Article: The pitfalls of peer recognition programs

Benefits & Rewards

The pitfalls of peer recognition programs

A look at the potential negative effects of public peer recognition programs and how HR can improve them
The pitfalls of peer recognition programs

Peer recognition programs that publicly celebrate employees’ contributions may not be as effective as we think. In fact,they might even have the opposite effect in that they discourage helpful behaviour among employees, research suggests.

The study, published in the Journal of Applied Psychology, found that employees who were not recognised for their help were less likely to help others in the future, especially if they believe their contribution was greater than those of co-workers who were commended.

“When employees feel that they deserve recognition from their peers but do not receive it, employees can conclude that they are unfairly treated, and this makes employees less willing to help other co-workers, not only the co-worker they feel treated them unfairly,” said lead researcher Pei Wang, a Ph.D. candidate in accounting at the University of Waterloo.

The study involved 202 participants on Amazon’s Mechanical Turk platform. Participants were told they helped a co-worker and then read a scenario describing how much help they provided compared to another co-worker. Some participants believed they provided more help, while others believed they provided less help.

Afterward, participants rated their willingness to help the co-worker they assisted and the co-worker who received recognition.

The researchers found that participants who believed they provided more help were less willing to help both types of co-workers in the future. This suggests that when recognition is perceived as unfair, it is likely to damage employees’ willingness to help others, even those not directly involved.

Understanding motivations behind helpful behaviours

The findings show the complex dynamics between the helper, the worker, and the recogniser in a peer recognition scenario. The researchers found that when a worker perceives their contribution to be greater than a recognised co-worker (the helper), their willingness to help both the helper and the recogniser decreases significantly.

They also challenge the idea that envy motivates increased effort in the face of unfair recognition as the researchers did not find evidence that envy mediated the effect of recognition on helpful behaviour.

In the study, the researchers found that when employees felt their contributions were undervalued, their intrinsic motivation to help was diminished. This highlights the importance of recognising and valuing all contributions, regardless of whether they are publicly acknowledged.

The results of this study suggest that organisations need to be more mindful of the potential negative consequences of public peer recognition. While these programs can be a valuable tool for boosting morale and motivation, they need to be implemented carefully to avoid creating feelings of unfairness and resentment.

Rethinking peer recognition programs

With new work dynamics emerging from the study, organisations may have to rethink the way they implement peer recognition programs. Here are some key takeaways that business leaders may want to consider moving forward:

Focus on private recognition

Consider implementing a system that allows for private recognition in addition to public recognition. This would allow employees to acknowledge their colleagues’ contributions without creating a sense of competition or unfairness.

Ensure fairness

Strive to create a system that is perceived as fair and equitable by all employees. This may involve clearly defined criteria for recognition and a process for ensuring that all employees have an equal opportunity to be recognised.

Communicate effectively

Clearly communicate the goals and purposes of the peer recognition program to employees. Educate them about the potential drawbacks of public recognition and how the system will be used to mitigate those drawbacks.

A balancing act between public and private employee recognition

While peer recognition programs have the potential to boost morale and motivation, they must be implemented with care.

By understanding the complex dynamics between helpers, workers, and recognisers, and by taking steps to ensure fairness and transparency, organisations can create recognition programs that truly benefit their employees and the workplace as a whole.

Organisations must strike a balance between public and private recognition, ensuring all employees feel valued and appreciated for their contributions.

By doing so, they can create a workplace culture that fosters collaboration, innovation, and overall employee well-being.

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Topics: Benefits & Rewards, Culture

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