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What is Employee Engagement? Levels, Benefits, Drivers

9 min read
Last Updated on 13 April, 2021
What is Employee Engagement? Levels, Benefits, Drivers

What comes to your mind when you think of the term Employee Engagement?

  • Keeping employees busy in their jobs.
  • Getting only the high performing candidates onboard.
  • Or providing a handsome paycheck to boost your employees' commitment.

Well, if these are some of the things that you imagine it to be, then it's about time we change your perception by helping you learn everything about employee engagement in detail.

While developing human resource management, managers often tend to overlook employee engagement. This happens mainly because they are not aware of its importance and benefits.

Or sometimes because they aren’t aware of the means to implement a culture that prioritizes workplace engagement.

As a result, organizations do not install it in a professional manner. This harms both the organization and its employees. If your workers aren’t emotionally attached to their jobs or are satisfied, then it’s clearly visible in the company’s overall performance.


What about the other 85%?

What are the reasons that this large section of the workforce is not engaged in their work? And what can you do as a human resource manager to change this alarming situation?

Here to make things easier for you, I have listed down some of the key points that you need to know about employee engagement.

So, let’s first start with

What is Employee Engagement?

Employee engagement is the emotional connection which an employee feels towards his or her organization, that tends to influence their behaviors and level of effort in work-related activities.

It is basically an approach to creating an ideal workplace environment where employees care about their work.

In other words, the employees “feel engaged".

Here the term “engaged” has a philosophical approach rather than a traditional or mechanical one.

And just like Steve Jobs said,

The only way to do a great job is to love what you do.

It means a situation where the employees identify themselves with their work. They are enthusiastic and passionate about whatever they do. They feel a sense of gratification while and after ‘engaging’ in that work.

Download Now: A step-by-step Guide to Employee Engagement

Employee Engagement, thus, is about-

  1. How bound are the employees to their work and their co-workers?

  2. How well are the employees communicating and connecting with each other?

  3. How can you boost your employees' emotional commitment towards their work?

Learn more: How to improve communication in the workplace?

The Emotional Aspect of Employee Engagement

When people are financially invested, they want a return. When people are emotionally invested, they want to contribute - Simon Sinek

To perform a task in an effective manner, a little slice of emotional attachment is necessary.

There has been a change in how employees define happiness nowadays. Earlier, spending time with family and pursuing hobbies were the sources of happiness. But with work-life being a major part of our lifestyle, happiness at work is what now everyone seeks. That is why employee engagement remains to be so much more than just a corporate buzzword.

Building an emotional commitment within the workforce for their organization and its goals is one of the main objectives of employee engagement. But it has always been a challenging task for the human resource managers.

So, how can you do it in an effective manner?

By implementing various employee engagement strategies that goes well with your organization's goals.

You can begin this by conducting simple employee surveys within the organization asking:

  • If the employees' are liking the work environment?
  • If they would like to have anything apart from the basic amenities in the office?
  • Do they feel motivated by their HR's approach towards them?
  • Are the current incentives which are being provided keeping them happy?
  • What is the level of employee satisfaction in your company?

The answers to these may vary from employee to employee but it'll at least give you an idea about what they think.

Learn more: 45 Employee Engagement Survey Questions To Ask In 2020

The Four Levels of Employee Engagement

Here's an infographic showing the four levels of employee engagement as identified by Effectory.


The Role of Managers in Engaging Workers

Managers play an important role in increasing the level of employee engagement at their workplace.

It is the managers who are at the forefront of every employee-related matter. And as such, the task of ensuring a healthy and engaged workforce also lies in their shoulders.

However, considering this task to be an easy one would be a huge mistake. Making sure that every employee is engaged and satisfied is quite difficult.

Engaging workers in your organization is all about making them feel valued for their contributions. This way the employees feel attached to their organization and its goals.

To achieve this, the managers must give equal importance to every worker and appreciate them for their efforts from time to time. Because highly engaged employees perform much better than their counterparts.


6 Prime Benefits of Employee Engagement

The benefits of keeping your employees engaged are immense. Here's why you need to incorporate this into your work culture.


1. Increased Productivity

There’s no doubt that engaged workers are the best performers. They are creative and put in discretionary effort everytime they do something. They work hard and scale the extra mile to fulfill their responsibilities. Higher productivity directly results in a positive business outcome.

A poll by Gallup says engaged employees are 17% more productive.

2. Higher Retention

A 2017 report by Gallup shows that 51% of workers are planning to leave their current jobs. This can be attributed to the lack of a culture of recognition. Always remember, employees rarely leave a company when they feel appreciated for their work.

3. Rise in Profitability

Due to increased productivity and efficiency, the profitability of a company hikes up. A study by Wyatt Watson shows that companies with engaged employees produce 26% higher revenue per employee. Increase in engagement results in an overall increase in the company’s performance.

4. Decrease in Absenteeism

When people don’t come to work, it impacts productivity and performance. Absenteeism can delay projects, damage customer satisfaction, and workplace relationships. But passionate and enthusiastic employees rarely want to miss their work. They enjoy their work and get the work done in the most efficient manner.

Learn more: The HR Professionals Guide to Employee Absenteeism

5. Enhanced Customer Satisfaction

There are lots of case studies that prove that engaged employees affect a company’s bottom line. There is a direct relationship between employees and customers. When employees are happy, they treat customers well which results in happy customers. And happy customers are the key to higher revenue and profit generation.

6. Improves Employee Satisfaction

Employee satisfaction is very important for any organization to thrive.

When your employees realize how important their work is they feel good. Further, appreciating them every time they do great work lifts their morale. Satisfied employees then resonate with the same good feeling when they interact with customers. Thus, positively affecting your customer experience as well.

So, managers must make it a point to make an employee's experience at work fulfilling.

7 Key Drivers of Employee Engagement for a High Performing Workforce

The increase in job opportunities also increases the chance for employees to switch jobs. Skilled and experienced employees don't mind switching jobs if their efforts go unnoticed.

Who would like to work at a place where there is no one to appreciate or motivate them?

Makes sense, doesn’t it?

So, to foster a good workplace relationship and retain your top performers, you should implement the following:


1. Decentralized Power Structure

One of the main drivers of employee engagement is a decentralized power structure. When you pass on some executive powers to your high performing employees they feel obliged. It fills them with a sense of responsibility and makes them accountable. This way it also becomes easy for them to apply new innovative ideas.

2. Freedom of Opinions

Employees who feel free to share their opinions and ideas are more productive. You should encourage your employees to express their views more often. Also, conducting regular one on one meetings with your workers is a great way to hear them out.

Learn more: How to conduct successful one on one meetings?

Remember, knowing your workforce will help you drive employee engagement the right way. And for this, you can also run some quick pulse surveys as well.

3. Involvement in Important Tasks

You should also involve employees in the decision making processes. Employees feel valued when you involve them in the important courses of action. As a result, they work harder for the company's growth.

4. Cooperative Workers

Communication is the key. Companies whose employees are well connected are far more successful than others. Lack of communication leads to misunderstandings and deadlines being pushed.

To get to know your employees, communicating outside the office is as necessary as inside. Going out with your employees for enjoying some light moments is a great idea. Such activities also create new avenues for brainstorming ideas and build better employee experience.

Learn more: How to measure employee engagement?

5. Acknowledging Employees

Employees get the utmost satisfaction when they know their worth.

They feel a sense of gratification knowing their work has been beneficial. Therefore, you should make it a point to appreciate your employees and their work. So, no matter the amount of contribution, always recognize your employees.

Unrecognized contribution hampers both the enthusiasm and passion to work for an organization. Even a simple ‘Thank you’ goes a long way when trying to encourage and motivate your employees.

6. Growth & Development

An employee aspires to learn and grow at his or her workplace. It is a quintessential element that every job seeker looks forward to while joining an organization. But failing to provide the scope for growth and development leads to dissatisfaction.

Hence, as a manager, you must always encourage healthy competition within the workplace. As well as, reward the best performers in order to motivate the others.

7. Change the Tediousness of Work

All work and no play makes Jack a dull boy.

Making your employees work continuously will exhaust them. Here, the issue of employee burnout is real and you must not overlook it. An employees’ work-life balance is as important as your company’s growth.

When your employees feel enthusiastic about their work they will give their best. Hence, you should always try to create a positive work environment. Having such an environment will boost the emotional commitment the employees have towards their work.

At the same time, you should encourage healthy competition within the employees to keep up their morale.

Listen to our podcast on: What is the future of Employee Engagement?

The Conclusion

Employee engagement is a two-way process. It is all about how you treat and interact with your employees. And only the manager can bridge the gap between employee engagement and disengagement.

There’s no doubt that it’s a tough job. But there are many ways to achieve this.

Measures like employee perks, rewards, and recognition, etc. are good. These measures help you keep your employees motivated and satisfied.

Having an employee engagement platform can be a great move too. Such a platform helps the employer achieve three key points -

  • Retaining skilled and experienced employees.
  • Engaging the current workforce for better efficiency.
  • Attracting the best talents to work for the organization.

So, it's very important for employers to understand the drivers of employee engagement and apply them accordingly. Because having an engaged workforce is crucial for ensuring good growth and better stability.

Do let us know your views on this, we would love to hear them from you in the comments below.

Working as a SEO Analyst and Content Marketer at Vantage Circle, Angshuman always stays curious and is passionate about learning new things. Got any question? Drop a mail at