Fast facts & figures: Benefit vs Cost of Engagement

Benefits of engagement

Benefit Explanation Author
Competitor Advantage Companies that place workers at the core of their strategies produce higher long-term returns to shareholders than their industry peers. Financial Times, February 1997
Business Results Of 64 organisations studied, the organisations with highly engaged employees achieved twice the annual net income of organisations whose employees were less engaged. HR strategy firm Kenexa
Innovation Engaged employees find direct opportunities to innovate – they come up with ideas and follow them through. Pinchott, Kanter, Birkinshaw, Burgelman
Loyal Customers A loyal workforce does more than reduce the costs of churn; it also delivers more loyal customers. Bain & Company
Employee Commitment Highly engaged employees are 480% more committed to helping their company succeed. The Employee Engagement Group
Work Ethic Engaged employees are twice as likely to stay late at work, help colleagues, and recommend improvements. CMS wire
Connected to Purpose 62% of engaged employees have a sense of purpose and meaning in their job, therefore they grow within the organisation. PeopleStreme
Economic Climate Survival Employee engagement strongly relates to key organisational outcomes in any economic climate. Gallup
Employer Brand Advocacy Highly engaged employees are 370% more likely to recommend their company as an employer. The Employee Engagement Group

Cost of disengagement

Drawback Explanation Author
Employee Turnover Employees with lower engagement levels are FOUR TIMES MORE LIKELY TO LEAVE their jobs than those who are highly engaged. Corporate Leadership Council
Low Productivity Low productivity is costing US organisations about $350 BILLION A YEAR. PeopleStreme
Undesirable Behaviours Disengaged employees are more likely to steal from their employers, negatively influence co-workers and drive customers away. Qualtrics
Greater Spend Disengaged employees cost companies money in numerous ways. They are much more expensive to maintain than their engaged counterparts, and many organisations are working hard to find ways to help get their people engaged and more productive. upstartHR
Absenteeism Disengaged employees take on AVERAGE 6.19 SICK DAYS PER YEAR compared to engaged employees’ 2.60 sick days per year. Engage Group
Work-related Stress 39% OF DISENGAGED EMPLOYEES SUFFER WORK-RELATED STRESS which eventually leads to resignation. PeopleStreme
Compromised Safety Organisations in the bottom 25% for Employee Engagement averaged 62% more accidents than those in the top 25%. Gallup
Toxic Mindset The actively disengaged go beyond the usual lack of passion found in unmotivated workers. This mindset is toxic and, if left unchecked, could spread and destroy your entire business. Refresh Leadership