Retention is one of the most critical challenges for businesses today. High turnover can cost companies up to twice an employee’s annual salary, considering recruitment, training, and lost productivity.
While competitive pay and benefits are important, one factor consistently drives retention across industries: gratitude. Employees who feel recognized and valued are far more likely to stay.
Gratitude Drives Engagement
Gratitude and engagement are tightly linked. Employees who feel appreciated report:
• Higher job satisfaction
• Greater commitment to company goals
• Stronger alignment with team values
“Employees who feel recognized are 7 times more likely to be fully engaged at work.” (Achievers Workforce Institute)
Engagement is a retention multiplier. When employees are engaged, they are motivated to stay and contribute more.
Recognition Reduces Turnover
Organizations that embed gratitude into their culture experience lower turnover rates.
Gratitude Strengthens Loyalty
Gratitude does not just prevent employees from leaving, it builds loyalty. Employees who feel valued are:
Recognition, when done consistently, creates a culture where people want to stay, not because they have to, but because they feel seen.
Make Retention Strategic
Embedding gratitude into your retention strategy turns recognition into a measurable business tool. Rather than sporadic thank-yous, structured recognition programs deliver predictable engagement and retention outcomes.
Put Gratitude Into Action
Retention starts with appreciation. Download Gratitude in Action: A Year-End Guide to Recognition Programs to learn how to implement structured recognition, measure its impact, and keep your top talent engaged and motivated.