Introducing Insights: The data you need to hire smarter.

Why Does Employee Engagement Matter?

It’s a tough pill to swallow when someone chooses to leave your organization, especially for a competitor. But if you’re not working to ensure your employees are engaged, you’re likely facing this issue pretty frequently. 

Employee engagement affects your staff’s desire to stay with your company, and is one of the main causes for employees looking for new roles.

Globally, 85% of employees are either not engaged or are actively disengaged at work, and 52% of employees don’t believe their employers invest in improving employee experience. So without active effort, you’ll likely lose productivity, profit, and personnel. 

But how do you measure and increase employee engagement? Here’s our take.

What is employee engagement? 

Employee engagement is the extent to which an employee feels connected and committed to their organization. The Harvard Business Review simplifies the definition of employee engagement as: people want to come to work, understand their job, and know how their work contributes to the success of the organization.

There are many layers of engagement that can be broken into several categories — resources, growth & development, and community. Here’s what each means in regards to engagement:

  • Resources: I have the resources to do my job well and have a clear outline of what’s expected of me.
  • Growth & Development: I see opportunities for growth and know what I need to do to get there. Additionally, my manager or supervisor encourages my development. 
  • Community: I get along well with my coworkers and they seem to care about me as a person. 
 
These categories intertwine, and each is an important part of ensuring your business is proactive about keeping your employees engaged. Here’s why.

Why does employee engagement matter? 

How engaged an employee feels correlates to their investment in their role and how they interact with the company as a whole. So aside from contributing to the culture at your organization, engaged employees lead to increased profitability and productivity, better customer service and team collaboration, and improved retention and recruitment rates. 

According to a Gallup study, businesses with a more engaged team had 24% less turnover, 10% higher customer ratings, 17% higher productivity, and 21% higher profitability.

How do you increase employee engagement? 

The best way to increase employee engagement is by following these steps:

1. Outline your “why” & set measurable goals

You and your leadership team should start by determining the engagement outcomes you’re looking to achieve. Do you want to increase employee retention by 10%? Are you looking to improve the culture? Do you want to improve career pathing? Do you want your employee base to be more equitable and diverse? 

There are tons of reasons to implement an employee engagement strategy, so outline your “why”, and get employee feedback on what matters most to them, too. You may think your culture is top notch, but if your employees disagree, you’ve got to address it if you want the opportunity to attract new employees and keep your current team around. 

2. Determine organizational commitment & set a timeline

Next, decide what you’re willing to do to get to your goal, and set a timeline that’s reasonable. Think about budget, organization structure adjustments, and hiring needs, too. That way, when you go to communicate to your current staff and future employees, you’ll have a solid foundation for what they can expect and the progress you plan to make. 

3. Communicate to your staff

Be clear on the above when you do communicate: talk about why your organization is prioritizing employee engagement, use data from feedback collected internally as well as industry standards, detail your commitments and timeline, and explain what you hope to achieve. Continue to keep your employees informed about the progress of your organization’s goals as they develop. 

4. Measure and adjust accordingly

We’ll go into more detail about this below, but know this is as important as any other step in the process, as it tells you if your efforts are successful. 

How do you measure employee engagement?

When it comes to measuring employee engagement, it’s all about feedback. 
Send anonymous engagement surveys to make sure you’re keeping tabs on all areas that need improvement. And pay attention to see trends across the entire organization, individual teams, job level, and location. If a single team is really struggling with employee engagement, you know change needs to happen there first. 

Questions in your engagement survey should measure several different relationships, as well. Peer-to-peer, individual contributor to manager, and individual contributor to the leadership team questions should all be considered. 


Encourage managers to check in with employees on a regular basis on their growth through quarterly reviews, and give your staff the opportunity to do self reviews and manager reviews so that they can rate their experiences and contributions. 


Another way to measure employee engagement is to hold exit interviews when an employee leaves your company. While you can’t change that employee’s experience, you can gain insight into why they are parting ways with your organization, and understand where changes need to be made so that other employees don’t leave for the same reasons.

Employee engagement can have a real impact on your business and your team. But by taking the necessary steps to promote employee engagement at your organization, you’ll be able to keep your employees around and attract new talent. For more tips on employee engagement, read our
Employment Brand Playbook

Author:

Share:

Get our hiring insights delivered right to your inbox

We think it’s uncool to send spam, so we promise we won't.

By subscribing you agree with the Terms and Privacy Policy

Attract & Source
A diversified strategy helps find and attract the right people faster, while building a pipeline of qualified candidates for every role.
Features:
Job Boards
New
Career Sites
AI
Referrals
QR Codes
Campaigns
Engage & Evaluate
Leading-edge tools enhance candidate experience, and help teams to connect, dig deeper, and assess with consistency.
Features:
SMS
New
Email
AI
AI / Automation
Prescreen Survey
Interview Scheduling
Decision & Hiring
Hireology helps to get hiring to the top of the to-do list with real-time prompts and reminders that can be accessed and acted upon from a mobile device.
Features:
Background Check
New
Offer Letter
AI
References
Testing
Interview Guides
Manage & Optimize
Transformative tools drive next-level hiring solutions which align teams, sharpen focus on priorities, and drive growth.
Features:
Action Center
New
Collaboration Tools
AI
Reqs & Approvals
Mobile App
Onboarding
Selection Manager
Measure & Improve
Tools for measuring improvement and evaluating impact provide visibility into what’s working and what needs improvement among every role, team, and location.
Features:
Hiring Velocity
Hiring Funnel
Hiring Steps
Sourcing Performance
User Activity
New
Feature Placeholder
AI
“I need consistency across locations without more red tape.”
Easy-to-adopt tools that fit with existing flows drive the transition from scattered to standardized.
"I need to surface the best candidates quickly — before we lose them."
Hireology helps you identify top candidates early in the process, and gives your team the tools to evaluate and act fast, without cutting corners.
"I need more right-fits, not just more resumes."
By building a hiring portfolio from multiple sources, and optimizing it in real time, Hireology helps to ensure optimal alignment between candidate skills and job requirements.
"I need control over how we manage resources, timelines, and outcomes."
Hireology gives you the tools to create structure, enforce consistency, and stay informed – all without needing to personally manage every step.
"I need candidates who actually show up, stick around, and succeed."
Hireology helps to raise the bar at every stage, attracting stronger candidates, evaluating for long-term fit, and supporting a better start.
"I need accountability so hiring doesn't fall through the cracks."
By easily assigning roles and tracking activity, Hireology makes it easy to enforce timelines, and keep everyone on track.
"I need visibility into what's working, what's not, and where things stall."
Hireology helps you see across every role, team, and location, so you can take action with confidence, knowing what’s working, what’s not, and what’s getting in the way of hiring momentum.
"I need fewer unfilled positions — those are revenue-killers."
Fast access to the right fits and accountability built into process flows helps to keep your teams fully staffed and productive.
"I need to make it simple for managers who are
on the go.
"
Recruitment tools that easily integrate into day-to-day realities of the job, help managers to hire well, without dropping what matters most.
“I need to make applying fast and easy.”
A fast, mobile-friendly, low-friction application experience helps to keep job seekers engaged from the first click to the final step.
Automotive
Dealership department heads are on-the-go, not at a desk. Hireology offers purpose-built retail automotive solutions that provide speed and structure for smarter staffing.
Healthcare
With an expert focus on the realities of healthcare staffing, Hireology helps teams to move efficiently to build a pipeline of qualified, committed care providers across all facilities.
Hospitality
Hireology’s hiring service-centric hiring solutions for hospitality helps managers to move fast, stay consistent, and staff smarter.