Gallup 2024 State of the Global Workplace: Transforming Work for a Better Tomorrow
Gallup estimates that low employee engagement costs the global economy US$ 8.9 trillion, or 9% of global GDP. In a world reshaped by the pandemic, the 2024 Gallup State of the Global Workplace report delivers a stark and urgent message about the future of work. The insights are clear: it's time for businesses to act decisively to create more engaging, supportive, and productive workplaces. Employee engagement reflects the involvement and enthusiasm of employees in their work and workplace. Gallup has found that engaged business teams drive positive outcomes within organizations. In the latest world report, the workforce is:
23% Engaged
62% Not Engaged
15% Actively Disengaged
The Gallup 2024 State of the Global Workplace report comes in this year as a wake-up call regarding the state of the workforce. Businesses will need to put a stronger focus on glaring issues of engagement, well-being, leadership, and inclusion. In this perspective piece mixed which I have combined research and observation, I have captured some key highlights and recommendations for making these changes, organizations can create workplaces that are not only successful but also inspiring, connected, and joyful. The future of work depends on our actions today, to create a sustainable workforce for tomorrow. Adapt, innovate, and lead the way to a better tomorrow, and if you need help, please do not hesitate to engage the community and workforce development and management firm, A Rose Grows - who can and will help you achieve measurable change and overall success!
Summary of Key Insights
Skyrocketing Stress
Employee well-being is in crisis. A staggering 44% of workers experience high daily stress, and 19% describe their lives as "suffering." This isn't just a health issue; it's a business imperative. Companies must prioritize mental health and create environments where employees can thrive. There is also a growing sense of loneliness.
Thirty-four percent of employees were thriving in their lives in 2023. This marked a one-point decline from 2022, following five consecutive years of improvement on this measure. This decline was felt most by younger workers. Wellbeing among workers under 35 fell from 35% to 31%, while wellbeing increased for those over 35, from 35% to 36%.
Countries where it is a good time to find a job have lower active disengagement — employees have the freedom to get out of miserable work situations.
Considering the state of the US economy and workforce, the lack of freedom to change potentially damaging or toxic environments is creating a lot of captives when viewing the engagement landscape. There is a huge impact on the US-based talent and others who engage US talent heavily.
Engagement Crisis
Global engagement levels are low, with only 20% of employees feeling engaged at work. This is a glaring signal that current efforts to boost engagement are failing. Organizations must overhaul their strategies to connect with their workforce genuinely.
52% of employees say they are watching for or actively seeking a new job. More than half the world's employees were watching for or actively seeking a new job in 2023. This is particularly relevant for employers who want to attract and retain good workers, since 54% of employees also think it's a good time to find a job where they live.
22% of the world’s employees experience daily loneliness. Loneliness is highest for fully remote workers. Loneliness was higher among fully remote employees (25%) and lowest among those working fully on-site (16%). Hybrid workers fell in between (21%).
Employee engagement is a significant factor in overall life experiences, and not just measurement of work conditions or experiences. When you enter the workplace, you don’t stop being a human and that said, your overall life experiences, have an impact and play a part in engagement too.
Remote and Hybrid Work is Here to Stay
The shift to remote and hybrid work is permanent. Sixty percent of employees now prefer these arrangements. This demands new approaches to team cohesion, communication, and productivity. Adapt or fall behind. While moderation and balance definitely play a part in how you establish a connected hybrid environment. Its critical to be aware of engaging both remote and in-person workers, to be sure each is aware they have a path, how they will be measured, how the team should engage, amongst other critical structural factors to establishing the conditions that allow your workforce to thrive in a hybrid environment.
Globally, one in five employees report experiencing loneliness a lot of the previous day . This percentage is higher for employees under 35 and lower for those over age 35. Fully remote employees report significantly higher levels of loneliness (25%) than those who work fully on-site (16%).
Social isolation and chronic loneliness have devastating effects on physical and mental health. Harvard Professor and Gallup Senior Scientist Lisa Berkman and her colleagues studied the relationship between social and community ties and mortality rates over a nine-year span. The risk of mortality among people who lacked community and social ties was two times greater than that of people who had many social contacts. (Ref 1) These differences were independent of physical health, socioeconomic status and health practices.
Work itself decreases loneliness . In general, working adults are less lonely (20%) than those who are unemployed (32%), and this remains true across age groups. Work interactions do not necessarily need to be in person to provide a benefit. A Gallup study found that all forms of social time (phone, video, texting, etc.) are associated with a better mood. (Ref 2) That said, technological interactions such as messaging have thresholds — moods drop after moderate amounts. This finding aligns with the findings of the State of the Global Workplace that working on-site is associated with lower reported loneliness.
The Role of the Manager and Leader in Worker Wellbeing and Organizational Performance
The hard job of managing people has gotten even harder in recent years. New challenges and circumstances have risen, with the state of diversity programming looming, uncertain of jobs and conditions that may not be aligned with employee values, and the constant need to perform, managers are facing a wide array of challenges and dissonance with their own personal beliefs and values.
“You manage things; you lead people.” —Admiral Grace Murray Hopper.
Effective leadership is critical. Yet only 3 in 10 employees feel their opinions count at work. This gap is unacceptable. Leaders must be trained to listen, inspire, and engage their teams meaningfully.
Managers account for 70% of the variance in team employee engagement.
Education around labor laws and the gray areas is also critical to be sure leaders are aware of the basic human needs and laws. It is not left for HR to figure this out. With education and understanding your managers and leaders can decrease fear around the manager's legal obligations, increase knowledge of when practice vs policy must be applied, and open up the dialogue for more healthy working relationships. Leadership must be aware and educated to help understand and address inadequacies with the laws. If the laws provide a minimum offering or framework that does not align to the company culture, Leadership should then be empowered to help create the practice or processes that is align with the company culture and values that are integral to the success of the business and their workforce.
Countries with strong labor laws aimed at fair wages, safe work, family responsibilities, and maternity report the lowest stress.
For a transformative and sustainable experience, Leadership must become adequately aware and then empowered to address inadequacies with the laws, that don't fit your culture by way of creating the practice or process that is aligned with your culture and values, for your workforce.
Walk the Talk: Diversity and Inclusion: Actions Speak Louder Than Words
Forty-five percent of employees believe in their company's commitment to diversity, but many need to see inclusion in action. This calls for more than just policies—it requires real, actionable change to foster a genuinely inclusive culture.
When organizations increase the number of engaged employees, they improve a host of organizational outcomes, including profit, retention rates, and customer service.
Regional Insights: Engagement levels across the world
Independent of labor laws, employee engagement is associated with hope for the future. That said, does the workforce feel hopeful? Let’s dive into this by region.
North America
Engagement in North America is higher at 34%, but stress levels are also high, with 50% of workers feeling significant daily stress. This duality indicates that while some engagement strategies are working, the overall work environment fails to adequately support employee well-being.
Europe
Europe shows dismal engagement levels at 14%, hampered by complex regulations and cultural differences. However, a focus on flexible work arrangements and work-life balance could turn the tide.
Asia-Pacific
Engagement in Asia-Pacific stands at 15%, reflecting economic and labor market disparities. However, there's a growing emphasis on technology and innovation to enhance workplace experiences and drive productivity.
Latin America
Latin America's engagement rate is 21%, with socio-economic challenges impacting workplace stability. Nevertheless, strong community bonds and cultural factors offer unique opportunities for improving employee satisfaction.
A Way Forward: Forging a path to build a workforce where we can all leverage what we need, to be at our best
Invest in Well-Being
Employee well-being must be a top priority. Invest in mental health resources, promote work-life balance, and create a supportive culture. This will reduce stress and improve overall satisfaction.
Develop Transformative Leaders
Organizations need leaders who are empathetic, communicative, and supportive. Effective leadership is the bridge between employee expectations and organizational goals. Invest in leadership development to drive engagement and performance.
Embrace Innovation and Flexibility
Foster a culture of innovation and flexibility. Use technology to enhance productivity and creativity. Offer flexible work arrangements to attract and retain top talent.
Commit to Genuine Inclusion
Move beyond lip service in diversity and inclusion. Implement unbiased recruitment processes, provide continuous D&I education, and ensure every voice is heard and valued. Genuine inclusion drives engagement and success.
Embarking on a transformative journey?
To engage A Rose Grows, please email neisha@rosesgrow.com or visit www.rosesgrow.com
To read more and delve into the research from the 2024 Gallup State of the Global Workplace, please visit https://www.gallup.com/workplace/349484/state-of-the-global-workplace.aspx Please note that the research belongs to Gallup, and is summarized and shared as a perspective piece by A Rose Grows.
REFERENCES
Gallup (2024, June 12). State of the Global Workplace. Retrieved June 12, 2024, from https://www.gallup.com/workplace/349484/state-of-the-global-workplace.aspx
1 Berkman, L. F., & Syme, S. L. (1979). Social networks, host resistance, and mortality: A nine-year follow-up study of Alameda County residents.American Journal of Epidemiology, 109(2), 186-204.
2 Clifton, J., & Harter, J. (2021). Wellbeing at work: How to build resilient and thriving teams. Gallup Press.