Why are rewards and recognition so important? Recognizing and rewarding employee contributions and accomplishments are an important part of creating a quality culture. When employees know that their efforts are appreciated, it increases their self-esteem and satisfaction with their job. Their improved attitude toward their job encourages them to aim for quality and increases productivity. Not all employees or organizations will respond to the same type of recognition. Some employees, for example, will respond primarily to rewards that have substantial value, such as a percentage of the cost savings from a suggestion. For many employees, the value of a reward is not as important as the fact that they know that their contributions are valued.