Engaged employees are a key factor in business success, while unengaged employees can hurt a company's profits.
According to a Gallup report
, in 2020, the global average employee engagement was 20%. This figure is slightly better in the USA - 35%. The same report states that unengaged labour costs the American economy $8 trillion. At the same time, 73% of employees in the best companies are engaged.
We hope these metrics demonstrate the importance of engagement, but just in case, here are 5 more reasons why employee engagement is crucial to a company's success:
1. A positive and friendly environment within the company has a positive effect on employees, who in turn will show a better attitude towards customers.
2. Motivated employees work harder. The more an employee is interested in the company's success, the more time they spend on work and get distracted less.
3. A satisfied and engaged employee is less likely to quit. At the same time, high employee turnover implies that costs of hiring and training new employees will significantly increase the company's financial losses.
4. Engaged employees are more interested in their tasks, tend to come up with more ideas and contribute to the improvement of the company. Engagement leads to innovation.
5. Engaged employees are better at absorbing information, including important alerts. Such employees will not miss a security notice or change in company policy and are less likely to make a mistake.