Technician shortages are affecting everybody. Even if you do hire someone right out of a technical school, there’s no guarantee that they will be high performers or have enough basic knowledge to do anything of use on the shop floor right away.

With that being said, the shortage of new talent should make shop owners think about incentives to retain employees. An employee-retention program centered on recognition is one of the simplest – and most effective – things shop owners can do to boost morale and motivate employees.

In this Tire Review Continental Tire Garage Studio video, let’s explore the importance of recognizing employee milestones to maintain retention.

According to a 2022 Gallup Poll, 74% of employees who said they barely receive recognition from management are more likely to not be part of that organization the next year. However, when organizations recognize employee accomplishments, more than half of employees say they are more likely to stick around in that position for a while.

To be clear, a more motivated workforce makes your shop better which of course means more revenue. Not to mention the chunk of change you have to shell out for the cost of replacing an employee, which is ​​typically equal to or greater than an average employee’s annual salary.

You can begin acknowledging your employees’ milestones easily. Celebrating a work anniversary is a good milestone to start with, but don’t make it about just another year; make it an accomplishment that should be celebrated with meaning. Acknowledging individual and team benchmarks either in their personal or professional lives is another way to recognize your team.

Good shop owners know that recognition improves employee happiness by improving the relationship with their leaders and gaining appreciation from them either in person or in front of fellow employees.

Don’t forget to follow us on Instagram and Facebook and subscribe to our YouTube channel for more tire, service and shop operations videos.