SHRM Research Overview: Employee Engagement
SHRM R O:
E E
SHRM Research Overview: Employee Engagement
Employee engagement has long been an important topic for
organizations. Over the past decade, HR professionals, con-
sultants and researchers have linked employee engagement
to a number of critical human capital and business outcomes
within organizations, including stronger intentions to leave,
increased staff turnover, and low employee morale and over-
all satisfaction at work.
Organizations today invest a considerable amount of nan-
cial and staff resources to actively measure, track and man-
age levels of engagement among their employees. Dedicated
teams of HR professionals are assembled to accomplish
these activities through targeted pulse and annual surveys,
action planning activities, and leadership and managerial
interventions and strategies. As a result, it is critical that
HR professionals understand how employee engagement
is dened within organizations, the role it plays in driving
staff morale and productivity, and the implications levels
of engagement have on human capital management and
overall business success.
Recent SHRM research has found that HR professionals,
executives and other business leaders frequently cite human
capital management as a top priority for achieving economic
success, and any related discussion must include employee
engagement. Levels of employee engagement are typically
dened by the actual conditions in the workplace and work-
ers’ opinions and behaviors as they relate to their jobs.
SHRM research has shown that employees’ engagement
levels are often determined by the strength of their relation-
ships with supervisors and co-workers, as well as their belief
in their own ability to perform their jobs effectively and
contribute to their organization. Other ndings show that
maintaining high levels of employee engagement is viewed
as a signicant challenge among HR professionals and
executives.
Employees Want to Feel Valued and Included
Although there are some nancial factors that determine
employees’ levels of engagement with their jobs, many
workers place more weight on relationships and the work
itself. Engagement levels can also vary among job catego-
ries, and those in supervisory and executive positions are
frequently more engaged with their work than are hourly
employees and individual contributors.
1
On a scale of 1 to 5, with 1 being the least engaged and
5 being the most engaged, employees were moderately
engaged in 2015, with an overall index of 3.8, similar
to prior years (3.7 in 2014 and 3.6 in 2013), according
to SHRM’s Employee Job Satisfaction and Engagement
report.
2
In 2015, two elements tied as the engagement condi-
tion with which most employees reported being satised
(77%): relationship with co-workers, and opportunities
to use their skills/abilities in their work (see Figure 1).
Career advancement opportunities within the organiza-
tion were the engagement condition that was cited by
the fewest employees as being satisfactory (57%). Several
engagement conditions varied depending on job level.
Middle-management employees were more likely than
nonexempt (hourly) employees to be satised with cer-
tain engagement conditions, as shown in Figure 2.
Nearly nine out of 10 employees either said they were
condent they could meet their work goals (89%) or
were determined to accomplish their work goals (86%),
as illustrated in Figure 3. Similar to conditions for
engagement, results for engagement opinions varied
according to job level (see Figure 4). For example, more
middle-management employees (72%) than nonexempt
(hourly) employees (55%) said they had passion and
excitement about their work.
SHRM Research Overview:
Employee Engagement
SHRM Research Overview: Employee Engagement
SHRM Research Overview: Employee EngagementSHRM Research Overview: Employee Engagement
Figure 2: Dierences in Engagement Conditions Based on Job Level
77%
82%
69%
Opportunities to use
skills/abilities
76%
81%
66%
Meaningfulness
of the job
69%
77%
58%
Variety
of work
Overall Middle management Nonexempt (hourly employees)
Note: Figure represents the percentage of responding employees who indicated being somewhat satisfied or
very satisfied with each job satisfaction aspect. Percentages are based on a scale where 1 = “very dissatisfied”
and 5 = “very satisfied.” Respondents who indicated “not applicable” were excluded from this analysis.
Source: Employee Job Satisfaction and Engagement (SHRM, 2016)
Figure 1: Conditions for Engagement
Very
Dissatisfied
Somewhat
Dissatisfied
Neutral Somewhat
Satisfied
Very
Satisfied
Overall
Satisfaction
Relationship with co-workers 2% 3% 17% 41% 36% 77%
Opportunities to use skills/abilities 2% 5% 16% 40% 37% 77%
Meaningfulness of the job 2% 5% 17% 42% 34% 76%
The work itself 2% 6% 17% 40% 34% 74%
Relationship with immediate supervisor 3% 7% 16% 34% 40% 74%
Organization’s financial stability 2% 7% 19% 40% 33% 72%
Contribution of work to organization’s business goals 2% 3% 22% 42% 30% 72%
Autonomy and independence 2% 9% 18% 39% 32% 71%
Variety of work 3% 8% 20% 39% 30% 69%
Overall corporate culture 3% 10% 19% 41% 28% 69%
Communication between employees and senior management 6% 14% 16% 39% 25% 64%
Organization’s commitment to corporate social responsibility 4% 7% 27% 39% 24% 63%
Management’s recognition of employee job performance 6% 12% 18% 37% 26% 63%
Job-specific training 3% 12% 25% 37% 25% 61%
Organization’s commitment to professional development 4% 11% 25% 34% 25% 59%
Networking opportunities 4% 10% 28% 36% 23% 58%
Career development opportunities 4% 13% 25% 37% 21% 58%
Career advancement opportunities within the organization 5% 15% 23% 33% 24% 57%
Note: Percentages are based on a scale where 1 = “very dissatisfied” and 5 = “very satisfied.” “Not applicable” responses were excluded from this analysis. Data are sorted in descending order by the “overall satisfaction”
percentages.
Source: Employee Job Satisfaction and Engagement (SHRM, 2016)
WHAT THE EXPERTS ARE SAYING
Karen Paul, Ph.D.
Leader of the Global Measurement Center of Expertise, 3M
A number of interesting reports are emerging that indicate
business leaders are feeling they are not realizing the benefits
of employee engagement initiatives. One interpretation could
be that employee engagement initiatives don’t work. Yet, CEOs
are citing employee engagement as one of their top five global
business strategies for their organizations, and the topic is
clearly rising in the minds of business leaders.
There is also a soon-to-be-billion-dollar industry that has arisen
to support and advise around these initiatives. Perhaps another
interpretation could be that the sentiment is more a reflection of
the enormous and ever-increasing challenges due to the fast-
moving business landscape than any actual disconnection of
organizational outcomes derived from positive work attitudes.
To read the full Perspectives article from which this excerpt is taken, visit shrm.org.
SHRM Research Overview: Employee EngagementSHRM Research Overview: Employee Engagement
Figure 3: Engagement Opinions
Strongly
Disagree
Disagree Neutral Agree Strongly
Agree
Overall
Agreement
I am confident I can meet my work goals 1% 2% 8% 40% 49% 89%
I am determined to accomplish my work goals 1% 2% 11% 43% 43% 86%
I have a clear understanding of my organization’s vision/mission 2% 4% 17% 46% 31% 77%
I am highly motivated by my work goals 2% 5% 17% 40% 37% 76%
While at work, I’m almost always completely focused on my work projects 1% 8% 20% 44% 27% 71%
I am provided with the resources to do my job well 2% 11% 19% 44% 24% 68%
I frequently feel that I’m putting all my effort into my work 2% 6% 24% 39% 29% 68%
I have passion and excitement about my work 2% 8% 24% 39% 26% 66%
I am often so wrapped up in my work that hours go by like minutes 3% 10% 24% 33% 31% 64%
I enjoy volunteering for activities beyond my job requirements 3% 13% 27% 35% 22% 57%
I feel completely plugged in at work, like I’m always on full power 2% 12% 31% 35% 20% 55%
Note: Percentages are based on a scale where 1 = “strongly disagree” and 5 = “strongly agree.” Data are sorted in descending order by “overall agreement” column.
Source: Employee Job Satisfaction and Engagement (SHRM, 2016)
Figure 4: Dierences in Engagement Opinions Based on Job Level
86%
90%
78%
I am determined
to accomplish my
work goals
66%
72%
55%
I have passion and
excitement about
my work
64%
71%
56%
I am often so wrapped
up in my work that
hours go by like minutes
Overall Middle management Nonexempt (hourly employees)
Note: Figure represents the percentage of respondents who agreed or strongly agreed with statements on
engagement opinions and behaviors. Percentages are based on a scale where 1 = “strongly disagree” and 5 =
strongly agree.” Respondents who indicated “not applicable” were excluded from this analysis.
Source: Employee Job Satisfaction and Engagement (SHRM, 2016)
Employees’ Perceptions of Colleagues Also Contribute to Engagement
Engagement behaviors, or the “look” of employee engage-
ment, can be described as actions that positively contrib-
ute to the welfare of the organization. These behaviors
encompass employee groups rather than the engagement
of individual employees. Employers should consider these
when developing strategies for employee engagement, as
workers’ perceptions of their colleagues’ actions can also
affect their levels of engagement.
A sizable majority of employees (70%) said that in their
organizations employees are encouraged to take action
when they see a problem or opportunity, according to the
2015 Employee Job Satisfaction and Engagement report
(see Figure 5). Nearly two-thirds (65%) said their col-
leagues quickly adapt to challenging or crisis situations.
SHRM Research Overview: Employee Engagement
There were few differences in engagement behaviors
among demographic groups, according to the same
report. Middle-management employees were more likely
than nonexempt (hourly) workers to agree that other
people in their organizations often volunteered for new
projects.
3
Employers are using a number of tactics to improve
employee engagement, according to other recent research
by SHRM. More than four out of ve (83%) HR profes-
sionals said employee recognition programs had a posi-
tive impact on employee engagement, as shown in Figure
6, and more than half (53%) said service anniversary
programs were either an excellent or a good method to
increase employee engagement (see Figure 7).
4
Figure 5: Engagement Behaviors
Strongly
Disagree
Disagree Neutral Agree Strongly Agree Overall
Agreement
In my organization, employees are encouraged to take action when
they see a problem or opportunity
2% 9% 20% 46% 24% 70%
My colleagues quickly adapt to challenging or crisis situations 1% 11% 24% 43% 22% 65%
My work group never gives up despite difficulties 1% 9% 26% 43% 21% 64%
Employees in my organization deal very well with unpredictable or
changing work situations
3% 10% 26% 41% 21% 61%
In my work group, we are constantly looking out to see what challenge
is coming next
2% 12% 30% 38% 19% 57%
The people in my work group are always flexible in expanding the
scope of their work
3% 12% 31% 38% 17% 55%
Others in my organization view unexpected responsibilities as an
opportunity to succeed at something new
4% 14% 30% 37% 16% 53%
Other people in my organization often volunteer for new projects 4% 18% 31% 32% 16% 48%
Note: Percentages are based on a scale where 1 = “strongly disagree” and 5 = “strongly agree.” Data are sorted in descending order by “oerall agreement” column.
Source: Employee Job Satisfaction and Engagement (SHRM, 2016)
Figure 6: The Impact of the Employee Recognition Program,
According to HR Professionals
83%
Has a positive
impact on
employee
engagement
82%
Increases
employee
happiness
81%
Adds humanity
to the
workplace
79%
Improves
employee
relationships
75%
Helps the
organization
instill and
reinforce
corporate
values in its
employees
Note: Percentages represent “Yes” responses to each option.
Source: SHRM/Globoforce Employee Recognition Programs (SHRM, 2015)
SHRM Research Overview: Employee Engagement
Employee Engagement Is Viewed as a Top Challenge Globally
HR professionals have a formidable task in managing cur-
rent trends in the U.S. labor market. Improved economic
conditions have increased demand for hiring, yet recruit-
ing struggles are prevalent at many organizations. Even
as employment conditions have stabilized, many workers
do not feel secure in their jobs and may explore other
options. Effective employee engagement can potentially
alleviate these issues for HR professionals.
Research has shown that many HR professionals view
employee engagement as a top human capital challenge,
as shown in Figure 8, according to SHRM’s Business
and Human Capital Challenges Today and in the Future
report. Nearly two out of ve (38%) HR professionals
said maintaining high levels of employee engagement was
currently their organization’s greatest human capital chal-
lenge, and one out of ve (20%) said it would remain the
greatest challenge for the next 10 years (see Figure 8).
5
In the same report, some executives indicated that
engagement was a challenge, but they did not rank it
as highly as HR professionals did (see Figure 9). About
one-fth (21%) of executives said maintaining high
levels of engagement was a top human capital challenge
right now, and just 15% said it would remain so for the
next 10 years.
Other research reveals that employee engagement is a
priority not only in the United States but in other coun-
tries as well (see Figure 10). When asked about which
of the 27 HR “subtopics” demanded the most urgent
action, U.S. business leaders and HR professionals
ranked employee engagement third, as did respondents
in Canada. Respondents in China and India ranked it
second out of 27.
5
Figure 7: The Impact of the Service Anniversary Program, According to HR Professionals
Increases employee engagement
12% 41% 35% 12%
Organizational leadership loves the program
15% 43% 34% 8%
Employees love the program
16% 40% 35% 8%
Contributes positively to organizational culture
16% 49% 29% 6%
Makes employees feel valued
21% 51% 24% 4%
Excellent
Good
Fair
Poor
Note: Percentages may not total 100% due to rounding. Respondents who answered “not applicable” were excluded from this analysis.
Source: SHRM/Globoforce Employee Recognition Programs (SHRM, 2015)
John Jersin
CEO, Connectifier
The production view of employees has so dominated our culture
and interactions that even candidates and employees have
eectively been trained to view themselves this way—and it badly
needs to stop. Although the power of money in compensation is
undeniable, candidates often over-focus on this one factor. After
taking a marginally higher-paying job, many people find that the
environment (which they knew nothing about before starting)
doesn’t satisfy their numerous other needs and ambitions.
The outcome is that the company has an under-motivated
employee, eventually needs to replace that person, and the
employee spends a significant portion of his or her life being less
happy than he or she could have been. The solution to this mess
is simple. In addition to talking to candidates about the things that
matter to them, we need to talk to them about why they matter.
To read the full Perspectives article from which this excerpt is taken, visit shrm.org.
WHAT THE EXPERTS ARE SAYING
SHRM Research Overview: Employee Engagement
Figure 8: What Are Your Organizations’ Greatest Human Capital
Challenges? (HR Professionals’ Views)
Maintaining
high levels
of employee
engagement
38%
20%
Developing
the next
generation of
organizational
leaders
31%
39%
Maintaining
competitive
compensation
offerings
29%
24%
Retaining
highest-
performing
employees
26%
23%
Retaining
employees
overall
25%
16%
Currently Next 10 Years
Note: Percentages do not equal 100% due to multiple response options. Respondents could select up to three
options.
Source: Business and Human Capital Challenges Today and in the Future (SHRM, 2015)
Figure 9: What Are Your Organization’s Greatest Human Capital
Challenges? (Non-HR C-Suite Executives’ Views)
28%
19%
Retaining
highest-
performing
employees
22%
19%
Maintaining
competitive benefits
offerings
(health insurance,
401(k), etc.)
22%
14%
Retaining
employees
overall
21%
15%
Maintaining
high levels
of employee
engagement
20%
18%
Maintaining
competitive
compensation
offerings
Currently Next 10 Years
Note: Percentages do not equal 100% due to multiple response options. Respondents could select up to three
options.
Source: Business and Human Capital Challenges Today and in the Future (SHRM, 2015)
Figure 10: Urgency Ranking of Selected HR Subtopics by Country
United States Canada France Germany United Kingdom China India
Leadership 1 1 1 1 1 1 1
Talent management 5 5 5 4 7 4
Behavior and culture 2 4 2 7 2 5 7
HR and people strategy 4 2 4 3 3 3 9
Employee engagement 3 3 7 9 8 2 2
Note: Urgency is determined by calculating the dierence between future importance and current capabilities, and then multiplying that dierence by future importance. Rankings are based on a scale where 1 = "very urgent" and
10 = "urgent." A blank space indicates a ranking higher than 10.
Source: Creating People Advantage 2014-2015: How to Set Up Great HR Functions: Connect, Prioritize, Impact (SHRM, 2015)
SHRM Research Overview: Employee EngagementSHRM Research Overview: Employee Engagement
About SHRM
The Society for Human Resource Management (SHRM) is the world’s largest
HR professional society, representing more than 285,000 members in more
than 165 countries. For nearly seven decades, the Society has been the leading
provider of resources serving the needs of HR professionals and advancing the
practice of human resource management. SHRM has more than 575 aliated
chapters within the United States and subsidiary oces in China, India and
United Arab Emirates. SHRM is an active member of the North American Human
Resource Management Association and the current secretariat for the World
Federation of People Management Associations. Visit us at shrm.org.
About SHRM Research
SHRM Research, as part of the Knowledge Development division supporting
SHRM and its members, produces high-quality, leading-edge research on human
resource management issues and trends, the economy and the workplace for
the purpose of advancing the HR profession. SHRM Research acts as an advisor
to SHRM and generates and publishes research used by human resource
professionals and other business leaders to develop their knowledge and to
provide strategic direction to their organizations.
This report is published by the Society for Human Resource Management
(SHRM). All content is for informational purposes only and is not to be construed
as a guaranteed outcome. The Society for Human Resource Management cannot
accept responsibility for any errors or omissions or any liability resulting from the
use or misuse of any such information. The views expressed in the “What the
Experts Are Saying” sections do not necessarily represent the views of SHRM.
© 2016 Society for Human Resource Management. All rights reserved.
2016 | CPR-51
Endnotes
1
Society for Human Resource Management. (2016, April). Employee
job satisfaction and engagement: Revitalizing a changing workforce.
Retrieved from https://www.shrm.org/research/surveyndings/
articles/pages/job-satisfaction-and-engagement-report-revitalizing-
changing-workforce.aspx
2
Ibid.
3
Ibid.
4
Society for Human Resource Management. (2015, June). SHRM/Glo-
boforce employee recognition programs – 2015. Retrieved from https://
www.shrm.org/research/surveyndings/articles/pages/shrm-globo-
force-employee-recognition-2015.aspx
5
Society for Human Resource Management. (2015, December). Busi-
ness and human capital challenges today and in the future. Retrieved
from https://www.shrm.org/research/surveyndings/pages/2015-
human-capital-business-challenges.aspx
6
World Federation of People Management Associations and Boston
Consulting Group, in collaboration with SHRM. (2015, January). Cre-
ating people advantage 2014-2015: How to set up great HR functions:
Connect, prioritize, impact. Retrieved from https://www.shrm.org/
research/surveyndings/pages/creating-people-advantage.asp
Ellen Galinsky
President and Co-founder, Families and Work Institute
Organizations aren’t going to provide flexibility only because
employees need and want it. For it to become a legitimate part
of the business realm, it has to help the organization, not just
the employees. And whatever variables we use—access to
workflex or the absence of work-life conflict—employees are
more likely to be engaged and satisfied with their jobs, want to
remain with their employer and experience better health.
We have found the most important factors are work-life fit,
opportunities for learning, autonomy, supervisor support for
work success, a culture of trust, and satisfaction with earnings,
benefits and opportunities for advancement. Together these
constitute an eective workplace, and we have found that
employees in more eective workplaces are more engaged,
more satisfied with their jobs and less likely to plan on leaving.
To read the full Perspectives article from which this excerpt is taken, visit shrm.org.
WHAT THE EXPERTS ARE SAYING