Recognizing your employees with a Years of Service Award can pay dividends to your business. This recognition is simple and easy to administer, however, it is often is overlooked.

When to recognize

With the average cost of replacing an employee estimated at 120-150% of their annual compensation, there are plenty of good reasons to recognize employees for their tenure with your company. Consider starting with recognition for 2 Years of Service, and then next at 5 years. Continue in 5 year increments.

How much is enough?

If you have planned and implemented your Years of Service Award recognition properly, the budget allocation for the awards is usually the easy part. Typical award budgets for Years of Service are based upon your average wages and the value you place upon longevity. Examples of how companies and organizations have computed these budgets include:

$0.10 per day x 5 days = $0.50 per week x 50 weeks = $25.00 per year

• 5 Years  $125.00
• 10 Years  $250.00
• 15 Years  $375.00
• 20 Years  $500.00
• 25 Years  $625.00
• 30 Years  $750.00
• 35 Years  $875.00
• 40 Years  $1,000.00

$0.25 per day x 5 days = $1.25 per week x 50 weeks = $62.50 per year

• 5 Years  $312.50
• 10 Years  $625.00
• 15 Years  $937.50
• 20 Years  $1,250.00
• 25 Years  $1,562.50
• 30 Years  $1,875.00
• 35 Years  $2,187.50
• 40 Years  $2,500.00

Enhancements to consider

Get creative with your Years of Service Awards presentation. Make it something memorable for your employees. Years of Service Awards options available include:

• Video messaging. Create a streaming video E mail message from a senior executive in the company.
• Years of Service certificates. These can be personalized, framed and they are available in a presentation box.

Contact us for assistance with your Years of Service Award Program

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