Service Awards are special recognition given to employees who have worked for a particular length, called an employment milestone. The typical presentation of this award will include a gift and a letter or certificate showing appreciation for their loyal service. They're also called milestone awards, service anniversary awards, tenure awards, and years of service, on-boarding, or retirement awards.
Linking all employee recognition programs to your core values helps instill and reinforce the message that your organization appreciate and values it employees. The linkage provides motivation for your staff to work toward your company's goals and helps to improve employee loyalty and retention.
Service Recognition is given to employees who have worked for defined service milestones. Effective employee recognition for length of service includes formal recognition, with a presentation by management, an award, and a letter or certificate. The whole employee experience is designed to show appreciation for their loyalty and contributions.
For the most impact during an award ceremony, have the employee's direct manager do the presentation to the award recipient. The manager's personal thanks and comments will show all the employees that your organization appreciates and recognizes loyal service and the significant contributions each person makes.
As Human Resources or your employee recognition committee plans for a new, or updated service recognition program, they may consider adding early-service recognition, such as the completion of your On-Boarding process, and defining special recognition for retirement. Each Service Award will typically increase in value with the length of service or milestone anniversary being recognized.
Service anniversaries are important to them as well as to you. Recognizing your staff for their efforts, dedication, and accomplishments will make a big difference to them! The many benefits your employee service award program include improved: morale, engagement, productivity, loyalty, and employee retention.
When you recognize an employee for their service anniversary (the quantity of their service), do not miss this perfect opportunity to talk about their significant achievements and contributions to the company’s success (the quality of their service). This is especially valuable when done as part of a formal presentation in front of the employee's peers.
A Service Award Program is a valuable component to an organization’s comprehensive recognition plan, and provides great opportunities to recognize employees for the time they have invested in your company.
According to a SHRM* survey, almost 80% of the employees surveyed said the lack of appreciation and recognition was one of the main reasons they would leave their current job.
* SHRM - Society for Human Resource Management
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