The obligation to return to the office is lowered worker moraleand some software companies think they can solve that problem.
Others not so much.
The promise of employee recognition software
In a growing number of companies, employees can earn virtual “points” from their managers and teammates for everything they do, such as giving a great presentation, helping a colleague with a project, or other acts of kindness. Masu. Those points can be redeemed for cash or gift cards (or they can just be a token of appreciation).
These workplace perks programs, called employee recognition software, were adopted by employers in the early 2000s as a way for managers to easily award points to employees who achieved milestones, said Rob Catalano, co-founder of WorkTango. he told Quartz. WorkTango is one of the few leading employee recognition software providers, with over 750,000 customers, including large organizations such as Goodwill and Habitat for Humanity. Catalano said the technology is not only being used to keep employees happy at work, but also because happy employees lead to better business performance.
About a decade ago, the software evolved to include peer-to-peer recognition capabilities, allowing employees to even award points to their colleagues. And as company leaders struggle to keep employees feeling connected through the challenges of pandemic work, more companies have adopted the software, Catalano said. These points may be converted into money, or they may simply be a symbol of a job well done.
The market for these programs is huge.Employee recognition software $33 billion According to recent projections, this industry is expected to grow to $46 billion by 2028. Major software companies featured in the game include Motivosity, Workhuman, Nectar HR, and Bonusly, along with the likes of WorkTango. And their customers are branded companies ranging from Heineken and Chick-fil-A to his KPMG, IBM, LinkedIn, and more.
software teeth This has to do with improving employee morale, but most of the statistics supporting this are usually reported by the software providers themselves. One recent research Research by Workhuman and Gallup found that this technology is associated with a 9% increase in employee productivity and a 22% reduction in absenteeism. But business experts say companies considering implementing the software amid mandated returns to the office are missing the point.
There are limits to automating gratitude in the workplace.
David Krysinski, an associate professor of management at Rutgers University, said one problem with employee recognition platforms is that they can reinforce old systems and structures that discriminate against historically marginalized workers. Stated.
“At this time in the history of the world, we are working hard to eliminate inequalities, to uplift those who have traditionally had no voice, and to uplift those who have been structurally discriminated against in our institutions. ” he said. “Those most likely to be rewarded from an organization’s culture are also more likely to be heard on these platforms.” That means employees who are more likely to be at a disadvantage in the workplace are more likely to receive rewards. He added that it means they are less sexually active.
“[I]If we are not careful about how we do these things, cultures of reward and recognition can exclude those who are already on the margins, further exacerbating the inequalities embedded in our organizations. “There is,” he said.
Additionally, points-based compensation provides little solace for more systemic job grievances, such as pay and benefits issues. In the United States, employees are generally dissatisfied with their pay. The United States has experienced record wage growth in recent years, but almost two-thirds A higher percentage of employed Americans say their pay doesn’t keep up with inflation. If an employee is asking for a raise, gift cards for presentations are of little use.
On the other hand, employee morale It has declined in recent years One reason for this, said Julia Hood, a lecturer in business leadership at Lehman College, is that many workers have lost the autonomy they were given during the pandemic. If employers want to attract and retain workers long-term, they need to take a more systematic approach to boosting morale, she added.
“We know that many companies and industries are having trouble attracting and retaining talent,” Hood said. “Employees want more than that. They want their humanity to be respected.”
Hood said that by allowing employees to “participate in problem solving” by proposing their own solutions, companies typically achieve “something more” of flexibility above all else.