Companies that fail to engage their talent, particularly diverse talent, can experience symptoms ranging from increased attrition to reduced company revenue, poor pulse survey scores, and more. Low employee engagement isn’t a unique challenge. In fact, more than half of employees surveyed report that they aren’t engaged at work. Even worse, disengagement is contagious. In the United States alone, disengaged employees annually cost companies over $500 Billion (that’s billion, with a B). This means that companies are losing money every day because employees aren’t showing up to work fully. Where is the room for improvement and what are some of the potential benefits companies can expect to experience from well executed Employee Engagement tactics.
From lower employee morale to reduced productivity, if employees aren’t engaged it means the company is at risk of losing key talent or having that talent “show up” for work, without gaining the maximum amount of productivity and ideation that happens when employees are invested in their workplace because they have a sense of well-being and belonging.
Companies are at risk but there is room for opportunity
According to employees in the U.S., almost 70% consider themselves anywhere along the axis of “not engaged” to “actively disengaged.” That’s a tremendous loss in terms of productivity and a delay in reaching company business goals.
Employee engagement has room for improvement in most organizations: just 12% of businesses report being happy with current levels of employee engagement. This means that low employee engagement scores can result in leaders being viewed as lacking the strategic team insight that leads to full engagement.
A culture of Diversity and Inclusion makes workplaces better for EVERYONE
Employees’ positive perceptions of D&I practices are positively related to employee engagement for all employees, not just minority groups. Perceptions in this case are derived from the actual ‘policies and practices that make up an organization’s diversity practices’ – the tangible actions taken for diversity. This means companies taking steps to ensure impactful D&I practices are in place, will benefit across all demographics.
When it all boils down, companies with engaged employees achieve an average of 21% higher profitability compared to those with disengaged employees. This means that companies that succeed in engaging their employees have a strategic advance over the competition. There is ample research that can more than validate the fact that engagement drives profits, and that a culture of diversity and inclusion drives engagement.
Our team addresses these topics and more during our open monthly Q&As, as well as during our quarterly webinars. The cost of employee disengagement and D&I as a solution to those costs is a discussion worth expanding whenever possible. Finally, see expanded stats and some of our favorite approaches to empower a culture of Diversity and Inclusion that promotes company-wide engagement on page 18 of our Lead Inclusively Whitepaper.