Financial Crisis Has Stunning Results On Employee Engagement

"Say, Stay and Strive" Workers

Engaged employees "say, stay and strive", according to Aon Hewitt's model of employee engagement. Do your employees say positive things about your company? Do they intensely desire to stay in your company, and do they consistently strive to contribute their efforts for the success of your company? These are the basic drives of employee engagement, giving employees the motivation and inspiration to engage in favorable behaviors in the workplace.

What about employee engagement and the global financial crisis? How does the GFC implicate the level of engagement of workers? People have to tighten their belts during the economic downturn, and in the workplace, workers have to bear with benefit cuts, pay freezes and redundancies. The effects of the GFC vary according to region, nonetheless. The big question actually is, how does the GFC implicate the attitude of employees? Did employee engagement decline because of the economic crisis?

Key Findings About GFC and Employee Engagement

A study conducted by Aon Hewitt garnered interesting findings, stating that at the beginning of 2008 until 2012, employees remained to be engaged. Results therefore indicated that the effects of the financial crisis are diminishing. Then again, more work needs to be done for recovery.

Key findings of the Aon Hewitt study suggests that:

• Globally, engagement levels are seen to be stabilizing, with shifts occurring across regions. The trend is stabilizing, with its current figure at 58%. The largest improvement was observed in the Asia Pacific, with 42%of its employees categorized as either partially or fully engaged.
• The top drivers of engagement (in 2011 and 2012) were determined, namely company reputation and recognition and career opportunities in the organization.
• Career development and advancement remain to be limited, that's why retention is expected to be a challenge in 2012 across the board.

Economic constraints brought about by the recession did not change the attitude of employees towards their employers. In fact, workers have to do their jobs better and stay loyal to their organization because of fewer employment opportunities (which is more prevalent in the Asia Pacific region).

What Drives Employees To Strive?

On the other hand, economic growth in Brazil, China, India and sub- Sahara Africa caused challenges in maintaining engagement levels, as well as attracting and retaining top talents and employees. These regions of fast growth are caught in a "war of talent" wherein employee loyalty is also on the decline. India and China were particularly reported a lower 60% employee loyalty rate.

Among the top drivers of workers' engagement, the "employee- centric" approach is seen to be the best option for an engagement strategy.