The Future of Employee Engagement: Supporting the Whole Worker
Employee engagement has changed dramatically in recent years and many of the benefits that were once viewed as “perks” (flexible hours, remote work privileges, etc.) are now expected from workers. But despite the increasing popularity of attractive workplace benefits, the tried and tested principles of empowering workers through meaningful opportunities and mentorship still ring true. In this article, Ian Campbell
Employee engagement has evolved considerably over the last decade. From remote work privileges to flexible hours, many of the benefits that were once viewed as perks are now an expectation for the working world. In fact, 77 percent of workers today expect companies to offer the option to work outside of the office. Even free snacks, once seen as either frivolous or a “nice-to-have,” are becoming a requirement. According to the Society for Human Resource Management, the percentage of U.S. companies offering free snacks rose from 20 percent in 2016 to 32 percent in 2018.
These benefits are more than just attractive “nice-to-haves” to tout on a company’s website—they are proven to have a direct return-on-investment on employee engagement and business leaders across industries have embraced them as a way to attract and retain talent.
Calculating ROI—typically for technology investments—is what our firm does for its clients. More recently, we took a look at the ROI of employee engagement and retention — and found the cost to replace a worker can be as high as 48 percent of the employee’s fully loaded annual cost to the employer.
Workplace benefits can help curb the costly impact that high rates of attrition have on a company’s bottom line. They can also help companies vie for talent in an increasingly competitive landscape where the rate of unemployment is at a historically low level.
At Nucleus Research, we’ve experienced the positive impact of workplace benefits first-hand. Several years ago, we implemented a series of policies to support work-life balance, including a “bring your dog to work” initiative, and we rolled out company-wide seasonal trips to reward teams for their hard work throughout the year. While these gestures may seem small, cumulatively, these policies have been critical for us to build out our teams and bolster company morale.
The next frontier of employee engagement—supporting the whole worker
Nevertheless, material benefits can only go so far. After all, the growing popularity of workplace benefits isn’t a passing fad—it’s part of a larger trend of workers demanding more from their employers and expecting greater meaning from their jobs. In a recent poll of young American workers, 57 percent of respondents cited that their most important career priority was to find a personally enjoyable, meaningful position. This goes beyond the creature comforts of office snacks. Today, workers seek a greater sense of fulfillment.
In order to compete for talent in the digital economy, employers must also provide their workers with opportunities that compel them to come to work every day and encourage them to do their best work.
Learn More: How to Create Better Workplaces by Mastering the Employee Feedback Loop
Empowering workers
Fulfillment in the workplace looks different for every employee, largely depending on where that employee is in their career development. However, in my experience as a founder and CEO, I’ve identified two simple principles that are intrinsically tied to employee growth and satisfaction: control and recognition.
According to a recent Gallup poll of nearly 7,500 full-time employees, 23 percent of respondents reported that they feel burned out at work very often or always and 44 percent reported feeling burned out sometimes. Workers are less likely to suffer stress and ultimately burnout if they have a degree of control over their environment. Within the constraints of company objectives, giving workers the autonomy to choose which projects they work on and latitude in the way they complete those projects increases the likelihood they will feel passionate about and invested in what they are doing.
Learn More: How Healthy Turnover Can Lead to Long-term Talent Retention
If employees aren’t recognized for their hard work, then employee stamina and focus will inevitably run dry. Recognizing an employee, especially when their accomplishment is exceptional or clever, is likely to generate mutual support from the rest of the team. But it must be genuine. Superficial accolades run the risk of damaging a worker’s drive, and employees can always tell the difference.
While these principles may not exhibit the same “wow factor” as free office perks, they can go a long way to reduce turnover and boost morale. Looking ahead, companies that go back to basics and embrace the tried and tested principles of autonomy and recognition will witness greater levels of employee engagement.
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