How important is it to have happy employees? Turns out, pretty important.

A happy employee goes a long way. Not only is an employee likely to perform well if they like their job, but if employees are...

May 13, 2018

A happy employee goes a long way. Not only is an employee likely to perform well if they like their job, but if employees are happy, they are likely going to stick around. Why does this matter?

It matters because preventing high employee turnover rates is a necessity for a successful company.

A happy employee goes a long way. Not only is an employee likely to perform well if they like their job, but if employees are happy, they are likely going to stick around. Why does this matter?

It matters because preventing high employee turnover rates is a necessity for a successful company.

According to the Center for American Progress, for all positions except those with very specific skills, the average cost of turnover was twenty-one percent of an employee’s annual salary. Yes, you read that correctly.

Twenty-one percent of an employee’s annual salary. Let’s break down the costs associated with this outlandish claim.

There are direct and indirect costs associated with this figure. First, there are direct costs. These are costs that hit your pocket immediately such as:

  • Overtime for employees covering shifts or temp employees
  • Exit costs such as severance, unemployment taxes, and exit interviews
  • Hiring fees which can include recruiting fees, physicals and or drug tests, interviews, applicant tracking systems, background checks, recruitment bonuses, referral bonuses, and travel costs
  • Onboarding costs like training, certificates, hardware and technology service

Additionally, there are indirect costs which can be just as bad if not more costly than direct costs. These can include:

  • Decreased morale
  • Lost productivity due to loss of headcount
  • Reassigning work to other employees
  • Managerial burdens like exit interviews and succession planning
  • New hire ramping costs such as poor quality of work due to a lack of industry knowledge and errors Lost clients due to relationships
  • Educational loss of institutional knowledge

To make your business as efficient and as profitable as possible, you have to prevent high employee turnover rates. In order to do this, there is something you can do. And you can do it right now. Give your employees the recognition they want and deserve. When an employee does something right and they are recognized for doing so, not only will it reinforce the production of quality work product, but it will make them happy. Happy people don’t quit their jobs, and that’s a fact.

Browse our Free Employee Recognition Guide

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Employee recognition guide

Frequently Asked Questions

Is Assembly SOC 2 compliant?

Yes, at Assembly, security is a top priority. Each quarter, we have ongoing security work that is everyone’s responsibility. While we maintain a strong security posture, it was important for us to prove to our customers that we do everything we claim to do. This led us to pursue a SOC 2 Type II report that would provide evidence of our compliance with industry gold-standard security practice.

What's the ROI for employee recognition?

There is study after study showing that employee recognition leads to increased engagement. This in return creates an environment where employees are happier and more motivated which increase productivity and reduces voluntary turnover significantly. In order to filled critical roles, companies tend to spend nearly twice the value of an annual salary. Assembly is an investment in your employees that supports your bottom line.

Does Assembly offer longer-term contracts?

Yes, we will offer contracts for companies with longer-term agreements to help larger customers have more certainty around future costs.

The minimum agreement term is a 12-month subscription.

Does Assembly offer onboarding support?

We do! Any new customer needing further support to get started with Assembly to ensure you're set up for success can request custom onboarding support. These one-time services start at $5,000. Improving your employee experience is about much more than just using our amazing software; it’s about transforming your business to create a workplace that people love. That’s much easier to do with the personal support and advice from our passionate people experts.

Is there a free version of Assembly?

Yes. We offer a completely free plan for up to 50 team members. This plan is intended for teams or organizations that are looking to get started with an employee engagement tool. Keep in mind, this plan is limited in features.

All customers can open an Assembly account for free and get started without a credit card. Then you can change plans as necessary.

How much do rewards cost?

At the time of redemption (when your employees exchange their points for a paid reward) you'll pay face value. If a reward is a $10 Amazon gift card, your cost will be $10. All paid rewards are billed for on a monthly basis.

The good news is that you don't have to pay for rewards upfront because we only charge you when points are redeemed, not when they're earned.

Does Assembly offer discounts?

We offer discounts or educational or charitable organizations. In order to secure a discount, you'll first need to book a demo with a customer support specialist.

For all other organizations, we are willing to consider longer-term agreements in exchange for discounts. To set up annual plans or longer, you will need to book a demo with a customer support specialist.

How do I cancel my plan if needed?

If you're on a month to month plan, you can go here and cancel anytime. If you're having concerns or need help setting up your account for success, you can always book a demo with a customer support specialist.

If you're on a longer-term custom plan, you'll need to reach out to your customer support specialist to cancel your account or email us at

What customizations are available?

Great question! You can customize your core values to match your organization's to boost and track alignment. You can change your currency from the 🏆 emoji (our default) to any emoji of your choice. You can swap our logo for your own. You can also set up company culture rewards such as, "Lunch with the CEO," "Buy a book on us," and so much more!

Who can give or receive recognition?

While we recommend a peer to peer set up where anyone in your organization can give or receive recognition, you can set up Assembly however you want. If you need to limit the people who can give or receive recognition, that's perfectly fine and can be done from your Admin, here.

What integrations are available?

Assembly connects to the tools your employees use every day to offer an easy, seamless experience with minimal change management.  

Assembly has integrations with HCM/HRIS systems like ADP, Google, Office 365, and Slack. We also integrate with communication tools like Slack and Teams so you and your employees can access Assembly wherever they work now.

What's your average adoption rate?

That depends on the company's permissions set up. That said, over 90% of the employees on Assembly's platform are recognized on a monthly basis. That means nearly every employee across all of our customers are receiving regular recognition from their peers, managers, or leadership. We're extremely proud of this.

Must rewards be set up to use Assembly?

They are not required. You can use Assembly without having rewards set up. However, we don't recommend it if you intend to have a high adoption and usage rate. You can always keep the costs down by offering internal culture rewards that are fulfilled by you internally.

Are points required to use Assembly?

No, you can remove allowances from anyone or everyone. It's up to you but we do recommend using points whether they're worth a real dollar value or not. Companies that use points have a much higher engagement rate even if those points don't exchange for real dollars.

Could find the answer you are looking for?

Please schedule time with an expert and we will help you to get all your questions answered