Are Perks Enough to Earn Employee Loyalty?

If employee loyalty could be materialized, it would be worth its weight in gold. Seriously. Loyal employees are emotionally invested in and committed to their organization, and which employer doesn’t want that? 

However, as you’re probably aware, employee attitudes range from 100% committed to “if you want loyalty, get a dog.” The good news is that negative attitudes like the latter can change with the right interventions, although this needs more than occasional perks (as valuable as these are). 

Use our tips and suggestions to inspire your team to be more loyal to each other and to your organization.

What is employee loyalty? 💎

Loyalty is rooted in commitment, involvement, and attachment. It’s not quite the same as employee engagement, although the two are linked. 

Loyal employees are enthusiastic, creative, and engaged, so they’re less likely to do the bare minimum, look for other jobs, or criticize your organization publicly. 

Unfortunately, organizations throughout the US are struggling with employee loyalty. This is evident in a Gallup report, which found that employee engagement reached its lowest level in a decade in 2024. 17% of employees are actively disengaged, while only 31% are engaged. 

Some of the reasons given for low engagement (and, therefore, a lack of loyalty) include:

• Workers not knowing what’s expected of them.
• Feeling that no one at work cares for them as people.
• A lack of encouragement for personal development.
• Feeling unfairly compensated and treated. 

Why is employee loyalty important? 👑

If the work’s getting done, does it matter if your employees are keeping an eye out for other jobs? The truth is, it does matter. 

The standards of someone who’s committed to your organization are always going to be much higher than those of someone who’s going through the motions because they want their paycheck at the end of the month.

Some of the greatest benefits include:

• Better productivity: Committed workers either meet or exceed their production goals and can motivate other employees to do the same.
• Enhanced customer experience: Loyal employees’ commitment to your organization and its mission and values shines through their daily activities, including their interactions with customers, who undoubtedly will notice their enthusiasm for the work they do.
• Support for improvement: Workers who are enthusiastic about your organization will support your efforts and strategies for improvement and growth, setting the tone for their coworkers.
• Help with attracting talent: Employees who appreciate working for your organization are likely to express this to others, creating a positive impression and encouraging others to work for it. 

How to cultivate employee loyalty 🌱

There are some employers who might read this and think, “I’ll give my workers a couple of perks every month, and that ought to do the trick.” Except that, while important, perks aren’t enough to encourage workers to be more loyal.

Don’t get us wrong – perks are great for attracting employees and boosting short-term morale. However, when it comes to why employees stay or leave, meaningful core benefits are more important. 

You also can’t discount the importance of management and employee experience. Pizza on Fridays is great for lightening the mood and letting your workers know you care, but to cultivate loyalty, you need to encourage effective management and trust in leadership, and provide meaningful work and development opportunities. 

Use the tips below to do this in your organization.

Find out what employees want and act on it 📋

The first step toward encouraging employee loyalty is to determine what your team wants. Start by sending out an anonymous employee satisfaction survey, giving your team the chance to share their opinions and suggestions. 

When you’ve had a chance to consider their responses, determine which suggestions you can implement and start making concrete changes. For example, schedule regular check-ins if your team asks for more face-to-face discussions. Be honest about which suggestions you can’t implement.

Give Your Employees Greater Autonomy 😎

Micromanagement is a loyalty killer, so you need to find ways to avoid it. For example, if your employees follow set processes, encourage them to identify situations where deviating from those processes might be more efficient or effective.

Giving them more control, choice, and freedom in their day-to-day work encourages a deeper sense of accountability, engagement, innovation, and trust. Your team will be empowered to share new perspectives and take calculated risks, leading to greater innovation and growth.

Create opportunities for promotion 🚀

Opportunities for growth and advancement are a great way to inspire loyalty because they let your team know you believe in them and are willing to support their personal growth. Do this by:

• Providing training and development opportunities such as workshops, seminars, job shadowing, and/or tuition reimbursement.
• Recruiting internally for leadership roles before interviewing external candidates.

Alongside career progression, it’s equally important to ensure your compensation structures reflect fairness and transparency, and that there are no pay issues. When employees see that promotions come with fair pay and recognition for their contributions, they’re more likely to stay motivated and loyal.

Support employee well-being 💪

Let your employees know you care about them by supporting their mental, physical, and emotional well-being. If they know you’re genuinely concerned about them and are supporting them to be the best they can be, they’re more likely to feel greater loyalty toward your organization. 

One way of doing this is to have regular health and wellness experiences, such as Confetti’s Virtual Bootcamp Class. After a brief introduction and warm-up, your team will undergo a high-intensity workout, followed by a cool-down and stretching session.

Show your appreciation 🏆

Saying thank you can go a long way to cultivating loyalty among your employees. There are several ways to approach this. One is to say thanks to individuals and teams in emails or meetings. Another is to give your team regular treats, which can be as simple as a box of cookies or as elaborate as a weekend getaway. 

Some of Confetti’s offerings are great for expressing appreciation. For example, invite your team to a Nostalgic Prom, where they can request songs, mingle in conversation rooms, and play games for chances to win prizes. 

Aim to boost employee loyalty 📈

So much of what we see and hear is about boosting employee engagement, productivity, or efficiency, but we firmly believe that, if you can cultivate loyalty, these will happen almost of their own accord. 

Perks will never be enough to make employees more loyal. However, combine them with initiatives that let your workers know you’re listening to them because you care about them, and you’ll see positive changes.