Why employee engagement matters to your organization

Employee engagement has been shown to increase profitability, work quality and productivity of employees, and it helps retain top talent. That’s why more and more organizations are investing their time and resources into workplace culture. It can be a game-changer for your company.

What is employee engagement?

Employee engagement is how strongly employees feel connected to their work and their employer. Although many people use terms such as employee engagement and employee satisfaction or job satisfaction interchangeably, employee engagement is broader than employee satisfaction. That’s because satisfaction is primarily about how happy employees are in their role at the company. Employee engagement considers the motivation, commitment, and connection employees have to their role and the organization.

Engaged employees and disengaged employees differ in many ways, from their demeanor and work output to their connection to their jobs, team, and the company as a whole. Engaged employees have a positive attitude towards the organization and play a large role in a company’s overall employee satisfaction and employee retention. Disengaged employees are a significant factor in higher employee turnover, lower productivity, and worst-case scenarios – a negative company reputation that hurts its employer brand.

Why is employee engagement important?

Generally, employee engagement drives performance and retention. When employees are engaged, they want to stay with the company and give their best every day to achieve company goals. They’re also willing to recommend and refer others to your organization.

This focus on driving success for the organization can also help drive financial growth. Top Workplaces reach employee engagement levels that are more than double those found in average organizations. Research conducted by Irrational Capital and Energage shows a direct link between corporate culture and business performance. This study shows Top Workplaces organizations outperformed the market when the COVID pandemic first hit and now during the recovery.

Employee engagement for employees

For employees, employee engagement is important because it gives them a sense of connection and purpose that drives their work. As long as employee engagement is built and nurtured at the individual and company levels, employees can thrive and feel passionate about their contribution to the company’s mission. When employees are not engaged, they feel undervalued and underappreciated. And that’s when they often look for a better opportunity at a different organization.

Laura Brinton is content marketing director at Energage, a Philadelphia-based employee survey firm. Energage is The Washington Post’s partner for Top Workplaces.