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Why Recognition Matters More Than Ever in Retention Strategies

Feb 2, 2026 8:00:02 AM / by Lauren Zahakaylo

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Employee retention has become more challenging as burnout continues to rise. In fact, 66% of employees report experiencing burnout, making it harder for organizations to keep teams engaged and motivated. When stress goes unaddressed, turnover often follows, especially when employees feel their efforts go unnoticed.

That feeling is more common than many leaders realize. 58% of employees report not feeling valued at work, and this lack of recognition is a major contributor to disengagement and attrition. Recognition directly addresses this gap by reinforcing that effort matters and people are seen.

 

Recognition has a measurable impact on retention

Recognition is not only cultural, but it’s also strategic. Research shows that employees who receive high-quality recognition are 45% less likely to leave their jobs, and organizations with strong recognition programs experience up to 31% lower voluntary turnover. Employees who feel recognized are significantly less likely to feel burned out or actively seek new roles.

At the same time, recognition is declining. Only 19% of employees report being recognized weekly, and manager-led recognition continues to drop, which is exactly when teams need it most.

 

Where gift cards fit into recognition strategies

Recognition works best when it’s both emotional and practical. While a sincere “thank you” matters, pairing it with a tangible reward helps the message last. Gift cards are especially effective because they offer flexibility, choice, and immediate value without feeling transactional like cash or impersonal like generic swag.

Used thoughtfully, gift cards can:

  • Make recognition feel tangible and timely
  • Support personalization at scale
  • Reinforce desired behaviors quickly

When paired with specific, timely recognition, even modest gift card rewards can significantly increase engagement and reinforce loyalty.

 

The takeaway

Burnout is rising, recognition is slipping, and retention is under pressure. Organizations that prioritize frequent, meaningful recognition, supported by practical rewards such as gift cards, are better positioned to reduce stress, strengthen engagement, and retain their best people longer.

Sources: Gallup, Forbes, BrightPlan, Achievers Workforce Institute

Tags: Motivating Employees, Happy Employees, Employee Recognition, Employee Engagement, Employee Appreciation, Employee Experience

Lauren Zahakaylo

Written by Lauren Zahakaylo

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