Discover How Important Employee Engagement is to Your Bottom Line
Wondering how much employee disengagement costs your organization? According to Gallup’s research, 18% of employees are disengaged, resulting in significant costs for companies from lost productivity, increased turnover, and decreased customer satisfaction. A study by Udemy, showed 80% of respondents said learning new skills would make them more engaged. And, it’s important to provide training for all areas of the employee experience, not just technical skills.
Leadership, decision making, and personal development are all areas that build engagement. Employees engage more when they gain valuable workplace skills and feel connected to the company’s mission. Just converting a small percentage of disengaged employees to engaged employees has a significant impact on an organization’s financials. This tool outlines the value that could be achieved by improving employee engagement.
Why Does Disengagement Cost 34% of an Employee’s Annual Salary?
- Deceased Productivity: Employees who are disengaged have an 18% lower productivity rate than engaged employees. (Forbes) High Turnover Rate: 21% of leaders said disengagement led employees to leave the company. (Oak.com)
- Increased Absenteeism: Disengaged employees take an average of 3.5 more sick days per year. (Gallup)
- Negative Impact on Company Culture: Disengaged employees can bring down company morale, which can lead to higher turnover rates and difficulty attracting top talent. 47% of job seekers say company culture is the main reason they would leave a job. (Bullitin.com)
- Negative Impact on Company Safety: Disengaged employees are not overly concerned with their performance. Their lack of attention leads to 49% more accidents than engaged workers. (EHS Today)
