Halloween May Be Frightful, but Employee Engagement Shouldn’t Be

Employee disengagement is haunting U.S. workplaces. According to a recent Gallup poll, engagement has dropped to its lowest point in more than a decade. It’s a chilling reality for businesses across the U.S.

Engagement among U.S. workers declined 3 percentage points to 30% from 2023 to 2024. This may not seem like a major drop, but it represents almost 5 million employees who are no longer highly engaged at work. That’s quite a scare for businesses looking to keep their workforce motivated and productive.

This dip in engagement is most notable among members of Generation Z and employees working remotely or onsite where remote work is possible.

Carly Holm, founder and CEO of Humani HR, a management and HR consulting firm based in Nashville and Toronto, said that falling engagement is a big topic among her clients.

“I’m not surprised at all,” she said. “The world of work has changed so dramatically in the last few years. People are spending so much more time on screens than actually interacting with other people. I believe that decreased human interaction has led to a decrease in employee engagement.”

Meghan Stettler, director of the O.C. Tanner Institute in Salt Lake City, believes the problem runs deeper than mere disengagement. She suggested that employees are not just searching for engagement; they are yearning for people-centric cultures that offer meaningful experiences. What appears as a lack of motivation could be a plea for fulfillment and purpose at work.

According to Stettler, employee fulfillment is derived from meeting employees’ fundamental psychological needs, which include:

• Community, connection, and belonging.
• A sense of purpose.
• Personal growth and demonstration of mastery in their role.
• Flexibility and autonomy over the way work is done.

“Disengagement is felt strongest among employees who don’t perceive they have the level of flexibility and autonomy in their work that they want and people who are expecting more than just a transactional relationship with their organization,” Stettler said.

Gallup research also shows that organizations can turn these engagement statistics around.

Jim Harter, chief scientist, workplace and wellbeing, for Gallup, said that employers with high levels of engagement have created hybrid working environments, set clear expectations, and provided ample support to their managers. They have also implemented effective onboarding programs and offered well-rounded approaches to employee well-being.

Holm suggested that managers should check in with their remote workers regularly, asking them about their work and their sense of fulfillment and connection. “Employees want more than just a paycheck,” she said. “Especially the younger generations want to be making an impact. That doesn’t mean saving the world, but figuring out and emphasizing how the organization gives back to the community and serves its mission.”

Stettler recommended that managers redesign one-on-one meetings to focus on how the employee’s work contributes to the organization’s purpose and how their unique skills and passions can be better utilized, as well as clearly mapping out growth opportunities and celebrating their accomplishments.

“Use recognition to showcase how employees are uniquely contributing to business outcomes,” she said. “When you celebrate someone’s unique identity, that boosts their sense of belonging.”