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The modern workforce is looking for more than just a 9-5 job. It may be a no-brainer, but people want to feel engaged within their role, and are looking for a sense of purpose when they show up to work each morning. The added value that engaged and committed employees have is increasingly being recognised by CEOs, managers and HR.

What does this mean for a modern HR function? Recent studies indicate that engagement needs to be a focal point in their strategic approach to people management, the benefits of which have a two-fold effect for both employer and employee. Let’s take a deep dive into 3 of the reasons your HR strategy should focus on employee engagement.

Increased Levels Of Productivity

Can you put a dollar value to a highly engaged employee? Actually, yes. Talent Culture found that increasing employee engagement investments by 10% can increase profits by $2,400 per employee per year through increased productivity.

Employees who are engaged at work are more likely to be productive on a consistent basis—up to 22% more productive according to Gallup. With such a clear link between productivity and revenue, taking steps towards improving engagement nearly makes the case for itself. Arguably the most exciting part of this approach is the extent to which it’s mutually beneficial, with productivity only being improved through increased workplace satisfaction.

Improve Retention

As the effects of the gig economy begin to change the way people work, retaining strong staff members has become increasingly challenging. Organisations with high engagement manage to reduce employee turnover and hiring costs by retaining valuable talent, with ‘engaged and thriving’ employees 59% less likely to look for a job with a different organisation in the next 12 months. Fostering a culture of employee engagement can be the key to boosting employee retention.

Encourage Innovation

Innovation is often the source of growth and competitive advantage. The landmark McLeod Report devoted a significant chunk of its opening chapter to explaining how high levels of employee engagement are positively correlated to high levels of innovation. A Krueger & Killham study also found that 59% of engaged employees say that their job ‘brings out their most creative ideas.’ Compare that to only 3% of the disengaged employees surveyed who said the same thing, and the link between engagement and innovation becomes apparent. An engaged workforce innovates and drives companies forward.

Choosing to include employee engagement as a focal point for your HR strategy can have widely felt benefits. An organisation which takes a strategic approach to encourage engagement reaps the rewards of a committed workforce, and strengthens their foundations moving forward.



HROnboard’s May release has a focus on new starter engagement through the exciting introduction of the Welcome Programs beta.

Welcome Programs allows you to quickly and easily create a series of content, activities, and interactions for a new starter, helping them feel comfortable and engaged in their new role.

You can read more here


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