Why peer recognition at work can be a two-edged sword

Why peer recognition at work can be a two-edged sword

An employee's perceived value in the eyes of colleagues could strain teamwork and overall efficiency, as well as create an ultra-competitive environment.

Peer recognition seeks to generate motivation by encouraging employees to acknowledge and appreciate the work of their colleagues. (Envato Elements pic)

Recognition in the workplace is becoming an increasingly important issue for companies. Managers and human resources professionals are developing a number of strategies to make staff feel valued, including peer recognition.

But this isn’t always a successful strategy – at least, not according to research recently published in the journal “Accounting Perspectives”. Pei Wang, a researcher at Canada’s University of Waterloo, explains that peer-recognition programmes can have detrimental effects on group cohesion.

On the whole, this managerial practice seeks to generate motivation by encouraging employees to recognise and appreciate the contributions of their colleagues. The aim is to ensure employees no longer have the impression of being replaceable within a company but, on the contrary, feel seen, understood and appreciated for their true worth.

But Pei Wang has found that peer recognition can put a strain on teamwork and collective efficiency if a worker does not feel sufficiently valued by their peers.

In the academic paper, the researcher describes a situation in which two employees help one of their colleagues carry out an assignment. The latter thanks only one of the two, giving rise to feelings of incomprehension and mistrust on the part of the neglected employee.

This worker is also less likely to get involved in the future, in the absence of positive feedback about their contributions.

“When employees feel that they deserve recognition from their peers but do not receive it, employees can conclude that they are unfairly treated. This makes employees less willing to help other co-workers, and not only the co-worker they feel treated them unfairly,” Pei Wang explains.

Disengagement is gaining ground among young workers who attach less importance to career development than their elders. (Envato Elements pic)

This is not the only drawback of peer-recognition tactics. According to the researcher, it can create an ultra-competitive atmosphere that could, in time, lead to tension between employees.

It can also be counterproductive if employees don’t know what to value in their colleagues. “It may be helpful for managers to communicate with employees and come up with guidelines on what should be recognised via public peer recognition and what does not need to be,” Pei Wang advises.

Whether it’s from colleagues or managers, recognition at work is crucial to employee motivation and loyalty. Indeed, disengagement is gaining ground within companies, particularly among young people, who attach less importance to career development than their elders.

Indeed, 37% of working people in France say they are close to quiet quitting, according to a survey from 2022. Good pay and the prospect of promotion are no longer enough to motivate them: they need to know that their superiors and colleagues are aware of the added value they bring to their work.

To that end, a simple “thank you” or “good job” can be enough to restore an employee’s optimism and help make them more productive in the long term.

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