August 31, 2021 0 Comment

Employee Rewards and Recognition for A Multi-cultural Workforce

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Employee Rewards and Recognition for A Multi-cultural Workforce

Many organizations face challenges while implementing employee rewards and recognition for a multi-cultural workforce. This is primarily because these organizations fail to take into consideration cultural sensitivities of employees while designing such programs.

While most organizations focus on having an innovative and diverse rewards program, but they fail to factor in the cultural nuances to make it truly effective and satisfactory for their employees from different countries and cultures across the globe.

Challenges of an Employee Recognition Program for a Multi-cultural Workforce

It is a well-known fact that different things might hold completely different meanings in various cultures. Lack of understanding of cultural values and nuances of different groups within the organization can result in the failure of even well-intentioned rewards and recognition, as they can be hurtful and insulting for the recipients.

This can impact the overall motivation and engagement levels of employees and even force them to seek other employment options. In comparison, organizations that consider the cultural differences between members of their multi-cultural workforce in their employee recognition programs enjoy better retention rates as well as higher employee performance and efficiency.

Key Points for creating a Multi-cultural Employee Recognition Program

An employee recognition program suited for a multi-cultural workforce requires the organization to focus on several important points:

Employee Rewards and Recognition for Multi-cultural Workforce

1. Understand the Recipients and their Cultures

Before creating a recognition program, the organization should invest time and effort to understand cultural backgrounds of its employees. The organization should especially focus on learning about how sensitive certain employees are about their culture and its nuances.

Certain cultural groups might find a specific action or communication attractive, while other groups might find it offensive. Understanding cross-cultural sensitivities can help design the employee rewards and recognition program in a more balanced way.

2. Learn about Overlapping Cultural Aspects

Organizations should also learn about major cultural aspects, especially those that might overlap with other cultures but entirely different meanings. This is especially true in the case of employees belonging to Asian, African or even Middle Eastern communities.

This will help organizations avoid making serious mistakes in rewarding their multi-cultural workforce due to misinterpretation of cultural nuances. Even a single oversight may lead to alienation of an entire section of the workforce belonging to a specific culture.

3. Verify the Truth of Cultural Stereotypes

Cultural stereotypes can lead to unconscious bias and impact decisions related to the design of the rewards programs. As such it is important that organizations validate these cultural stereotypes and their relevance for employees being rewarded and recognized.

This is applicable for both positive and negative stereotypes, although following the latter blindly is likely to cause greater damage. If the stereotype is verified as true and is likely to have an adverse impact, then alternatives should be considered.

4. Establish Clear Lines of Communication

Most organizations communicate with their top-performing employees through indirect channels. This can give rise to a lot of assumptions and confusion, especially with respect to cultural nitty-gritties. Hence, it is important that organizations with multi-cultural workforce establish clear and direct lines of communication between employees and managers.

This proves beneficial as managers can get first-hand understanding about the culture and ethnic beliefs of their team members.

5. Focus on Building a Unique Organization Culture

An effective way to make rewards and recognition programs work for a multi-cultural workforce is to focus on building a unique company culture. It can integrate positive aspects of different cultures to develop a homogenous culture that seems familiar yet distinct to every individual employee.

The rewards and recognition program should be developed in alignment with the workplace culture rather than the different cultural backgrounds of employees. This is also an effective way to instil a deep sense of camaraderie and teamwork between the members of the workforce.

Read the Comprehensive Guide for Engaging a Multi-Generation Workforce


The rapid globalization of businesses has necessitated the growth of a multi-cultural workforce even for small and mid-sized organizations. They can keep their workforce happy and motivated by implementing effective employee rewards and recognition policies.

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HiFives ( is an employee rewards, recognition and engagement SaaS platform that enables organizations to digitize, automate and transform their employee experience. The platform enables supervisors and co-workers to nominate, recognize and reward employees using a points-based system. Budget management, jury-based evaluation and multi-level approval workflows are built into the platform. HiFives has social features such as a wall of fame and gamification features such as leaderboards, e-certificates and digital badges. It also has a global redemption system with country-specific e-gift card options. HiFives integrates with all leading HRMS systems, Office 365, Google Workspace, MS Teams, Slack and other popular tools used at the workplace. HiFives is used by many large enterprises, small businesses and startups across 25+ countries in the world, in many industries including manufacturing, retail, technology, financial services and media.