How employee rewards can prevent burnout at your organization

While today’s regular remote and hybrid work schedules allow for more flexibility for employees, they also promote a culture of “always on” that leads to increased stress and employee burnout.

To help prioritize your team’s wellbeing, reward and recognition can be an instrument for change, but how can these help prevent burnout at your organization?

What is employee burnout?

Employee burnout is a state of chronic physical and emotional exhaustion that often stems from prolonged stress and overwhelming workloads. The impact is significant: A recent Deloitte study found that a staggering 77% of employees have experienced burnout in their current roles.

Why does employee burnout happen?

Employee burnout can stem from a variety of factors that create a perfect storm of stress and dissatisfaction in the workplace. Nearly 70% of professionals feel their employers aren’t doing enough to prevent or relieve burnout within their organizations. Understanding these causes is critical for organizations prioritizing healthier work environments.

Here are some of the primary contributors to burnout:

Excessive workload

Being consistently overloaded with tasks and responsibilities can lead to feelings of being overwhelmed. This excessive workload often leaves little room for breaks or downtime, increasing stress levels. In fact, 64% of professionals report experiencing frequent stress at work.

Poor work-life balance

Blurring the boundaries between work and personal life, especially in remote and hybrid settings, can make it difficult for employees to disconnect. This imbalance can lead to chronic stress and a sense of being perpetually "on-call.”

Lack of recognition

Employees who feel their hard work goes unnoticed may become disengaged and demotivated, contributing to feelings of undervaluation and burnout. A heavy workload feels heavier when nobody pauses to say thanks or good job.

Limited growth opportunities

Without a clear path to career advancement or professional development, employees may feel stagnant. This sentiment of feeling “stuck” can decrease motivation and increase frustration.

Role ambiguity

Unclear job expectations and responsibilities can create confusion and anxiety among employees. When individuals are unsure of their roles, it can lead to stress and a sense of inadequacy, further fueling burnout.

By addressing these underlying causes, organizations can take proactive steps to mitigate burnout and promote a more engaged and inviting professional environment.

Rewards and burnout: How reward and recognition help prevent employee burnout

By recognizing and celebrating the contributions of employees, organizations can foster a vibrant culture of appreciation that inspires individuals to excel. Thoughtfully designed reward and recognition initiatives not only boost morale but also deepen the connection between employees and their workplaces, resulting in heightened productivity and improved retention.

When implemented with care, here are some ways these programs can help prevent burnout:

Personalized rewards prevent emotional fatigue

Tailoring rewards to individual preferences and needs can significantly increase their impact.

When employees receive recognition that resonates with them personally, whether it’s a gift card, extra time off or a public acknowledgment, they feel valued and understood. This personalization helps combat emotional fatigue by reinforcing their sense of belonging and appreciation within the organization.

Timely recognition prevents burnout from escalating

Recognizing employees' efforts in real-time can prevent feelings of being overlooked or undervalued. Timely acknowledgment of hard work not only boosts morale, but also helps address any potential burnout before it escalates. Regular feedback and recognition create a supportive environment where employees feel their contributions are noticed and appreciated.

Celebrating milestones sustains motivation

Acknowledging significant milestones, such as work anniversaries or personal achievements, can sustain motivation and engagement. These celebrations serve as reminders of progress and success, reinforcing a positive work experience and encouraging employees to continue striving for excellence.

Peer recognition improves culture

Encouraging peer-to-peer recognition fosters collaboration and creates a supportive workplace culture. When employees acknowledge each other’s efforts, it builds camaraderie and strengthens professional and personal relationships. This sense of community can alleviate feelings of isolation and stress, contributing to a more resilient workforce.

Fair reward systems reduce frustration

Equitable reward systems can help mitigate employee frustration. When employees perceive the reward process as equitable, it enhances their trust in the organization and reduces feelings of resentment. A fair system ensures that everyone feels they have an equal opportunity to be recognized for their contributions.

Employee-driven rewards increase impact

Allowing employees to have a say in the types of rewards they receive can significantly increase their effectiveness. When employees can choose rewards that matter to them, it enhances their engagement and satisfaction. Granting this autonomy not only empowers employees but also ensures that the recognition is meaningful and impactful.

Connecting rewards and job burnout to effectively prevent employee fatigue

Implementing a rewards and recognition strategy requires intentionality and care, especially when the goal is to combat or mitigate employee burnout.

Effective R&R programs do more than celebrate achievements; they support the whole employee and create an equitable workplace.

Below are some best practices to ensure your strategy helps prevent fatigue while fostering a culture of appreciation and sustainability:

Avoid incentivizing overwork

Recognizing commitment to work is important, but unintentionally rewarding behaviors that promote overwork create unhealthy habits. When employees feel like they’re only acknowledged for working late nights or skipping vacations, it can reinforce a culture where burnout becomes normalized. Instead, celebrate results and successes achieved through balanced effort and collaboration. Consider rewarding efficiency, creativity, and work-life harmony in order to encourage employees to prioritize wellness while still excelling in their roles.

Train managers to spot burnout early

Managers are often the first to notice subtle signs of employee burnout, whether it be declining engagement or visible stress. Equip leaders with training to identify warning signs early and intervene before burnout escalates. Provide tools and resources that foster open conversations about workload, mental health, and support needs. Recognizing and addressing burnout signals early on demonstrates organizational care and reduces long-term impacts of employee fatigue.

Create employee feedback loops

Employee participation in shaping your R&R strategy is essential to its effectiveness. Regularly soliciting feedback through surveys, focus groups, or one-on-one discussions can help ensure your programs and rewards align with employee needs and preferences. Employees should feel empowered to share their experiences and suggest improvements without repercussions. This collaboration not only ensures that rewards resonate, but also creates a sense of ownership and partnership in creating a healthy workplace environment.

Build a culture of recognition

A strong recognition culture serves as the foundation for motivated employees. Encourage both top-down and peer-to-peer appreciation to create a workplace where acknowledgment is a daily habit, not a rare event. When recognition becomes an integral part of the company culture, employees feel consistently valued and supported. By normalizing recognition, organizations can create a sense of belonging and camaraderie that helps against the pressures of demanding work environments.

Reinforce company values through rewards

When rewards highlight behaviors that exemplify your core values, such as innovation or collaboration, it encourages employees to embody those principles in their everyday roles. This alignment strengthens the company’s mission, as well as ensures that recognition is meaningful and reflects what truly matters to the organization.

By implementing these best practices, organizations create a workplace culture where rewards and recognition serve as a tool for preventing burnout, rather than contributing to it.

Thoughtful R&R initiatives signal to employees that their wellbeing matters, creating a supportive environment where they can thrive.

Build a reward and recognition program that prevents burnout with Reward Gateway | Edenred

At Reward Gateway | Edenred, we understand that reward and recognition program helps create a culture of continuous recognition and appreciation across your entire business. Our platform allows you to recognize and reward your people in ways that are meaningful, personalized, and aligned with your company’s brand. From real-time recognition to tailored rewards that inspire your team, we make it easy to prioritize employee wellbeing. 

Schedule a demo with Reward Gateway today, and discover how our solutions can help your organization create a culture of recognition that drives engagement and fuels long-term success.