The latest findings from HR.com's Research Institute present a nuanced view of employee engagement trends in 2025, indicating a modest improvement but also persistent challenges. Engagement levels have risen to 30%, up from 23% in 2022, yet a significant portion of the workforce remains disengaged, with over 40% of HR professionals noting poor engagement among average employees.
The State of Employee Productivity and Engagement 2025 report underscores the critical need for organizations to adopt more than just superficial engagement strategies. The real drivers of engagement—organizational culture, effective leadership, and the strategic use of technology—require substantial investment. Notably, companies that measure engagement more frequently than quarterly are five times more likely to see success in this area, though only 15% of organizations adhere to this practice.
Despite recognizing organizational culture as the top driver of engagement, many companies fall short in their efforts to cultivate it. The report reveals that only 45% continuously work on improving culture, 41% actively listen to employee feedback, 27% invest in engagement-enhancing programs, and a mere 14% train managers on engagement strategies. In contrast, organizations where leaders prioritize engagement report significantly better outcomes, with over 70% of managers in these companies providing regular feedback, building trust, and acting on employee input.
The role of artificial intelligence (AI) in enhancing engagement and productivity is also emerging, with 36% of organizations currently leveraging AI for productivity-related tasks. AI's potential to reduce administrative burdens and facilitate meaningful employee interactions is increasingly recognized.
Debbie McGrath, Chief Instigator at HR.com, emphasizes that engagement is not a one-time metric but an ongoing strategy requiring investment in leadership, culture, and innovative tools. The findings highlight the importance of sustained efforts to improve engagement, pointing to the need for organizations to move beyond temporary fixes and commit to long-term strategies that address the root causes of disengagement.
