4 Reasons You Need an Employee of the Month Award at Your Company

The Employee of the Month Award is sometimes considered an outdated perk, but having one of these programs for your business can be highly beneficial. Whether you choose to offer bonus payments, gift cards or simple name recognition on a certificate or plaque to staff members who go above and beyond the call of duty, you’re sure to earn more appreciation and respect when you give an Employee of the Month Award. Here are four main reasons why your company needs to offer an Employee of the Month Award.

Better Company Morale

Your staff members will likely feel more positive about coming to work each day if they know that an Employee of the Month Award can be in their future. As per an analyst from Jaycee Trophies, showing your gratitude for special employees can make your entire staff feel more appreciated. The boost in company morale may also help everyone adopt a more positive frame of mind while at work, and this could even be effective in keeping your employees healthier so that fewer people will need to call in sick.

Improved Employee Retention

One of the biggest reasons why employees leave their jobs is because they feel unappreciated for their work. An Employee of the Month Award can show your staff how much you care and value their contributions. This may be enough to retain many of your staff members who would otherwise be inclined to look for other positions.

Encourages Other Employees to Work Harder

Offering an Employee of the Month Award can encourage healthy competition among your staff. Staff members who want to earn one of those corporate plaque awards or other perks that you give to the top employee each month will be likelier to invest more effort in their work to try to impress you. However, it’s still important to remind your employees that vying for Employee of the Month shouldn’t be taken too seriously to avoid animosity that your staff members could end up feeling toward one another.

Tax Write Offs

An Employee of the Month program can even be good for your corporate finances. If you offer bonus payments or other incentives that have monetary value with each award, you may be able to deduct these expenses on your taxes. You’ll want to consult with your accountant or financial advisor before you try to claim any of these deductions so that you can avoid potential problems with the IRS.

You can be a better boss and create a stronger workforce by offering an Employee of the Month Reward. Recognizing exceptional employees will be advantageous for your business in many ways.