Here’s What Appreciation Really Means

When it comes to feeling appreciated at work, what matters most to employees? If you answered “pay,” think again. Research shows pay is low on the list.

Energage surveyed more than 20 million employees across 57,000 organizations over the past 14 years. We’ve learned that what matters to employees — what truly motivates them — is feeling appreciated. Across all U.S. sectors and populations, appreciation ranks as one of the most important workplace culture drivers.

Appreciation rates second in importance to employees, topped only by whether employees feel their organization is headed in the right direction.

It’s important to note there is no definition for appreciation in our survey. We don’t tell employees how – or in what ways – they should gauge their feelings about it. They use their own definition, and even more, employees know it when they feel it. And they can also readily distinguish between what’s authentic and what’s simply lip service.

Just as there is no single definition of how employees should feel appreciated, there is no single way for organizations to express it. Some use reward and recognition systems. This form of appreciation tends to focus on outcomes, and it’s often linked to financial awards. Other recognition systems are tied to organizational events, such as service anniversaries.

The simplest and sometimes the most effective form of appreciation is giving positive feedback or praise. “Thank you for your effort” or “You’re doing a really good job” goes a long way, whether delivered in person, electronically, or in a handwritten note.

Within an organization are different types of appreciation, because each has a unique message and meaning:

• Peer to peer: Coworkers thank others either within or outside their own team. This is especially important when teams are geographically dispersed or don’t see each other regularly.

• Manager to employee: Managers are most familiar with their employees’ roles. Employees like to know their manager understands and values their contributions.

• Senior leadership: This level is typically more general, relating to group efforts. But senior leaders can also highlight extraordinary effort. Above all, it demonstrates they see and recognize individual and team contributions.

Appreciation matters because it goes a long way with employees to improve motivation, job satisfaction, self-esteem, and retention. Cultivating a culture of appreciation helps employees feel good about the work they do, and it’s the glue that holds teams together.

Doug Claffey is founder of Energage, a Philadelphia-based research and consulting firm that surveyed more than 2 million employees at more than 7,000 organizations in 2019. Energage is The Washington Post’s research partner for Top Workplaces.