Star Players

In today's economy, most employees are happy simply to have a job. But, what about tomorrow? Can you say—with confidence—that your staff feels valued? And that they'll stick with you when greener pastures beckon?

Benefit packages have taken a beating lately, no doubt. (The price for health insurance? Yeah. We're not even going there right now.) It's a trend affecting employers across the board, small and large.

According to the 2010 Employee Benefits survey from the Society for Human Resources Management (SHRM), 72 percent of HR professionals said the economic downturn had negatively affected their company's employee benefits. Although benefits packages remained relatively stable in since 2009, "benefits offerings experienced a downward trend when compared with results from five years ago."

Small, independent businesses have a strong advantage, though. They are far more likely to offer "little things" that add up to a big perk package. When the turnaround comes, these elements will be crucial to employee retention.
 

Notes from the trenches. Businessman and author Todd Patkin has something to say on the subject of perks. And he isn't just a talking head—he speaks from experience. For nearly two decades, he was at the helm of his family's auto parts business, Autopart International, until it was bought by Advance Auto Parts in 2006. During that time, Patkin made it his number-one priority to always put his people and their happiness first.

"As a leader, I quickly found that if my team was content and their work environment was a positive one, they would be more engaged and motivated, and they would truly care about our organization's future," he said. "Plus, it was even more rewarding for me to see that my employees were happy—and often even ecstatic—than it was for me that we were making money."

Patkin added, "It's more important now than ever before to show your employees love and appreciation, because we're in the midst of an economic downturn, so you probably won't have the money to give big raises and bonuses."

And, Patkin noted, if your employees are perpetually stressed out, they'll be less motivated and more disengaged. When they're unhappy, they'll do only what they must to avoid chastisement…and you'll lose money in the long term. Also, when the economy turns around, they'll be more likely to look for new jobs elsewhere.

"If there is one thing I would like to tell all leaders at all levels and in all industries, it's that you have nothing to lose and everything to gain—including an improved bottom line—by making your organization as happy a place to work as possible."

Patkin offered five "show-the-love" strategies that you can use to say thank you without spending a cent:
 

Send a note. Writing and sending a thank-you note is standard practice when you receive a gift. When you notice that an individual has done an excellent job or has achieved an important goal, send a specific handwritten note conveying your appreciation. This will take only one sheet of paper and five minutes out of your day, but it'll make a lasting impression on your employee.

"When you're a leader, you're busy and often overwhelmed," Patkin said. "It's understandable that you might overlook saying the words 'thank you,' much less writing them. Remember, though, that positive reinforcement and sincere gratitude will increase the respect your team has for you and will improve their opinion of your entire organization."
 

Distribute inspiration. Inspiration and rejuvenation aren't hallmarks of the average workday. According to Patkin, though, buoying your team's spirits should be one of your daily goals. If you help them to improve their attitudes and ways of thinking, their professional and personal productivity will increase too.

"If you run across a quotation or story that inspires you, don't keep it to yourself—pass it along to an employee, and perhaps, if appropriate, also mention that the quote or anecdote reminded you of him and his great attitude," suggested Patkin. "Alternatively, you might consider sending out a quote or lesson of the day. Yes, the idea might sound hokey at first, but I firmly believe that most people vastly underestimate the power of feeding their minds with inspirational and educational material."
 

Tell success stories. Even if they brush off praise or downplay their achievements, everybody loves to be recognized and complimented. When someone in your organization has done something great, tell her that you noticed her outstanding work, and tell the rest of the team, too. Whether correctly or incorrectly, many employees feel that their leaders take them for granted and only point out their mistakes, so make it your daily mission to prove that perception wrong.

"When I saw that one of my people did something noteworthy, I made sure that everyone else knew about it by sending the story about her accomplishment around in an e-mail to the entire chain," Patkin recalls. "I could literally see the glow on the highlighted employee's face for weeks, and I also noticed that many of the other team members now worked even harder too in order to earn a write-up themselves. Remember to always praise in public as 'loudly as possible,' and conversely, criticize only in private."
 

Identify stars. According to Patkin, identifying stars is taking the success stories concept to the next level. Yes, recognize achievements whenever you see them, but also make celebrating your stars a regular event. Sure, some team members will roll their eyes at "Employee of the Week/Month" programs, but you can rest assured that no one is going to turn down this honor.

"Instead of singling out just one person, you might even consider recognizing multiple individuals every month," Patkin suggested. "For example, I always wrote about several store managers in our 'Managers of the Month' newsletter. Later, I included assistant managers, store supervisors, store salespeople, and our drivers in this letter of champions as well. My profiles for each star would often be a full page in length, lauding both their professional achievements and wonderful personal qualities."
 

Make it a family affair. Whenever possible, engage your employees' families when praising them. Having a leader validate all the hours each team member spends at work will be remembered far longer than a bonus (really!). Plus, when spouses and kids know what Mom or Dad does at work and are "on board" with it, your employee's performance will be buoyed by the family's support.

This is as easy as leaving a detailed voice-mail message on the home phone, outlining what a great job Mom or Dad is doing.

"Trust me, showing people love, appreciation, and respect trumps money just about every time when it comes to building long-term motivation and boosting employee morale and loyalty," said Patkin. "When you take the time to make your employees feel valued, they'll know that you care about them on a more personal level, and they'll be much happier at work."

You can get more insight from Patkin in his new book: "Finding Happiness: One Man's Quest to Beat Depression and Anxiety and—Finally—Let the Sunshine In."