
HR Coach: Recognition vs. Appreciation – Understanding the Difference and Why It Matters
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BY AMY COOLEY
In the chauffeured transportation industry, where professionalism and service excellence are paramount, retaining and motivating employees can be a challenge. Many operators understand the importance of employee recognition, but far fewer recognize that recognition alone isn’t enough to create a strong, engaged workforce. The key to long-term success is not just acknowledging good performance but also making employees feel truly appreciated. So, what’s the difference?
Recognition vs. Appreciation
Recognition and appreciation are often used interchangeably, but they are fundamentally different:
❱ Recognition is performance-based and focuses on what an employee does. It often takes the form of public praise, awards, or incentives for accomplishments like meeting sales goals, getting positive customer feedback, or going above and beyond in service.
❱ Appreciation is more personal and focuses on who the employee is, not just what they do. It acknowledges an individual’s intrinsic value to the organization and fosters a deeper emotional connection.
According to the 2025 Appreciation Index Report from Reward Gateway and Edenred, employees who feel both recognized and appreciated are 43 percent more effective and engaged than those who receive only performance-based recognition. In contrast, employees who receive recognition without appreciation may still feel overlooked or undervalued.
The Top Drivers of Employee Appreciation
If recognition is only part of the equation, what truly makes employees feel appreciated? Based on the study, here are the top five drivers of appreciation:
1. My hard work is rewarded. Employees want to see that their contributions lead to meaningful benefits, whether financial or otherwise.
2. I feel I belong here. A sense of belonging fosters loyalty and engagement, especially in industries with a mobile workforce like chauffeured transportation.
3. My managers support me. Employees who feel backed by leadership are more motivated and secure in their roles.
4. My organization praises me. Public and private acknowledgment from the company helps reinforce a culture of appreciation.
5. I am recognized by managers. Recognition from direct supervisors is one of the most effective ways to build appreciation and morale.
Applying These Insights
So how can operators and managers in our industry move beyond traditional recognition and create a culture of genuine appreciation? Here are some practical, actionable ideas:
1. Reward Hard Work with More Than Just Pay
❱ Offer meaningful incentives tailored to employee preferences—not just monetary bonuses, but also special assignments, leadership opportunities, or professional development programs.
❱ Interview employees about what rewards matter most to them. For example, a seasoned chauffeur might value extra paid time off, while a newer employee might prefer a company-sponsored driving certification course. Tailoring it to them makes it more memorable and effective.
2. Build a Culture of Belonging
❱ Foster team bonding, not just team building. Organize casual monthly meetups, like a company-sponsored breakfast before a busy weekend shift or a quarterly appreciation dinner.
❱ Recognize tenure and celebrate milestones, such as work anniversaries, by gifting personalized items, like a high-quality travel mug with the company logo or a handwritten note from leadership.
3. Demonstrate Genuine Support From Management
❱ Schedule regular one-on-one meetings with employees to discuss their goals, struggles, and career aspirations.
❱ Connect employees to company benefits that support their well-being, such as mental health resources, financial planning assistance, or gas reimbursement programs for chauffeurs who commute long distances.
❱ Show balance in leadership—acknowledge both achievements and challenges, offering constructive support when needed. If a chauffeur handled a difficult client well, recognize their patience and professionalism, not just the fact that the ride went smoothly.
4. Make Praise More Public and Frequent
❱ Add recognition to daily or weekly meetings. A quick acknowledgment in a team huddle, such as highlighting a dispatcher who coordinated last-minute ride changes seamlessly, can go a long way.
❱ Highlight employees on internal platforms like company newsletters, social media, or a recognition board in the breakroom.
❱ Encourage peer-to-peer appreciation. Give employees a platform to recognize their colleagues, such as a monthly “shout-out” board where chauffeurs and dispatchers can leave positive notes for each other.
5. Train Managers on the Power of Appreciation
❱ Often, managers recognize performance but neglect to show appreciation for who employees are. Training managers to incorporate appreciation into their leadership style can transform workplace culture.
❱ Encourage managers to ask employees “What are you proud of?” rather than just focusing on company metrics.
❱ Lead by example—senior leaders should model appreciation by personally thanking employees, whether it’s a quick thank-you email to a dispatcher for handling a difficult situation or a public acknowledgment of a chauffeur who maintained a spotless vehicle fleet.
Moving Beyond Recognition to True Appreciation
In an industry built on service and relationships, employee appreciation isn’t a luxury—it’s a necessity. Chauffeurs, dispatchers, and support staff who feel truly valued are more engaged, provide better customer service, and stay with their employers longer.
While recognition is an important tool for motivation, it is only one part of the bigger picture. Real appreciation comes from seeing employees as individuals, not just workers. By implementing thoughtful strategies that address the top drivers of appreciation, operators in the chauffeured transportation industry can build stronger teams, improve retention, and create a culture where employees don’t just work for a paycheck—they work because they feel valued.
The challenge for 2025 is clear: Don’t just recognize your employees, appreciate them. [CD0325]
Amy Cooley is HR Leader for The LMC Groups. She can be reached at amy@lmcpeople.com.