Factors of Engagement

Motivation

Employee motivation is a significant strategic issue. When employees feel under appreciated it diminishes their investment in their day-to-day work and reduces their commitment to the values of their organisation. The 2009 NHS NICE Report, conducted by the National Institute for Health and Clinical Excellence found that work related stress or mental health problems effecting productivity within the present workforce, (that's employees who come to work each day) cost £15.1 billion. These issues are known as Presenteeism.

Absenteeism

Absenteeism, (actual absence from everyday work) is one of the most significant drains on company resources. The results of the 2009 CIPD Absence Management Survey show that, on average, sickness absence costs employers £692 per employee, per year. And yet, the same survey shows that only 12% of organisations have incentive schemes in place to help deal with the problem.

Retention

Success is based on keeping your key people. Data from the CIPD Recruitment, Retention and Turnover Survey shows an average employee turnover rate of 15.7%, 3 in every 20 employees. That can be a very costly drain on your resources; the same survey suggests it costs an average of £4,000 to recruit an employee - add in labour and turnover and that rises to £6,125. Certainly when critical members of staff leave you can be sure that other employees will be thinking about it. Practically too, there are far fewer 25-34 year olds available to fill vacancies that will be left by retiring 40-58 year olds, so adopting good retention strategies now will also pay off in the long term.