Dos and Don’ts of Employee Rewards and Recognition

Employee rewards and recognition programs are essential for maintaining a motivated and engaged workforce. While these programs can take many forms, from financial incentives to public recognition, the key is ensuring they are implemented effectively. In this blog, we will explore the dos and don’ts of employee rewards and recognition, including common mistakes to avoid.

Whether you are a manager or an HR professional, this article will provide valuable insights and best practices for implementing a rewards and recognition program that drives results and improves employee engagement.

Here are some dos and don’ts of employee rewards and recognition that can help organizations avoid common mistakes:


Effective employee rewards and recognition programs involve clear goals, frequent communication, and personalized approaches; here are some do’s to implement such approaches.

Set a goal:

While planning to implement rewards and recognition strategies for your employees, always ensure that you have a clear and measurable goal. This will allow you to define your strategies and reward those who deserve them. Read more about SQM Club.

Keep it personalized:

Ensure to personalize the reward and recognition program keeping the interest and preference of each employee. Personalization of the employee recognition reward makes it more meaningful and valuable to the employees and thus boosts employee engagement. You can understand the interests of the employees by doing an employee engagement survey.

Make it inclusive:

Employee reward programs should be inclusive and open to all employees. This means that it should be planned in a way that each employee should be recognized for their contribution towards the organization’s success irrespective of the job title. An inclusive program ensures every employee feels appreciated and valued, ultimately leading to job satisfaction and retention.

Make it fair and consistent:

Each employee has a specific contribution to the company’s success, so while strategizing the reared and recognition program, make sure to put in place treats all employees fairly and consistently. It should provide equal opportunities and benefits for everyone. This will promote a positive work culture and encourage employees to strive for excellence.


You must know many aspects while preparing rewards and recognition programs; here are some points you need to keep in mind and avoid as much as possible.

Avoid Competitive Rewards Programs Among Employees:

Creating competitive rewards programs can motivate employees to perform at their best but also create an unhealthy and cutthroat work environment. Employees may become overly competitive and engage in negative behaviors, such as sabotaging their colleagues or hiding information, to gain an edge.

Avoid implementing without planning:

Implementing employee rewards and recognition programs without proper planning and evaluation can lead to adverse outcomes. For instance, if the program is not designed correctly, it may not motivate employees to perform better. It may also fail to recognize and reward employees fairly, leading to dissatisfaction and resentment. Thus, it is essential to carefully plan and evaluate the rewards and recognition program, considering the needs and preferences of employees and the organization’s goals and resources.

Avoid making it difficult: 

Complex reward and recognition programs for employees can have adverse effects. It may cause confusion and frustration and discourage employees from actively participating. Thus, keep it simple and easy to understand, with clear criteria for eligibility and straightforward processes for nominating and recognizing employees. The focus should be on encouraging and recognizing positive behavior and accomplishments rather than making the program overly complex.


The bottom line is that implementing an effective employee recognition program can be a valuable tool for promoting employee engagement, motivation, and productivity.