For those of you who are, like us, a bit geeky and into that whole “show me the data” sorta thing, here are a few stats to spur you to action.
“The shocking part of the employee engagement challenge is that research indicates that only between 17% and 29% (depending on the research) of employees are actively engaged in their job at any one time. This would mean that if your [organization] were a soccer or football team, only 2-3 players on the team would be 100% committed to the team’s success. It seems to me that the odds of winning a game with only 2-3 players 100% committed to a team’s success are pretty slim!”The ten C’s of employee engagement by George Ambler on Tuesday, February 27, 2007
The cost of lost productivity due to disengagement in the U.S. is well over $300 billion.
The Elements of Great Managing, p. 201
A 2007 global workforce study conducted by Towers Perrin found that companies with the lowest percentage of engaged employees showed year-to-year declines of 33% in operating income and 11% in earnings per share.
Disengaged managers are 3 times more likely to have disengaged employees.
2009 Sirota Survey Intelligence Study
60 percent of workers plan to look for new jobs as soon as the economy provides opportunities. The Huffington Post, June 9, 2010. More Employees Quit Their Jobs as Economy Improves. http://www.huffingtonpost.com/2010/06/09/more-employees-quit-their_n_605656.html
A recent national poll by the Conference Board found that job satisfaction is the lowest since the poll began in 1987 with only 45 percent of employees satisfied with their jobs. Five Things Leaders Can Do to Re-engage Their People, Scott Patchin, Corp!, Feb. 4, 2010
Back in 2005, well before the most recent recession, employee disengagement was estimated to cost the U.S. economy as much as $350 billion per year in lost productivity, accidents, theft and turnover. (The Economics of Engagement, Allan Schweyer, Human Capital Institute, p. 1, downloaded Feb. 13, 2010.)
It can cost as much as 1.5 to 3.5 times annual salary to replace a good employee, posing a threat to the success of any organization in a fragile recovery. Salaries Looking Up, John Dooney, HR Magazine, October, 2009, p. 24
Over the next 10 years, employees will become more in demand than customers, and talent management will become the prime concern of CEOs. Workforce Management Magazine, June 2003
OK, now for some good news:
“Engaged employees are not just committed. They are not just passionate or proud. They have a line-of-sight on their own future and on the organization’s mission and goals. They are ‘enthused’ and ‘in gear’ using their talents and discretionary effort to make a difference in their employer’s quest for sustainable business success.” 2008 State of Employee Engagement Global Report, April/May 2008
A 2007 global workforce study conducted by Towers Perrin found that firms with the highest percentage of engaged employees collectively increased operating income 19% and earnings per share 28% year-to-year.
Companies with highly engaged employees are 200% more profitable than companies with low employee engagement. 2008 Aberdeen Group Survey
Employees need to feel valued and know the work they do on a daily basis matters. More than three-quarters of employees (76%) who responded to the 2008 World of Work study published by Randstad, an Atlanta-based employment-services firm, said feeling valued was the most important factor for happiness at work, out of more than a dozen options. When asked to identify the employer attributes they valued most, the top response (67%) was “recognizes the value I bring to the organization.” Length-of-Service Awards Becoming More Personal, Rebecca Hastings, SPHR, 2009 HR Trendbook, p. 46. http://www.thepracticeofleadership.net/2007/02/27/the-ten-c%E2%80%99s-of-employee-engagement
There is a clear correlation between engagement and retention, with 85% of engaged employees indicating that they plan to stay with their employer through 2008. An effective employee retention strategy is based on an understanding of engagement. 2008 State of Employee Engagement Global Report, April/May 2008
