoritism head-on creates a more productive, inclusive, and engaged workforce. If you are ready to create a more balanced work environment, we can help. Connect with Peoplelink today!