As of 2024, just 32% of U.S. employees feel truly engaged in their work, while 16% report feeling disengaged. In comparison, the global average for employee engagement is even lower at 23%. However, there’s a brighter side: best-practice organizations boast an impressive engagement rate of 70%.
This difference shows that when companies focus on their employees’ well-being and foster a strong connection to their work, there is a significant opportunity for improvement and growth in employee engagement.
Let’s take a closer look at the latest employee engagement statistics, exploring how workers feel in the United States and across the globe.
We’ll also highlight some related insights that give us a better understanding of what drives engagement in today’s workplace.
Employee Engagement Statistics 2024: At A Glance
- 32% of U.S. employees are engaged, while 16% are actively disengaged as of Q2 2024.
- In the United States, disengaged or not engaged employees contribute to approximately $1.9 trillion in lost productivity.
- Only 23% of employees are engaged worldwide.
- Companies that actively engage their employees see an 18% drop in turnover.
- Businesses with high employee engagement earn 21% more in profits.
- A positive company culture can lead to a 400% increase in employee engagement.
- 84% of employees who feel appreciated for their work are more engaged
General Employee Engagement Statistics For 2024
- 85% of the employees are not engaged in their workplace.
Conversely, only 15% of the employees are highly engaged in their workplace, and the rest are unsatisfied with their jobs.
- Employee engagement rates reached 32% in the second quarter of 2024.
Following a concerning dip to an 11-year low in the first quarter of 2024, U.S. employee engagement improved slightly in the second quarter, rising from 30% to 32%.
This increase highlights that approximately 3.2 million more American full- and part-time employees feel involved and enthusiastic about their jobs. This improvement is a promising sign that companies are creating environments where employees feel valued and engaged.
Source: Gallup
- Employees who find passion and purpose at work are 300% more likely to stay with their organization.
Employee engagement at the workplace is highly affected by how the employees approach their work and the mindset of the employees.
Source: New York Times.
- The employees working in the sales and construction departments have only 12% of the engagement rates.
Source: Gallup.
- Businesses that can engage their employees actively notice an 18% decrease in staff turnover.
While it is impossible to bring employee retention to zero, managers and businesses can create a loyal workforce.
- As of the second quarter of 2024, 16% of U.S. employees feel disengaged from their work.
This figure reflects a broader trend of improvement, as the percentage of actively disengaged employees has significantly decreased from 26% in 2009 to 17% in 2023 and 16% in 2024.
This represents a notable 10 percentage point decline in workers who feel disconnected and disengaged from their jobs over the past 14 years.
Source: Gallup
Effect Of Employee Engagement On Companies’ Success
- 71% of executives believe that employee engagement is an essential factor for the success of their company.
The engagement rate of the employees is directly proportional to the company’s success.
Source: FastTrack360.
- Companies that have highly engaged workforces earn 21% more profit.
- High engagement rates are found in businesses that have good communication systems.
Employees who feel heard are more likely to work better and feel empowered, increasing their engagement rates. Besides, in the companies with a lower engagement rate, 91% of employees reported that their leaders lack proper communication skills.
- 33% of the people said that they do not trust their employer.
This can be a huge reason for the decline in the engagement rates of the employees. The lack of trust often leads to dissatisfaction with their work.
Effect Of Good Culture On Employee Engagement
- There is an increase in revenue by 400% in the companies with good culture and environment.
In the long run, companies with good corporate cultures and those that encourage all-round leader initiatives have high employee engagement rates.
On the other hand, the companies that do not have good culture grow at a lesser rate (166%).
- 47% of people searching for a new job said they need a company with a good culture.
- Around 33% of the professionals leaving their jobs cited boredom as the top reason.
One in three employees leaves their current job due to boredom and searching for new challenges in their new job.
Hence, businesses must ensure that employees learn new skills at their jobs and face new challenges.
Did you know? Companies with extensive eLearning training generate 218% higher revenue per employee.
Importance Of Recognition At Work
- Recognition is the most important factor a company or business must provide their employee with.
37% of the employees said that the managers and the companies must recognize the work done by them.
According to a survey conducted by RedBalloon, 43% of the employees want to receive recognition privately and individually from their managers. At the same time, 10% would prefer to receive recognition in front of their peers, while 9% would prefer to receive recognition individually in the written form.
- 84% of the highly engaged employees were recognized for their work.
On the other hand, 25% of the unengaged employees were demotivated as they didn’t receive any recognition.
- 69% of the employees reported that they would work harder if they were appreciated better for their work.
Most employees feel underappreciated and think they are not valued in the company, leading to decreased engagement. Businesses that appreciate the workers have higher employee engagement rates.
Source: Hubspot.
Unsatisfied Employees And Their Work Engagement
- 63.3% of the companies said that retaining employees is more difficult than hiring them.
Most employees prefer a workplace where they are satisfied with their job and the monetary benefits. The dissatisfaction in their job and an increase in the workload may often encourage employees to switch their company.
Source: Workest.
- Around 33% of employees look actively or passively for a job change.
Due to the high dissatisfaction rates of the employees with their jobs, more than one-third of the employees are constantly looking for a job change. As a result, recruiters have to spend more than $2.9 million per day looking for replacement workers.
Source: Accessperks.
- 73% of the employees are considering leaving their current jobs.
These employees have reported being ready to leave the job when they get a better offer. This is not about the payment received due to the lower satisfaction levels.
86% of the millennials said they would accept the pay cut if they got their ideal job. Whereas 23% of the employees searching for a new job said, they do not need an increase in their pay for the new position.
Conclusion: Only 23% Of Employees Worldwide Are Engaged In Their Work
With just 32% of U.S. employees feeling engaged and a global average of 23%, a significant number of workers are left feeling unfulfilled. This lack of engagement leads to a remarkable $1.9 trillion in lost productivity in the United States.
On the brighter side, organizations prioritizing employee engagement experience lower turnover rates, higher profits, and a more positive work environment. By fostering a supportive culture and expressing appreciation for their employees, companies can unlock the vast potential of a fully engaged workforce.