Here’s Why Employee Engagement Matters

“Studies consistently show that a disturbingly high number of non-management employees are disengaged, not working at full productive capacity.”


Source: Forbes

Source: Dale Carnegie Training

Why does employee engagement matter? According to a study conducted by Dale Carnegie and MSW, Eleven Billion dollars is lost each year due to employee turnover.

But there’s good news too: Companies with engaged employees (those with an emotional and functional commitment to his or her organization) outperform companies with disengaged employees by 202%.

The study of over 1500 employees set out to determine what creates engaged employees and what key attributes these employees exhibit.

Firstly, it’s important to note that, “employees don’t leave companies, they leave people.”

Based on that revealing statement, Dale Carnegie Training discovered 3 pivotal elements of employee engagement:


  1. Relationship with Direct Manager – 80% of employees who are dissatisfied with their direct manager are NOT engaged
  2. Belief in Senior Leadership – 70% of employees who doubt the abilities of senior leadership are disengaged
  3. Pride in Working for the Company – 54% of employees who are proud of their company’s products/services (contributions) are engaged

Dale Carnegie’s research revealed that engaged employees possess the following 4 traits:

  • Enthusiasm – they love their work
  • Empowerment – when allowed to do work their way
  • Inspiration – resulting from good leadership
  • Confidence – a feeling that they can achieve excellence in the workplace

Want to know how to keep your employees engaged? Dale Carnegie Training offers these 5 key tips:


Source: Dale Carnegie Training



Employees yearn to be a part of a team they can believe in and commit to. Buiding strong managerial / employee relations and maintaining practices that recognize and encourage your employees’ contributions to your company are key drivers of productivity.

To help you balance results with employee needs, reduce employee turnover, and outperform the competition, implement the employee engagement tips suggested here by Dale Carnegie Training (a company that has been helping businesses increase employee engagement for over 100 years).

We’re not saying it won’t take some time and effort, but investing in employee engagement will significantly change the way you do business in the long run.

Sherene Funk is the author of the contemporary romance Autumn in Your Arms and two small business e-books. She is a voracious reader who owns more books than she can ever read in this lifetime. A graduate of Brigham Young University, she worked in advertising for many years before moving to her current writing position at Rain Retail Software. She researches non-stop to see what successful retailers do and loves to share what she learns with small business owners.

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