Employee Engagement
Human PERK was born to help organizations improve their employee engagement and as a direct result their bottom-line. Organizational success depends heavily on talent, and more importantly on engaged talent.
According to Gallup, disengaged employees have 37% higher absenteeism, 18% lower productivity and 15% lower profitability.
Gallup describes an actively disengaged worker as someone who is “unhappy and unproductive at work and liable to spread negativity to coworkers.” In other words, they are people who don’t like their job and aren’t afraid to let others know about it.
Gallup, through extensive research, found that, on average, 17.2 percent of an organization’s workforce is actively disengaged.
Gallup also found that an actively disengaged employee costs their organization $3,400 for every $10,000 of salary, or 34 percent. That means an actively disengaged employee who makes $60,000 a year costs their company $20,400 a year!
Using those two metrics, we can predict the amount of money actively disengaged employees cost their company. First, you can predict how many employees are disengaged at your workforce – 17.2 percent. So, if you have 2500 employees, that’s 430 people (2500 x .172).
Now you can figure out the cost of those disengaged employees. So, say your workforce’s median salary is $60,000 a year. That means each disengaged employee costs you $20,400 on average, or 34 percent of their salary ($60,000 x .34).
That means those disengaged employees – 430 x $20,400 – cost your company $8.7 million a year. That’s a lot of money!
Through the scientific research at Stanford University, our practical experience and industry-specific expertise we’ve cracked the Employee Engagement Code that revolves around PURPOSE, ENGAGEMENT, RESILIENCE, AND KINDNESS (P.E.R.K). We help our clients build an actionable talent strategy, recruit the right talent, retaining and developing them by keeping them P.E.R.Ked up!