For companies, retaining their top employees means keeping reliable leaders, consistent innovators and talented problem solvers. As companies reevaluate how to keep their best workers in 2021, effective employee recognition is crucial.

Over 91 percent of HR professionals believe that recognition and rewards make employees more likely to stay, and they’re right. A recognized employee is 63 percent more likely to stay at his or her current job within the next three to six months, according to SHRM.

According to the Incentive Research Foundation (IRF), with travel and experiential incentives unavailable during the pandemic, merchandise and gift cards increased, reemphasizing individual awards. Merchandise was used in 68 percent of incentive programs. The IRF’s "Rewards Preferences" study reported that “a significant merchandise gift” was ranked in both the top five employee preferences and the top five motivators. The average value of a merchandise reward is $160, and 32 percent of companies reported their average merchandise value to be $200 and higher.