February 2011
Though productivity rose steadily during the recession, companies may now be paying the price in engagement — employees' involvement in and commitment to work. After rounds of layoffs and salary freezes, many workers have become stretched and demoralized.
Research shows — and our own experience with companies supports — that higher employee engagement links to improved retention, customer loyalty, revenue, sales and profit. But not all roles are equal, and companies that strive to raise engagement among all employees may be failing the ones who make the biggest difference to the business.