Employee engagement has declined by 50% in organisations with no D&I initiative

Organisations that haven’t yet started to invest in equality, diversity, inclusion and belonging (EDIB) have reported a 50 per cent decline in employee engagement over the past 12 months, according to our latest research. Organisations that are progressing EDIB initiatives have higher employee engagement levels, and the further along the EDIB journey an organisation is, the more likely they are to say that employee engagement has increased. These are the findings from employee engagement expert WorkBuzz’s ‘The State of Employee Engagement’ report, which delivers insights from over 300 organisational leaders, HR professionals, and industry experts.

Steven Frost, Founder and CEO of WorkBuzz, says, “This research suggests that inclusive cultures create more positive employee experiences which directly impact engagement levels. Organisations that aren’t making efforts to nurture an environment of belonging for all, are damaging employee relations which in turn impacts organisational culture, wellbeing, and staff turnover.”

The Report highlights that those organisations, which haven’t yet made any progress with EDIB, have seen a considerable 50 per cent decrease in employee engagement over the past 12 months, with only 20 per cent of the organisations reporting that they had seen an increase. Of those companies still at the ‘learning’ stage of their EDIB journey, 32 per cent have seen an increase in engagement compared with 45 per cent who have seen a decline.  Of the businesses that are ‘planning’ their initiative, 40 per cent saw an increase to engagement levels, with 31 per cent reporting a decrease.

The highest levels of engagement were reported by companies further along the EDIB journey. 45 per cent of organisations who were ‘acting’ on their EDIB plan reported increased employee engagement, compared with 27 per cent who had seen it decrease.  It’s the organisations that are realising their plan, and so are seeing improvements against their strategy, gathering feedback, and seeing a cultural shift, that have witnessed the lowest drop in engagement levels these past 12 months – 19 per cent reported a decrease, whereas 43 per cent said engagement had increased.

“The correlation between EDIB initiatives and employee engagement is striking” says Frost. “And given that HR professionals see the creation of a diverse and inclusive workplace as one of their top priorities right now, it’s worrying that so many organisations are still yet to begin their EDIB journey.”

To read the full ‘The State of Employee Engagement’ report, download it here.