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Employees question fairness of workplace rewards amid transparency concerns

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New research from Perkbox suggests many UK employees no longer see workplace rewards as an impartial system. The Science of Reward Report found that 23% believe rewards are influenced by personal relationships rather than performance, while just 39% say they understand how reward decisions are made. Only a quarter described their organisation’s approach as structured and clearly defined, pointing to a broader lack of transparency around how recognition is allocated. According to Employee Benefits, the same research also found that 37% received recognition in the past month that made them feel valued.

 

Gender gap emerges in perceptions of fairness

 

The findings also show a clear gender divide. Perkbox said women were less likely than men to see reward as fair and consistent, with 37% of women saying so compared with 45% of men. When asked more directly whether rewards were distributed fairly, 31% of women agreed, versus 39% of men. The gap is notable because it mirrors wider workplace concerns about fairness in pay and progression: HR Dive has reported on other surveys showing many women believe they are paid less than men for equal work, underlining how perceptions of inequity can spread across different parts of the employment relationship.

 

Manager recognition seen as meaningful but inconsistent

 

Recognition from managers appears to matter greatly, but remains inconsistent. Perkbox found that 47% of employees consider manager recognition meaningful, yet only 29% receive it regularly. Employers surveyed in the study also pointed to manager inconsistency as one of the biggest obstacles to effective reward and recognition. Human Resources Director has separately reported that employees want praise that is timely and specific rather than routine or generic, suggesting that the problem may be as much about quality as frequency.

 

Poor recognition linked to retention risks

 

The stakes are not purely cultural. Nearly a third of employees said weak reward and recognition would affect whether they stayed with an employer, and among those who had considered leaving in the previous 12 months, 64% linked that decision to poor recognition. Tracey Paxton said unclear and inconsistent systems can erode trust, motivation and retention, and argued that managers need training to make recognition a regular part of team life. Her comments reflect a growing consensus across workplace research that recognition works best when it is visible, consistent and clearly connected to contribution.

 

Reward Strategy’s Say

 

When rewards feel inconsistent or influenced by favouritism, it undermines morale far more quickly than many employers realise. The gender gap in perceptions of fairness is also difficult to ignore, especially as it reflects wider concerns around pay equity and career progression. Recognition clearly matters to employees, particularly when it comes directly from their managers, yet too many organisations still treat it as an occasional gesture rather than a core leadership responsibility. The findings around retention should be a wake-up call for employers. If employees do not feel valued, appreciated or fairly rewarded, they are far more likely to disengage or leave altogether. Transparent, consistent and meaningful recognition is no longer a “nice to have” aspect of workplace culture, it is becoming a critical part of employee trust and retention.

   -Lukas Montgomery

 

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