Would Your Poor Employee Engagement Turn Off Investors?

How effective are efforts in the United Kingdom to make employee engagement a nationwide concern through its Engage for Success initiative?

This article about one person’s experience at a recent Engage for Success event is positive and encouraging, but not earth shattering.

This article in Employee Benefits, however, really does change the game. Now, the UK’s Local Authority Pension Fund Forum (LAPFF) is putting a company’s ability and willingness to create a culture in which employees choose to engage as a primary reason for pension fund trustees and asset managers to invest in the company.

A guide published by LAPFF includes questions to assess how well organizations engage employees, including:

  • What is the ratio of engaged to disengaged employees in your organization?
  • What hard evidence can you share with us that a link exists in your organization between pay and staff performance?
  • How do you ensure the people who work for you share the organization’s values in a way that enables them to connect with each other?

When employee engagement level becomes a factor in why investors should choose your company to invest in, then engagement has risen to executive-level importance across the board.

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Even in this small sample of questions, I’m particularly pleased to see the third one. This indicates a clear understanding that employees living the values in their daily work is critical to employee engagement. More than that, the values become a way to build relationships that further the work.

If your organization were to be evaluated for investment based on employee engagement today, would you be ready?

You can find more from Derek Irvine on his Recognize This! blog.

Derek Irvine is one of the world’s foremost experts on employee recognition and engagement, helping business leaders set a higher vision and ambition for their company culture. As the Vice President of Client Strategy and Consulting at Globoforce, Derek helps clients — including some of world’s most admired companies such as Proctor and Gamble, Intuit, KPMG, and Thomson Reuters — leverage recognition strategies and best practices to better manage company culture, elevate employee engagement, increase retention, and improve the bottom line. He's also a renowned speaker and co-author of Winning with a Culture of Recognition. Contact him at irvine@globoforce.com.


1 Comment on “Would Your Poor Employee Engagement Turn Off Investors?

  1. This was an insightful post. Employee engagement should always rise to the concern of executive-level leadership as employees are a company’s most valuable resource, and leadership helps set the standard for the corporate culture. Understanding how to engage employees around a company’s values and goals, and how to motivate them to achieve these goals is key to a successful company. Through research, we have found that employees are most engaged in their jobs when they are intrinsically motivated. Leaders committed to true and sustained employee engagement must create an environment that promotes the company’s values and allows employees to satisfy their intrinsic motivational needs of autonomy, relatedness and competence. http://www.achieveglobal.com

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