#HR Trends and Insights

3 Reasons Why Employee Engagement is Up

February 22, 2019

Perhaps it’s the hot job market, or maybe employers are doing a better job motivating employees. Whatever the reason, more employees than ever are saying they feel “engaged” in their work.

Gallup conducts an annual employee engagement survey, and the 2018 results were all-time highs. About 34 percent of U.S. Workers said they were engaged at work, tying the highest percentage in the poll’s history.

But it doesn’t stop there. The number of workers who say they are “actively disengaged” is now 13 percent — the lowest in history.

Studies show an engaged workforce is related to positive business outcomes. Having engaged employees help reduce turnover and creates a better bond with employees. Ultimately, you get a more a productive workforce that drives better results.

Would you like to know if your employees are engaged? Gartner recommends at least nine questions for an employee engagement survey including:

  • Can you see a clear link between your work and the company’s goals and objectives?
  • Does your team inspire you to do your best work?

So why are employees more engaged? Here are 3 reasons experts believe employees are more engaged than ever before.

The hot job market

The excellent job market is believed to have an impact on engagement. With an excellent job market, it’s easier to leave bad workplaces. Unemployment is at near-record levels, and the economy is adding jobs every quarter. There’s also a record number of job openings, so movement between jobs is easier than ever.

Recognition and relationships

Maybe employers have been taking notes on what experts have been saying: Acknowledge the great job your employees are doing. Gallup found workers are more satisfied with being recognized for good work and have better relationships with workers and supervisors. Recognition is a big contributor to employee motivation.

The best of benefits

One area of the workplace that has increased is the benefits offerings from employers — and Gallup says this is a big reason engagement has increased. Benefits like paid time off, retirement and pay are always at the top of the list.

But other benefits can make a difference, too. Flex time is allowing employees more freedom in the workplace, for example.

There are also benefits that help improve employee morale and help them save money in the process like commuter benefits.

Commuter benefits help show employees you value their efforts because by offering them, you help them save on transportation costs. Commuters can save up to 40 percent on commuting costs by saving money in their paychecks tax-free. So if you have employees who take public transit or pay to park, it’s definitely worth some research into commuter benefits.

Not only will you help them financially (they can save up to $265 each month), businesses save up to 7.65 percent in payroll taxes. A business with 25 public transit commuters and 50 commuters who pay to park can save up to $18,225 per year in payroll taxes by offering commuter benefits.

For more information on how pre-tax commuter benefits work, download our guide below:

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