How employers benefit from engaging employees more effectively

The COVID-19 pandemic prompted millions of people to reconsider their careers. That reflection has had a profound effect on the labor market. Data from the U.S. Department of Labor indicates that 4.5 million people quit their jobs in the United States in November 2021, which led to a near record-high number of job openings around the end of 2021 and the beginning of 2022.

Though the pandemic may have led millions of people who were previously dissatisfied with their careers to make positive changes, employers forced to confront staff shortages may be wondering what they can do to attract qualified and talented candidates. Finding ways to engage workers more completely could benefit companies in various ways. A recent poll from Gallup found that companies suffer some pretty significant consequences when their employees are disengaged. Gallup reports that such companies suffer from 16 percent lower profitability, 18 percent lower productivity and 37 percent lower job growth.

No two workers are the same, so there’s no magic wand employers can wave that will ensure everyone is suddenly engaged and satisfied with their jobs and career prospects. However, recognition of what employees value most could help businesses retain workers longer and keep those workers engaged.

A recent survey of 540 full-time employees from the market insight firm Clutch found that the most important workplace values for full-time employees are fair pay and fair treatment. It’s no surprise that compensation bears such significance, as pandemic-related inflation and global conflicts have led to rising costs on everything from food to fuel. However, a survey from the risk management experts at Willis Towers Watson found that there’s a disconnect between employees and employers in regard to the importance of fair pay and its relation to workplace stress.

Employees consider low pay to be the second greatest source of workplace stress, while employers indicated that eight other factors are greater sources of such stress for their employees. Employers concerned about staff dissatisfaction, and the effects that disengaged employees can have on their bottom lines, can make a concerted effort to revisit their compensation policies. An overhaul of such policies could be just what companies need to reengage employees and improve employee retention, giving businesses a significant advantage in an era marked by significant turnover in the labor force.