Years of service awards for employees are a wonderful initiative, celebrating long-term commitment and loyalty.

This type of recognition program can boost morale, strengthen the company culture, and improve retention, leading to your organization’s success.

The best part is that you’ve got plenty of effective ways to honor career milestones, such as memorable work anniversary parties and spectacular swag.

Still, you’ll need a solid plan to build an engaging and cost-effective years of service awards program from the get-go.

In this guide, we’ll walk you through the best practices, engagement strategies, and award selection criteria to make your program truly unforgettable.

We’ll also let you in on our game-changing solution for elevating your employee experience: swag-on-demand shops.

Let’s get this show on the road!

Table of Contents

What Are Years of Service Awards for Employees?

What Are the Benefits of Years of Service Awards?

How Can SwagDrop’s Swag On Demand Help You Create Meaningful Awards?

What Are Some Examples of Effective Years of Service Awards?

What Are Best Practices for Implementing a Successful Years of Service Awards Program?

How Can You Make Years of Service Awards More Engaging?

How Do You Choose the Right Years of Service Awards for Your Team?

What Are Years of Service Awards for Employees?

Years of service awards celebrate employee loyalty by recognizing significant milestones like one-year or 30-year anniversaries. 

Unlike other recognition programs that reward performance or achievements, these awards focus on employee tenure, showing appreciation for long-term dedication.

A well-thought-out employee service award program can become a meaningful part of your workplace culture, generating incredible results.

Discover why companies invest in these recognition awards next.

What Are the Benefits of Years of Service Awards?

Genuine recognition of an employee’s contribution throughout their years of service brings five major benefits for team members and your company.

Let’s take them one by one.

1. Enhance employee morale and motivation

Feeling appreciated drives motivation and helps create a happy workplace where everyone can thrive. 

By celebrating service anniversaries, you can reinforce a team member’s sense of purpose, inspiring them to stay engaged, perform better, and take pride in their work.

An eye-opening Nectar survey found that employee recognition improves engagement in 81.9% of staff members.

2. Improve employee retention

Loyal employees are the secret ingredient to your company’s success and deserve proper recognition.

Career milestone awards show workers that their long-term commitment and hard work are highly valued, increasing employee retention.

David Haskins, CEO of WrongfulDeathLawyer.com, shared his insights with us: 

“I’ve seen talented people burn out, not because they weren’t compensated well, but because they felt like just another name on the payroll. A few years ago, we stopped giving out standard plaques and began making awards more personal. Since then, voluntary turnover has decreased by nearly 30%, while engagement levels have grown.”

Moreover, according to a 2024 Quality Logo Products survey, offering corporate gifts to employees increases a company’s retention rate by 1.5 years, on average.

3. Strengthen company culture

Employee rewards and recognition lay the groundwork for a strong company culture.

Celebrating a worker’s length of service cultivates a sense of belonging, community, and mutual respect across the entire organization.

Over time, this culture of recognition can help create a work environment where people genuinely enjoy working together as a team.

In fact, Laurence Bonicalzi Bridier, CEO of ArtMajeur by YourArt, told us:

“I used to believe that a great company culture was created through daily interactions, but I’ve realized that long-term employees are the true culture carriers. They set the tone, teach new employees, and exemplify the company’s values in ways that no guidebook could. However, if you do not celebrate their journey, their knowledge and loyalty become invisible.”

4. Build trust

Trust grows when workers feel seen and valued rather than just being another number.

Service recognition awards demonstrate that your company values each employee’s contribution, strengthening their connection to the company.

Likewise, through consistent service recognition, you can build loyalty, improve engagement, and create a work environment where people feel truly appreciated.

5. Showcase organizational values

A well-executed employee service award program can reinforce your company’s core values.

Show staff members what your organization stands for, whether it’s commitment, teamwork, or innovation.

Once employees see these values in action, they’ll develop a deeper connection to your organization and its mission.

Now, before we go any further, check out our innovative tool for creating memorable service awards.

How Can SwagDrop’s Swag On Demand Help You Create Meaningful Awards?

Finding meaningful ways to reward employees for service milestones has never been easier with our swag-on-demand shops.

Here’s how it works.

• Curate the perfect gifts. Choose from a wide selection of high-quality branded products that fit your budget, company culture, and employee preferences.
• Set up an online awards store. In just a few hours, we’ll create a virtual store with your company logo and a personalized welcome message featuring your corporate gifts selection.
• Let employees choose. Share the store link, and your most loyal team members can pick their favorite company swag, colors, and sizes, making the reward more meaningful.
• Add a personal touch. Workers can add a short message or their names to some of our promotional gifts for a more memorable experience.
• Don’t worry about the logistics. SwagDrop handles everything, from order processing to distribution, saving you precious time.
• Save money. We don’t charge any upfront or inventory costs. You only pay for the branded merchandise your employees order, with a low flat shipping rate of $9.95 per order. 

Next stop, we’ll share some of the best service award ideas to inspire your recognition program.

What Are Some Examples of Effective Years of Service Awards?

Finding the perfect way to celebrate years of service anniversaries can make all the difference in boosting employee satisfaction and retention.

As a general rule, recognition awards should be meaningful, memorable, and aligned with your company culture.

Here are some of the most effective service award ideas for showing genuine recognition:

Let’s break them down.

Traditional awards

Plaques, trophies, and certificates are classic but highly effective awards for honoring significant milestones.

These classics serve as lasting reminders of an employee’s dedication and look awesome in offices or at home.

Present these awards at company events and pair them with thoughtful corporate gifts to make the service recognition more memorable.

Monetary rewards

Bonuses, salary increases, or stock options are universally appreciated employee rewards for major milestones. 

After all, monetary incentives allow team members to celebrate their work anniversary however they want while also lifting their spirits and driving engagement.

Stock options are particularly effective at encouraging long-term commitment and increasing retention rates.

However, financial rewards are quite generic, which is why we recommend combining them with non-monetary incentives that add a personal touch.

Personalized gifts

Giving gifts to employees is one of the most effective ways to show appreciation for their service milestones.

A thoughtful, personalized employee gift adds value to the recipient’s life and acts as a constant reminder of your genuine appreciation.

The best part is that you have countless swag options to choose from, including:

• Branded apparel, as in polo shirts, hoodies, and jackets;
• Custom mugs, tumblers, and reusable water bottles;
• Eco-friendly tote bags and branded backpacks;
• Cool office supplies, like luxury notebooks, pens, and desk organizers;
• Tech swag, such as Bluetooth headphones and speakers, wireless chargers, and smart mugs.

Check out five of our best-selling employee appreciation gifts that get results.

1. Premium branded jacket

A superior-quality jacket shows gratitude while also encouraging employees to become more active and explore the great outdoors.

The Women’s Whistler jacket is warm, lightweight, and comes in five trendy colors, offering a fashionable apparel solution for the cold season.

Why we recommend it: According to the 2023 ASI report, outerwear is the most influential promo product for men and women and has generated 7,856 impressions over its lifetime.

2. Customized luxury drinkware set

Celebrate your employee’s career with a heartfelt toast and one-of-a-kind wine drinkware.

This deluxe MiiR gift set includes an elegant, vacuum-insulated wine bottle and two matching wine tumblers for enjoying wine at an optimal temperature outside.

Why we recommend it: Team members will fondly remember your appreciation gesture whenever they clink glasses with their loved ones.

3. High-end backpack

Prove to your most loyal employees that you are willing to go the extra mile for them with a versatile, top-of-the-line backpack.

The office-ready MiiR Olympus backpack has a large main compartment and multiple pockets to fit all work or travel essentials.

Why we recommend it: This product is made from recycled materials, and 1% of each sale goes to environmental organizations, demonstrating your company’s commitment to sustainability.

4. Personalized tech gadgets

Boost employee morale and performance with a pair of top-notch Bluetooth earbuds that allow recipients to listen to their favorite songs all day long.

The Skullcandy earbuds have built-in sensors for changing songs, controlling volume, answering calls, and activating the voice assistant, offering maximum convenience.

Why we recommend it: These earbuds are water and sweat-resistant, making them ideal for listening to music while exercising.

5. Deluxe home & gourmet gift bundle

Work anniversaries exceeding the five-year mark deserve outstanding awards, like this bountiful Stonewall gift set.

The gift bundle includes four mouth-watering appetizer foods and an elegant Acacia wood cheese board set with tools for the ultimate French experience.

Why we recommend it: This grand gift set also includes a stylish, custom tote bag that employees will reach for again and again when going shopping.

Experiential reward

Once an employee hits the five or 10-year mark, it’s time to go the extra mile for them with experiential rewards.

Extra paid time off, a weekend getaway, or a fully paid vacation can be a game-changer in showing appreciation and retaining top talent.

Another excellent idea is to invite team members to lunch with the executives or give them access to exclusive career development training.

Team celebrations and public recognition

Hosting an employee appreciation party allows team members to celebrate major milestones with their colleagues, boosting morale and strengthening bonds across the organization.

If you have multiple work anniversaries yearly and budget is an issue, you can get away with hosting one big party on Employee Appreciation Day (the first Friday in March).

Moreover, publicly recognizing an employee’s career and achievements through social media shout-outs or newsletters creates a more meaningful experience.

Stick around as we explore the best practices for setting up an outstanding employee recognition awards program.

What Are Best Practices for Implementing a Successful Years of Service Awards Program?

If you want to create a winning employee service award program, follow these best practices that our clients swear by.

Align awards with company culture

Your recognition program should feel authentic and reflect your company’s values.

If your workplace culture is fun and casual, organize a themed office party, such as a talent show or a trivia game night, and offer theme-related employee rewards.

If professionalism and tradition are more representative of your organization, then take senior team members to a fancy restaurant and give them luxury promotional gifts.

Offer a variety of award options

Employees have different preferences and interests, so there’s no one-size-fits-all length of service award.

That’s why we suggest setting up a swag-on-demand store with a wide range of swag options and letting your team pick their gifts.

At the same time, you can cater to various preferences by mixing tangible gifts with experiences and monetary rewards.

Celebrate milestones publicly and meaningfully

Public acknowledgments of major milestones create a memorable employee experience, reinforcing your bond.

Therefore, you should celebrate employee anniversaries with a heartfelt speech at a team gathering or with a company-wide announcement.

These public shout-outs cultivate a workplace culture of mutual respect and inspire others to strive for excellence.

Keep the program consistent and inclusive

A successful years of service awards program applies to all staff members, regardless of their role or level.

In other words, you should celebrate the significant milestones of senior managers, as well as the first-year anniversaries of junior employees.

Set clear and fair guidelines on when and how your organization grants recognition awards and communicate them to the entire team.

Up next, we’ll give you some tips on enhancing engagement.

How Can You Make Years of Service Awards More Engaging?

Generate buzz around your service awards to make employees more eager to give their all to the company and stay on longer.

Here’s how you can increase engagement.

Incorporate storytelling and personalization

A heartfelt tribute is much more powerful than a generic thank you.

Hence, instead of simply acknowledging a worker’s years of service, you could also share their unique journey.

Tell the entire team the story of how the employee managed to step up the ladder and what they’ve accomplished throughout their tenure.

This recognition strategy will make workers feel truly valued and can inspire long-term commitment in other team members.

Use technology for seamless recognition

Don’t worry, nobody expects you to remember the work anniversaries of hundreds of employees.

Use technology to track service milestones and send automatic celebration messages.

With a recognition app like Matter or CultureBot, no anniversary goes unnoticed, lifting team spirits and engagement.

Of course, your congratulatory message can also include your swag-on-demand store link, encouraging employees to pick their reward.

Encourage peer recognition

Recognition feels even more meaningful when it comes from colleagues. 

Create a workplace culture where employees celebrate each other’s major milestones through shout-outs in company meetings, team communication platforms, or team gatherings. 

Peer appreciation builds strong workplace relationships and makes service awards more exciting for everyone.

Finally, we’ll give you some insights into selecting the perfect awards.

How Do You Choose the Right Years of Service Awards for Your Team?

We don’t want to sound braggy, but we have over 30 years of promotional gifts experience and an A+ Better Business Bureau rating.

Therefore, we are well-suited to offer expert advice on choosing the right milestone gifts for your team.

Here’s what you should do.

1. Consider employee preferences and demographics

To select corporate gifts that resonate with your employees, consider their age, interests, backgrounds, and lifestyles.

For instance, the 2024 Quality Logo Products survey found that Gen Zers like to receive tote bags and portable speakers from employers, while Millennials prefer notebooks and USB chargers.

2. Balance budget with meaningfulness

Employee rewards don’t have to be expensive to leave a lasting impression.

Instead, opt for thoughtful, high-quality products that team members can use for a long time, such as fashionable branded jackets or outdoor Bluetooth speakers.

3. Customize awards for different milestones

There’s a big difference between a first-year milestone and 25-year anniversary.

For instance, you can reward early-career milestones with small promotional items, but you must step up your game for senior team members.

Long-term employees deserve grander gestures, like a paid weekend getaway, extra vacation days, or luxury gifts.

Choosing the proper reward for each career stage will motivate and engage staff members.

Now, it’s your turn!

Over to You!

Years of service awards show employees their long-term dedication truly matters, reinforcing your bond.

Retain top talent by offering meaningful awards that align with the company culture and resonate with different demographics and preferences.

A personalized gift or an unforgettable experience can make team members feel appreciated, motivated, and proud to be part of your organization.

Browse our SwagDrop shop for fabulous rewards to make every work anniversary special.