7 Surprising Employee Engagement Statistics
Employee engagement is important. But it isn’t always easily achieved, and can be a huge challenge for businesses.We are constantly seeking out ways we can help improve employee engagement for our customers, like creating intuitive Intranet portals that make work more natural for users. So we like to do research and stay up to date with current employee engagement trends. Here are some of the most shocking, but enlightening, employee engagement statistics we’ve come across this year.
1. 87% of employees worldwide are not engaged (Gallup).
That means only 13% of employees worldwide are actively engaged at work. What a staggeringly low number! In the United States the percentage is slightly higher, with about 32% of employees actively engaged. But don’t let this discourage you. The first step in increasing employee engagement is fully understanding the scope of the problem.
2. Employees who work remotely 100% of the time are among the least engaged. (Gallup)
The work landscape has begun to shift more and more towards employees working from home, with 15% to 20% of employees currently working 100% remotely. Which makes this statistic all the more alarming. As more of the workforce enters into fully remote work, how can organizations ensure they keep employee engagement high? Suggested ways to increase engagement include having a clear job description, meaningful feedback from coworkers/management and easy access to necessary materials/information.
3. 80% of employees want workplace rewards outside of money; 40% want more educational opportunities, challenging and satisfying projects, and a sense of confidence that they can expand their knowledge and extend their career. The other 40% want to feel emotionally connected to the mission and service of the organization and to its customers. (Foundry Mag)
Bottom line: It’s not about the money. This is contrary to what is generally thought about what drives employee engagement. But Foundry Mag suggests that employee engagement is increased when employees feel connected to company culture, have more opportunities, and have satisfying work. This is extremely valuable insight that can help inform a business’s employee engagement strategy.
4. 75% of people voluntarily leaving jobs don’t quit their jobs, they quit their bosses. (The Social Workplace)
Here again we see the importance of company culture being emphasized. Factors that are commonly associated with disengagement (boring or unchallenging work, not enough pay, etc.) don’t seem to make as great of an impact. Instead, employees make the decision to leave because of their direct superiors and the culture they propagate. There is truth to the saying, “Employees don’t leave companies, they leave people.” It is in an organization’s best interest to include company culture as a focus of their employee engagement strategy.
5. 90% of leaders think an engagement strategy has an impact on business success but only 26% of them have a strategy. (Accor)
This statistic shocked us quite a bit. If business leaders know the importance of having an employment engagement strategy, why is there such a small percentage of those leaders that actually have one? There could be a number of unknown factors at play here. But what is known is that you don’t want your business to be part of the 90% stuck in inaction. If you think you are in that percentile, it would be beneficial to start investigating what is preventing your organization from implementing an employee engagement strategy. If it is resistance from management and leadership that is stopping you, be sure to show them the next statistic.
6. Disengaged employees cost organizations between $450 and $550 billion annually. (The Engagement Institute)
First, that is an overwhelming number. We know disengaged employees have an impact on profits. But billions of dollars isn’t chump change. Second, if there is so much money at stake, why aren’t more organizations making employee engagement a priority?
7. There are 2.5x more revenue opportunities for companies with engaged employees vs competitors with low engagement levels. (Hay Group Study)
Your first thought might be, why is this surprising? Of course employees that are engaged are more productive. And therefore they create more revenue opportunities for the organizations they work for. But that wasn’t the surprising part of the statistic for us. What was surprising, was how much more revenue opportunities were created. Competitors with low engagement levels are missing out on 2.5x more opportunities! Employee engagement not only generates more profits, but it allows your business to maintain a competitive edge over other companies.
So, here’s a quick summary of what these employee engagement statistics show us:
- There is an alarmingly large number of employees that aren’t engaged at work, with remote workers being among the least engaged.
- Not very many organizations are making employee engagement a priority.
- Having disengaged employees is extremely costly, in terms of profits, revenue opportunities and competitiveness.
- Company culture plays a huge part in keeping employees engaged.
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