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The impact of employee engagement on company culture and performance

Employee engagement has become a buzzword in today’s business world, but it’s essential to the success of any organisation. From improved customer relations to a decrease in staff turnover, and increased productivity to easier recruitment, it’s an invaluable asset for organisations looking to compete in a marketplace that’s always evolving.

In this article, we outline six ways employee engagement can positively impact company culture and performance.

Improved productivity and performance

Employees who are actively engaged in their work and motivated by meaningful tasks tend to be more productive and perform better. And studies have shown that engaged employees willingly go the extra mile in their duties, putting in discretionary effort to contribute beyond what’s expected of them. This commitment leads to increased innovation, higher-quality outcomes, and ultimately benefits the overall success of the organisation.

Lower absenteeism

When employees are engaged, they feel happier within their role, connected to their organisation, and have a better sense of wellbeing. This makes them more committed and motivated, which means they’re less likely to miss work without a good reason, and instead show up and actively contribute towards the organisation’s success. This boosts productivity and creates a positive and enjoyable work atmosphere for everyone.

Lower presenteeism

In addition to absenteeism, another challenge in the workplace is presenteeism. This is where employees show up but struggle to perform at their best due to stress or fatigue. However, highly engaged workers are less likely to experience this presenteeism. Instead, they prioritise their wellbeing by taking regular breaks rather than pushing themselves to the point of exhaustion just to appear productive. They recharge and return to work with renewed energy, resulting in a higher performance. This ability to manage their own wellbeing eliminates presenteeism and ensures they can consistently deliver their best work.

Lower staff turnover

Employees who are engaged at work often stay longer with their employer, over time becoming more loyal to the organisation and reducing the likelihood of leaving. This is because, when employees are engaged, they feel connected to their workplace, are more motivated, and are more satisfied with their work. And it’s this positive culture that creates a supportive and inclusive environment where employees thrive, which also leads to higher performance, improved productivity, and increased innovation. Ultimately, this reduces staff turnover and allows organisations to reap the benefits of a highly engaged, more consistent workforce.

Improved customer service

Engaged employees have a genuine passion for their work and a strong sense of commitment to the organisation’s goals. This translates into a positive attitude and a genuine desire to provide exceptional service to customers – they go above and beyond, listen to customer needs, and find solutions to help them. The overall result is a customer-centric culture where employees are motivated to deliver exceptional service.

Easier recruitment

When employees are engaged, they speak positively about their workplace and become brand ambassadors, attracting talented candidates. Engaged employees promote a positive work culture of collaboration and innovation, which appeals to job hunters seeking a fulfilling environment. Organisations with high employee engagement also tend to have better performance metrics, creating a positive reputation and making them more attractive to potential candidates.


In summary, employee engagement has a significant impact on company culture and performance. Engaged employees are more motivated, loyal and committed, leading to higher levels of productivity and customer satisfaction. They also contribute to a positive work environment and attract talented individuals to the organisation. Prioritising employee engagement is a win-win situation for employees and the company, fostering a thriving and successful workplace.

Start your employee engagement journey with WorkBuzz and start making more informed, data-driven people decisions to help propel your business forward. Book a demo of our employee engagement platform by completing the below form.

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