The Great Resignation saw an unprecedented number of employees leave jobs that no longer felt like a fit. What was driving the shift? They were signing off in favor of opportunities to feel more challenged, valued, and engaged with their work. Let’s look at the importance of employee engagement, how it relates to employee retention, and steps organizations can take to improve employee engagement (and experience major business success in the process).
In this article:
- Why is employee engagement important—and how is it connected to employee retention?
- How do you measure employee engagement?
- 4 leadership strategies to increase employee engagement
Why is employee engagement important—and how is it connected to employee retention?
Employee engagement and retention are closely linked. Engaged employees are more committed to their jobs, teams, and the organization than their more disengaged counterparts. They feel happy and satisfied at work, enjoy the work they’re doing, and feel valued and appreciated—and because of those reasons, an engaged employee is far more likely to stay with a company than a disengaged employee.
Companies with satisfied employees know that improving employee engagement isn’t a “one and done” initiative. Businesses that can retain top talent and keep employee turnover low understand that to keep their team happy, satisfied, and engaged with their roles, employee engagement needs to be a top priority—and part of the company culture.
It doesn’t take much to realize the benefits of employee engagement. Now let’s take a deeper look at the link between engaging employees and keeping motivated employees within your organization by exploring the concrete ways that boosting employee engagement can also increase retention.
Are engaged employees less likely to quit?
According to data from Gallup, organizations and teams that score within the top quarter percentile for employee engagement have 43 percent lower turnover than organizations that score in the bottom quarter percentile.
Or, in other words, companies that recognize that employee engagement is important—and ensure that their culture reflects that—are far less likely to have employees quit than organizations that don’t prioritize increasing employee engagement.
Are engaged employees more productive?
When it comes to productivity, engaged team members get more done.
“Organizations and teams that rank highest on employee engagement experience 81 percent lower absenteeism and 18 percent higher productivity than their less engaged counterparts.”Gallup
Further to that, Gallup’s State of the Global Workplace: 2021 report cites that a disengaged employee costs organizations 18 percent of their annual salary in lost productivity.
And all that productivity? It translates to more successful businesses.
“Employee engagement increases profitability, and organizations with highly engaged employees have 23 percent higher profitability than organizations with disengaged employees.”Gallup
Are engaged employees happier?
Employee engagement and employee happiness aren’t the same, but they affect one another.
By definition, engaged employees are connected to their work every day; they feel challenged and valued. They like the work they’re doing and think that not only is their job a good fit for their skill set, but that they are of value to their team, organization, and company mission.
Typically, that translates to a higher level of job satisfaction, a better employee experience, and a sense of purpose at work—all of which play a role in employee happiness.
Officevibe employee engagement data is easy to understand, helping you focus on the right metrics, find actionable insights, and craft initiatives that lead to business success.
How do you measure employee engagement?
Putting effort into better employee engagement is integral for leaders, teams, and organizations that want to keep their best people in their jobs. But you can’t improve employee engagement if you don’t clearly understand where you’re starting from or where you’re trying to go.
Measuring employee engagement is an absolute must.
Measuring employee engagement can help leadership get the data, information, and insights they need to understand what’s working, what’s not working, and what they need to do to improve. There are a variety of employee engagement metrics, including:
It can be hard to understand your employee’s experience. Pulse surveys are regular surveys to keep your finger on the pulse of what’s really happening in your organization (hence the “pulse survey”). They can help you identify what is driving engagement and disengagement with your team—and take the necessary steps to keep engagement (and, as a result, retention) high. Pulse Surveys are especially beneficial for managers with distributed teams.
Pulse Survey feature in Officevibe
Whether your employees feel engaged or disengaged with their jobs, it’s their manager’s responsibility to find out why—and that’s why regular one-on-one meetings are a must. One-on-ones create space for employees to talk through their experience with their managers and share insights about what’s working (and not working) for them specifically—insights the manager can take to improve their experience and drive higher levels of engagement.
If you have employees leaving their positions, it’s a good opportunity to find out why—and what the organization could have done better to keep them engaged and with the company. Make sure your exit interview touches on employee engagement—and, specifically, if and why the departing employee didn’t feel engaged with their role.
Stay interviews are a way to get ahead of employee turnover. Conducting stay interviews with your current employees can help you better understand what’s keeping them on your team or at your company (and hopefully avoid future exit interviews!) There are many benefits of the stay interview, and the knowledge you gain helps you implement a retention strategy that answers employee needs.
Engaging employees is essential, especially when it comes to retention—and measuring engagement is the best strategy for getting the data you need to create highly engaged workplaces that make employees want to stay in their jobs.
Interested in the metrics? Learn more about how to measure employee engagement correctly.
4 leadership strategies to increase employee engagement
The bottom line is, if you want to keep top talent within your organization, you need to make employee engagement important and meaningful. Taking active steps to increase employee engagement can significantly impact retention.
For example, according to data from Gallup:
52 percent of exiting employees reported that their manager and/or organization could have done something to prevent them from leaving their job.
So how, exactly, do you do that?
Let’s take a look at four employee engagement strategies you can use to engage employees, improve employee satisfaction, and drive retention (and build a more successful business in the process):
Create space for discussions around engagement
From an organizational standpoint, you might think you know what it takes to improve engagement. But if you want to know for sure how to create a more engaged workforce, the best people to ask are your employees.
Addressing any issues openly and creating a space for open discussion with the team, including brainstorming new initiatives and ideas with your team, and chatting one-on-one with team members about their drivers of engagement, is a surefire way to support them best.
Create space for discussions around engagement, both at a team and individual level. For example, you might host a team brainstorming session where you ask for constructive feedback around what leadership can do to improve engagement—then schedule one-on-one sessions to get more details and insights from individual team members.
Your employees are the ones who will either be engaged or disengaged—so if you want to move the needle towards engagement, ask them directly how to make that happen.
Recognize your employees
When it comes to engagement, a little recognition goes a long way. According to a recent survey from McKinsey, organizations can improve engagement by an impressive 55 percent by addressing employees’ need for credit in the workplace.
So, if you want to boost engagement, look for ways to give recognition to your team for their hard work.
Here are a few possible examples:
- If you’re hosting a meeting to review a project your team recently completed, kick the meeting off by recognizing one key contribution each team member made that made the project a success.
- If you manage someone who has gone above and beyond in their role, make sure you recognize their efforts and express gratitude. While you’re at it, why not give a shout-out to make sure it’s noticed by their manager or leadership too?
- If you see an employee is acting overwhelmed or burned out, pull them aside and acknowledge what a great job they’ve been doing juggling so many responsibilities—and ask if there’s anything you can take off their plate.
Show them why their work matters
One of the key drivers of employee engagement is feeling like their work matters. In fact, according to the McKinsey survey, organizations experienced a 49 percent improvement in employee engagement when they aligned organizational values with individual purpose.
So, if you want to improve engagement with your team, show them how and why what they do every day is a critical part of your organization’s success.
For example, when you launch a new project, don’t just assign tasks; instead, walk your team through how the project impacts your organization as a whole—and how their tasks are going to make a difference in hitting the organization’s long-term goals.
Or, if you have some new hires struggling to adjust to their new roles, schedule a time to walk them through your company’s mission, goals, and values—and explain how their position align with those goals, values, and mission.
Use the right employee engagement software
Retaining talent is a must for organizations that want to stay competitive—and to keep quality employees in today’s labor market, businesses need to make employee engagement a top priority.
If you want to keep engagement high, you need to measure it. And to measure it effectively, you need the right employee engagement software.
Officevibe is an all-in-one employee engagement platform that allows you to measure and track engagement within your company—and then use those metrics to identify engagement drivers and improve engagement across your organization. Survey your employees, track their engagement levels, and use the data to create a more engaged workforce—and a more successful organization in the process.
By: Rachel Steben
Title: The importance of employee engagement and retention for the future of work
Sourced From: officevibe.com/blog/importance-employee-engagement
Published Date: Mon, 31 Jan 2022 17:00:23 +0000
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