Good morning!
Despite entering the corporate lexicon nearly two years ago, the trend of “quiet quitting,” or choosing not to go above and beyond at work, is still in full swing.
Around 62% of employees globally are not engaged at work, meaning they are doing the minimum required, and detached from their job, according to Gallup’s 2024 State of the Global Workplace report released today. Findings were based on survey data from more than 128,278 individuals based in more than 160 countries.
Even worse, another 15% of the global workforce is actively disengaged at work, or actively opposed to their employer’s goals. These two groups of employees together are costing the global economy a whopping $8.9 trillion, or 9% of the global GDP, annually.
“People don't want to come to work and just be lethargic and not inspired. But when they don't get their needs met, that can happen,” Jim Harter, Gallup’s chief scientist of workplace management and wellbeing, tells Fortune. “When they feel that the organization doesn't care as much about them, they're going to give less of an effort.”
Engaged employees benefit their workplace in all kinds of ways. Employers in the top quartile for employee engagement were 78% less likely to experience absenteeism than employers in the bottom quartile. Companies with highly engaged employees also saw 21% lower turnover in high-turnover industries like retail, and 51% less turnover in low-turnover organizations. They also saw a 23% increase in profitability, 68% increase in employee well-being, and 22% increase in participation in the organization.
According to Gallup’s research, workplaces can improve employee engagement by focusing on a few key factors. First is the development and selection of managers who know how to serve as coaches to their employees rather than just bosses. The best companies have also developed a system to choose managers by looking for leaders who are natural motivators, can identify and cultivate worker’s strengths, inspire individuals to take on difficult or unfamiliar work, and encourage colleagues to collaborate with one another. And business leaders should ensure that high employee engagement is built into the company culture.
“A lot of that's something you can influence and change, if you put the right practices in place,” Harter says.
Paige McGlauflin
paige.mcglauflin@fortune.com
@paidion
Today's edition was curated by Emma Burleigh.
