Engagement Levels Among U.S. and Canadian Employees Decline, Now Equal to Latin America

Employee Engagement in North America Hits Concerning Lows



As highlighted in Gallup's latest State of the Global Workplace report, employee engagement in the U.S. and Canada has witnessed a decline, dropping from 23% in 2023 to 21% in 2024. This marks only the second time in 12 years that global engagement has decreased. Notably, the region that once boasted the highest engagement rates is now on par with Latin America, both at 31% — a startling realization for an area historically leading the way in employee workplace engagement.

The Decline and Its Causes



The primary driver behind this reduction is the drop in manager engagement, which is a critical factor in overall team dynamics and productivity. Engagement levels among individual contributors have remained relatively stable at 18%, but managers' engagement fell significantly from 30% to 27%. Two specific demographics have been notably impacted:
  • - Young managers (under the age of 35) saw a drop of five percentage points.
  • - Female managers' engagement fell by a concerning seven points.

Jim Harter, Gallup's chief workplace scientist, emphasizes that manager engagement is pivotal; its decline can lead to diminished team engagement, posing risks to business performance and overall economic growth. He warns that if organizational leaders neglect this issue, they could jeopardize the productivity levels of the workforce.

Recommendations for Leaders



To counteract these trends, Gallup provides several strategic recommendations for organizations seeking to boost engagement among their managers:
1. Comprehensive Training Programs: Ensure that all managers receive standardized training, which has been proven to cut extreme disengagement levels in half. Despite the decline in management development globally, those who undergo training report improved engagement.
2. Effective Coaching Techniques: Training individuals in management best practices has demonstrated up to an 18% rise in engagement within teams led by trained managers. Areas focusing on management skills need more attention to facilitate better team dynamics.
3. Ongoing Development Opportunities: Providing continuous development and mentorship for managers can significantly enhance their well-being and thriving within the workplace, seeing increases from 28% to 34%. This statistic rises even further to 50% if managers also have an advocate within the organization.

Regional Engagement Trends



In the broader context, engagement levels in the U.S. stand at 32%, the lowest in nearly a decade, while Canada records 21%, aligning with its recent averages over the past three years. The gap between engagement rates in the U.S. and Canada has diminished significantly — now just an 11-point difference, the smallest recorded in a decade.

Interestingly, while over half of the global workforce (51%) believes it is a favorable time to find a job, this is the lowest perception since 2021. In the U.S. and Canada, the sentiment remains slightly higher at 57%, reflecting a more optimistic job market perception compared to global averages.

Employee Well-being



Perhaps most alarming, only 52% of employees in the U.S. and Canada report thriving in their daily lives — a record low yet still above the global average of just 33%. Furthermore, reports of high stress levels remain persistent compared to pre-pandemic figures. Although instances of daily anger have stabilized, sadness levels remain elevated, with more than 20% of employees citing experiences of loneliness.

Conclusion



The declining levels of engagement among U.S. and Canadian employees signal a critical challenge that organizations must address effectively. Such trends demand immediate attention from leadership to implement better management practices, training, and support systems. By focusing on restoring manager engagement and investing in employee well-being, organizations can work towards recovering lost performance and enhancing overall workplace satisfaction, ultimately leading to improved productivity.

Topics People & Culture)

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