Employee Engagement: Your Key to Bottom Line Profitability
Employee engagement is a measurable degree of an employee’s positive or negative emotional attachment to their job, colleagues and organization that profoundly influences their willingness to learn and perform at work. They genuinely care about the future of the company and are willing to invest discretionary effort. Employee engagement scores also account for as much as half of the variance in customer satisfaction scores? This translates into millions of dollars for companies. An organization’s employees influence the behavior and attitudes of customers, and it is customers who drive an organization’s profitability through the purchase and use of its products. Engaged employees impact your bottom line. That shouldn’t be any new news for anyone.
But, did you know that disengaged employees can also impact your bottom line? The financial cost of employee disengagement for organizations and economics are surprising. Consider the following:
- According to Gallup, disengaged workers costs the U.S. economy $370 billion a year in lost productivity.
- According to a McLean & Company study, disengaged employees cost organizations $3,400 a year for every $10,000 in annual salary.
- Watson Wyatt found that turnover—the inevitable outcome of disengagement—costs organizations between 48 and 61 percent of an employee’s annual salary.
Ensure that your bottom line is impacted in a positive manner by developing an employee engagement program in your organization. Build a culture with your employees and take advantage of the benefits that come with it. Besides, it’s a mutual feeling. Your employees will appreciate the respect you have for them, building on the loyalty that will set you apart from competitors.