Employee engagement is a term that describes how employees feel about themselves in their jobs and also how they feel about their workplace. Disengagement occurs when employees either dislike their job, their workplace, or don’t understand the benefits of working for their company. First Day Films can assist in the latter subject because our expertise is developing short videos describing employee benefits, HR programs, or other topics. Employee studies are everywhere, but we have chosen some negative and positive effects when employees are or are not engaged:
Disengagement costs companies billions of dollars each year
This is a staggering statistic; employee disengagement costs employers over $450 billion each year in the U.S., with global numbers being much higher. Disengaged employees show less motivation and take less ownership of their behavior, resulting in lower performance and efficiency.
The majority of employees are disengaged
Gallup did a study in 2017 that found only 15% of employees globally are engaged in their jobs. The good news is the report found 33% of U.S. employees feel engaged, over double the global average. The message of this study is that many employees are unhappy or disinterested in their jobs and only performing at minimum levels needed to keep the job.
Many employees would leave their jobs today for other opportunities
More than three-quarters of all employees are willing to leave their jobs for something they feel is a better opportunity. The “good old days” of employees staying with a company through their entire career are over. Money is not the only motivator, as many younger employees stated they would take less pay for a job they felt fit their ideal concept of work.
Companies should be concerned if they start seeing a “domino effect” of employees leaving one after another. Disengaged employees are more likely to leave a job if they see someone else willing to make the change. Look for the reasons why employees are leaving before you lose too many good ones.
Engaged workplaces are more profitable
Companies that spend time making sure their employees have the knowledge and tools to do their jobs well are making more money. In fact, the Gallup study showed on the average a 21% higher profitability of companies with good employee engagement. Managers also need to learn how to support their employees’ professional growth while at the same time making sure employees know what is expected of them.
Companies that value employees have higher revenues
Studies have shown as much as a four-times improvement in revenue when employees are engaged and motivated. There is more to engagement than the employees themselves, however, because many employees on exit interviews will state that the company culture is a major reason for their departure. So look at your culture if employees are leaving for other jobs.
Boredom will drive employees away
One-third of employees are bored with their current jobs, according to a 2018 study. Employees need to feel challenged, not by an impossible task, but by having variability and new challenges. One way to accomplish this is with personal development videos or other training which gives employees new tools to keep them engaged.
Don’t forget recognition as a positive reinforcement
Although perhaps not the biggest motivator toward employee engagement, recognition for good performance is important to perhaps 10% of employees and should not be ignored. Some employees benefit from public recognition or awards, but some will also benefit from private recognition. Recognition does not have to be monetary, but rather a simple written statement recognizing good performance. Money comes into play more in the next item which is related to recognition.
Career advancement or lack thereof will motivate or disengage employees
Perhaps two-thirds of employees are not satisfied with career advancement or progression in their current jobs, according to studies. If this is ignored by managers, employees will leave for other jobs they feel offer better career opportunities. This is the monetary factor mentioned above because career advancement equates to making more money along with the professional challenges. Millennials are perhaps the group most motivated by career advancement, with nearly 90% needing to see professional advancement to remain in a job.
First Day Films offers video services to produce human resources topics, and we also have employee advocacy services to help your employees get the best medical services available. Contact us today for more information at 833-422-7332.