How are you keeping employees engaged and on board?
Posted by Robin Erickson on May 7, 2015.
Culture and engagement issues rose sharply in prominence to become the No. 1 challenge identified in the Deloitte Global Human Capital Trends 2015 report. Nearly nine out of 10 (87 percent) of the 3,300+ business and HR leaders surveyed consider culture and engagement issues to be “important; 50 percent say they’re “very important” — double the results in 2014. While two-thirds (66 percent) of HR respondents say they’re working on the problem by updating their retention and engagement strategy, the remainder (34 percent) report their strategy is outdated or nonexistent.
This is troubling, particularly as a growing economy and lower unemployment may already be triggering a “resume tsunami” as employees voluntarily explore their options for working elsewhere. In fact, employment statistics show a near perfect negative (-96%) correlation between low unemployment and high “quit level” among surveyed employees from January 2001 to January 2015 (Figure 1).
Figure 1: Quit Level of Employees vs. Unemployment Rate1
Most organizations seem to be unable to create the kind of magnetic culture that both attracts new employees and continually attracts current employees. A 2013 study by the Gallup polling organization reports that only 13 percent of the global workforce is engaged (while almost double that number [24 percent] are actively disengaged!).2 Upwards of half the workforce would not recommend their employer to their peers.3
These are daunting deficits to overcome, which is perhaps why that one-third of organizations in our Global Human Capital Trends study are operating with an outdated or no retention and engagement strategy. But doing nothing is not a sustainable approach, particularly given the fundamental changes occurring in the nature of work and the workforce (for example, open talent economy, overwhelmed employees, Millennials’ search for more meaning in their work, and other factors noted in this discussion of the new world of work).
How is your organization addressing the issue? Have you considered these steps?
We’ll be exploring these issues of retention and engagement further in an upcoming Dbriefs webcast, Employee Engagement and Culture: The Naked Organization, on June 10, 2015. I hope you’ll join us to continue the discussion and share your own views and experiences on this growing and systemic challenge for many organizations worldwide.
|Robin Erickson, Ph.D., is the vice president for Talent Acquisition Research at Bersin by Deloitte, Deloitte Consulting LLP. She writes about various topics in talent acquisition, including integrating with talent management, enhancing quality of hire for critical jobs, leveraging social recruiting to build talent pools, and building a global recruiting function. Follow Robin on Twitter @RAEricksonPhD and visit her blog, Talent Magnetism.|
|1 Robin Erickson, Ph.D., “Hire Better to Retain Longer: How Your Employment Brand Helps,” Bersin by Deloitte, April 2015 with Bureau of Labor Statistics and St. Louis Federal Reserve Economic Data.
2 Steve Crabtree, “Worldwide, 13% of employees are engaged at work,” Gallup, October 8, 2013. http://www.gallup.com/poll/165269/worldwideemployees-engaged-work.aspx.
3 Bersin by Deloitte proprietary research conducted with Glassdoor, November 2014.
4 Talent Keepers “The Stay Interview” Webinar on March 11, 2015.
5 For example, see http://www.ere.net/2013/12/02/stay-interviews-an-essential-tool-for-winning-the-war-to-keep-your-employees/.
As used in this document, “Deloitte” means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting.