What is Employee Recognition and Reward Policy?

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Employee Recognition and Reward policy is an official statement on behalf of the company that says that employees/teams who deliver exceptional performance and contribute to the company’s well-being. The policy entails that such employees must be recognized in a proper form, which is inspirational to them and their colleagues. It will develop a lively competition among the employees that will indirectly benefit the company’s status. The policy outlines that company must not promote any favoritism as it will only lessen their dignity amongst the employees. On the contrary, well-defined appraisal programs will promote a healthy culture for the company to attract more candidates.

The policy develops best practices to set the high-performance standard every time an employee is rewarded for some category. As the employees will be motivated to achieve high targets, the company’s market value will improve and increase. Grow a positive and enthusiastic working environment for your company with our Employee Reward and Recognition policy template.

In this policy, you will get:

• The definition and purpose of designing rewards and recognition policy.
• The scope of the policy to which it applies.
• Sample formulated policy to help you develop for your company.
• Examples of Employee Appreciation ideas you can use to your company.
• Guidelines that enable employees to understand the procedure.
• A well-designed procedure that does not promote favoritism.
• Sample method to collect nominations under the policy statements.
• To form a unit which notices the work of every employee and delivers rewards to the worthy one.
• To improve the company culture by adopting such policies for your company.

Employee Recognition and Reward Policy Template Sample

‘Name of the Company’ believes that every employee who has an excellent performance must be encouraged and appreciated in an equal and helpful manner. The rewards, company passes on to the employee may be anything but creative, unique, or useful. The responsible team will choose when and for what reason to appreciate employees with rewards.

Under this policy, every employee who has performed excellently for the (time) with a defined proof of the same will be rewarded in any way that the ‘Name of the Company’ feels suitable and worthy.

Purpose

The purpose of rewarding employees is to stimulate and trigger a spark in employees to perform greater and greater every time. The regular recognition of employees without any alteration will help encourage team efforts, increase organizational value, promote a better culture, and improve peers’ behaviors.

Scope

The Scope of this policy expands to every employee who is on a full-time employment basis with the company.

Guidelines

• An employee should be rewarded for significant efforts made towards the company’s profitability in any possible way.
• Rewards should be meaningful, unique, and creative to the employees.
• The reward must promote the culture and working environment of the company.
• Rewards should not be any adjustments to the company’s salary or other monetary funds to the employee.

Employee Recognition and Rewards Alteration

‘Name of the Company’ believes that every employee is equal to them, and every employee must be gifted equally without favoritism. The company will not allow and tolerate any kind of bias for employees.

The company will strive to take action against the individual/team who promotes favoritism and guarantees employees to maintain equality.

Types of Rewards

‘Name of the Company’ supports the reward category within the listed performance requirements as follows:

• More than (years) served for the company
• Excellent usage of skillset
• Increased customer success
• Perfect attendance for a month
• Achieving the assigned target before the specified time interval
• Excellent research for an undertaken topic

Reward Guidelines

The rewards and recognitions distributed by the ‘Name of the Company’ are categorized according to the following chart:

• These rewards do not apply to customary-work expenses like travel, attendance, conferences, and professional organization memberships.
• Before distributing the Monetary rewards, the authorized unit must consult with the Heads and the Human Resource department.

Reward Application Procedure

‘Name of the Company’ encourages distributing the rewards through a fair means, and practices are made to collect nominations from every employee of the staff to maintain equity and quality.

The unit specially formed to look after the employee engagement will take care that awards are delivered fairly and transparently. They will collect the nominations throughout the year, analyze them, and distribute them regardless of favoritism.

Rewards Collection Method

To ensure a transparent reward system in the company, ‘Name of the Company’ promotes blind voting. The methodology will be carried out as follows:

• The votes from the employees will be collected without their names.
• The voter must be able to explain why he/she choose the respective person into this.
• The unit formed will collate the votes and will analyze it.
• The reward winner will be announced on the date of delivery.

Employee Appreciation Programs

‘Name of the Company’ defines various programs other than just monetary and Non-monetary rewards for recognitions of its outstanding employees. Special Employee Appreciation Day is celebrated which expresses our trust towards their roles and efforts they have put to make the company stand on a higher platform.

Some of the examples of other Employee Appreciation Programs include:

• Team Lunch
• Endorsements and recommendations
• Time-off or Day-off
• Business suggestions
• Training and career-based rewards
• Gift of health and many more…

At ‘Name of the Company’ we believe that recognition is not limited to monetary rewards, we happily appreciate our employee through innovative and unique ways which are different based on the achievements.