- Employee engagement has stagnated. According to Gallup’s latest survey, only 33% of U.S. employees reported being engaged with their company’s mission in 2023.
- Unclear expectations negatively affect engagement. Lack of role clarity is a top contributor to lower levels of employee engagement, which cost U.S. companies $1.9 trillion in lost productivity last year.
- Providing regular, meaningful feedback can improve engagement. Offering feedback that is timely, specific and balanced, and that is delivered in a constructive, growth-focused manner, can lead to a more positive work environment.
Employee engagement stagnated in 2023, according to Gallup’s latest workforce survey. One way companies can boost engagement moving into the new year is by encouraging managers to provide employees with better and more frequent feedback.
About 33% of U.S. employees reported being engaged with their company’s mission at the end of 2023, a number that continues to lag Gallup’s record high of 36% for 2020. Those three percentage points represent 4.8 million full- and part-time employees.
The Gallup survey pointed to a decline in clarity surrounding role expectations as a top contributor to the lower levels of employee engagement. Among remote and hybrid workers in particular, the number of employees reporting that they know what is expected from them at work has dropped by 12 and 13 percentage points, respectively, since 2020. In addition, only 45% of workers under the age of 35 reported that they clearly know what is expected from them by their employer.
Tied closely to this drop in clear expectations was a decline in employees’ perceptions that they had received meaningful feedback within the past week, according to Gallup.
What’s Behind the Drop
Several factors have contributed to the decrease in role clarity and consistent performance feedback, according to Michelle Corman, senior principal of the Employee Research Group at Mercer. These factors include the rise of remote work and a general hunger on the part of employees for more information.
“The rise of remote work arrangements reduces face-to-face interactions, posing challenges for managers in building relationships and providing meaningful feedback,” she said. “Managing remote or hybrid teams requires new skills and approaches, which may not have been adequately developed or supported by companies.”
Limited in-person visual cues and fewer spontaneous discussions also hinder the sharing of meaningful feedback, Corman added.
“Additionally, workers are seeking more clarity in general, driven by factors such as pay transparency laws,” she said. “Access to information about pay anchored to job roles has led employees to seek a better understanding of their roles and related areas.”
Connecting Feedback to Employee Engagement
When employees understand what is expected of them, they are typically more productive, more likely to stay with the company, more attuned to safety, more engaged with customers and more fulfilled, Gallup reported. By contrast, unengaged or actively disengaged employees cost U.S. companies about $1.9 trillion in lost productivity last year.
“A lack of clear and regular feedback can leave employees feeling uncertain and overwhelmed — and can sap their motivation to do and deliver more,” said Mark Royal, senior client partner and engagement specialist at Korn Ferry.
Through consistent feedback, managers can not only guide employee development and improvement but also align employee effort with company goals, Royal said.
“Feedback also helps employees focus effort and attention in the right areas, which is especially critical when employees are challenged with doing more, and perhaps with less,” he said. “Alignment on the ‘must-win battles’ for employees can help them navigate to-do lists that are longer than their days.”
Employees’ confidence in their ability to achieve their career goals within a company is consistently a top engagement and retention factor, Royal added. So, managers should be equipped to explain pay, as well as to connect employees with non-financial rewards like training and career development opportunities.
Without candid feedback, “employees are more likely to question the fairness associated with decisions related to promotions and assignments,” he said. “Feedback is key to building a sense of value and equity.”
Make the Most of Your Feedback Touchpoints
Corman said managers who want to provide meaningful feedback to employees should follow these key guidelines:
- Offer feedback that is timely, specific and balanced
- Focus on growth and development
- Acknowledge employee strengths
- Offer constructive suggestions
- Engage in two-way dialogues
- Schedule regular check-ins
“To foster a positive work environment, companies and managers must prioritize creating a feedback-rich culture,” Corman said. “By following these recommendations, managers can create a positive feedback culture that supports employee growth, fosters open communication and drives performance.”
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