The Effects of a Disengaged Workforce

Posted by David Grossman on Mon, Jun 13, 2016

Not sure if it’s worth it to communicate key pieces of information to people in your company? Consider the following liabilities that stem from a disengaged workforce:¹


More absenteeism.

In a 10,000-person company, absenteeism due to disengagement results in about 5,000 lost days per year, which is valued at $600,000 in salary paid in which there was no work performed.

 tweet-button-2015.pngA 10,000-pp company, absenteeism due to disengagement = ~5000 lost days/yr = ~$600K in salary paid with no work performed.

More turnover.

Business units comprised of mostly disengaged employees have 31 percent more turnover than those made up of mostly engaged employees.

More theft.

Work groups with high numbers of disengaged employees lose 51 percent more of their inventory.

More injuries.

Work groups with engagement scores in the bottom quartile average 62 percent more accidents in the workplace.

Lower customer scores.

Work groups with higher levels of engagement lead to 12 percent higher customer scores than those on the lower end.

Lower productivity and profitability.

Work groups in the top quartile of engagement are three time more likely to succeed, average 18 percent higher productivity, and 12 percent higher profitability.

Do you communicate all key pieces of information to your employees? 

-David Grossman

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Data source: James Harter and Rodd Wagner, “12: The Elements of Great Managing” (2007)

Tags: Employee Engagement

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