You’re probably already aware that motivated and engaged employees are crucial to your company's operations. But do you know just how much of a difference employee motivation can make? In this blog, we bring you 10 statistics that demonstrate the power and potential of having a motivated team. Read on to discover what they are.
What exactly is employee motivation and employee engagement?
Employee motivation is the level of enthusiasm and commitment your employee brings to the company. The level of employee motivation directly affects employee engagement. There are a lot of different definitions for employee engagement, but, at its core, employee engagement describes the level of emotional commitment and enthusiasm your employee has for their job. To see how this makes a day-to-day difference, now it's time to let the numbers do the talking.
The importance of employee motivation and engagement in the workplace
1. Work gets 20% better when employees are motivated
As we have already hinted, motivated employees are more productive and are always looking for ways to positively impact their company. Along with being more efficient with their own tasks, they also have the motivation to be better colleagues. This is often demonstrated through offering help and mentoring colleagues and assisting with tasks. These statements are backed up by a Gallup study that says employees work 20% better when motivated.
2. Profitability increases by 21% when teams are highly engaged
Greater customer and colleague relationships and reduced employee turnovers are the results of highly motivated teams. Teams are also more motivated when there is more to their relationships than just professionalism, these also make them 59% less likely to burn out. When all put together company can expect business growth and an increase in business profitability by 21%.
3. Motivated and engaged employees are 41% more likely to show up to work
According to a Gallup study, when employee motivation and engagement are at high levels in the workplace there is a 41% reduction in absenteeism and a 17% rise in productivity. It goes without saying, but minimizing absenteeism produces other benefits, such as fewer project delays, improved employee engagement and more.
4. Motivated employees are 87% less likely to quit
Employees who enjoy their current workplace and work atmosphere are 87% less likely to leave it. This shows how ensuring that employees are motivated and engaged positively affects employee turnover rates. In an economic climate of quiet quitting and increasing employee turnover, ensuring your employees stay put is more important than ever.
5. Employees are 4.6 times more likely to perform better if they feel heard
Knowing you can express yourself freely and that you are going to be heard is a real plus for many employees. It’s only natural that people will perform better when they know that someone is listening to them and they feel valued. If you are struggling with this, turn your monologs into dialogs, the key is that you are constantly talking with your employees.
The current state of employee motivation
While we have demonstrated the huge benefits of a motivated workforce, the reality is far from this. Here are 5 statistics that highlight the current state of motivation levels in the global workforce.
6. Globally, only 15% of employees feel motivated
The motivation rate of employees really varies by country, but whichever way you look at it, the picture isn’t rosy. A Gallup study found that in Europe only 10% of employees feel motivated, and this percentage drops to 8% for the UK. While this rate is higher in the US at 33%, it is still far from desirable. All of these numbers point to a global motivation crisis in the workplace.
7. Less than half of employees are aware of their company's goals and strategy
The same study revealed that only 40% of employees are aware of the company’s goals, strategies, and tactics. Being uncertain of the overall goals - whether it’s within the team, department or company, can result in employees feeling there is a lack of personal growth in their position.
8. Boredom at work is one of the main reasons why employees are quitting
We’ve already explained how motivated employees are more likely to stay in the company but just why are employees quitting in such high numbers? Boredom is the answer. The Gartner study found that 33% of employees churn because of boredom. Being bored at work is a serious problem that is the result of both not feeling challenged and feeling that your work is irrelevant - both of these directly impact motivation levels.
9. Employees are increasingly feeling under-appreciated
With 39% of employees feeling under-appreciated, this will naturally negatively affect employees' motivation and performance since they will feel like their work is not making a difference. This can also be further proven by the study that also found that 77% of employees believe would perform better if their efforts were recognized.
10. Unmotivated employees cause up to a $550 billion loss each year (in the US alone!)
A big number! But such is the extent of lack of productivity amongst unmotivated employees that U.S companies estimate between $450 - $550 billion dollars is lost due to lack of productivity each year.
So there you have it. We’ve presented 10 statistics that highlight the state of employee motivation in 2023. And you know what’s great at motivating your team? Plecto. We have tons of gamification features that are built to supercharge the motivation of your team. Whether it’s holding fun contests, celebrating employee achievement with notifications, or scoring redeeming prizes in the Reward Store, we have everything to keep your team engaged
Of course, we’re going to be biased, so why not try it for yourself with a free 14-day trial?