Employee disengagement could cost the American economy $350 billion a year due to lost productivity and turnover.
The level of employee engagement at a company has long been assumed to impact its overall performance, but now research from the Incentive Performance Center is able to place a value on the cost of disengaged workers.
The organization's research estimates that employee disengagement could cost the American economy $350 billion a year due to lost productivity and turnover. The results of the Economics of Engagement study highlights the value of building a culture in which all staff members are properly supported and encouraged.
Unfortunately, many companies are not doing enough to actively engage workers. When employees are engaged, they are more willing to take on more additional assignments and spend extra time and energy on tasks to make sure it aligns with organizational goals and meets high standards of excellence. A Towers Watson Global Workforce Study found that highly engaged staff believe they can positively impact the quality of service or product provided by companies.
Research by the Aberdeen Group found that only one-third of organizations have a formal plan for boosting engagement levels, eWeek.com reported. Employee recognition programs can help companies build the environment needed to foster engaged staff. These initiatives provide the means to acknowledge performance of top earners to inspire more job ownership throughout the company.
Recognition programs are simple and easy to implement. Partners like Xceleration can host the platform and assist in program customization. This allows businesses to provide unique rewards for employees in a way that fits within the company culture.
Acknowledging the hard work of employees is a simple way for companies to improve engagement among workers. The benefits in increased production, higher retention and better performance can create additional value for businesses and the economy.