The String that Binds Employee Engagement to Employee Retention  

The String that Binds Employee Engagement to Employee Retention  

One significant outcome of fostering employee engagement is improved employee retention. High employee turnover can harm an organization, causing disruptions, increased recruitment costs, and loss of institutional knowledge. 

This article explores the positive correlation between employee engagement and retention, highlighting how organizations can cultivate a culture of engagement to retain their employees. 

Understanding Employee Engagement 

Employee engagement is not merely about job satisfaction; it encompasses a deeper connection and commitment between employees and their work. When employees are engaged, they become emotionally invested in their organization’s success. They are more likely to go the extra mile, take initiative, and display greater resilience during challenging times. 

The Role of Employee Engagement in Employee Retention 

Employee retention is an organization’s ability to retain its employees over a specified period. High employee retention indicates a thriving work environment, fostering loyalty and a sense of belonging among employees. According to research by Zippia, employees who display the highest levels of engagement have an 87 percent reduced likelihood of leaving their employer voluntarily.¹ 

Engaged employees experience higher job satisfaction. They tend to form stronger connections with their colleagues and leaders, creating a support network that reinforces their commitment to the organization. They view their work as more meaningful, where their personal purpose aligns with the company’s mission and values. 

These factors directly influence an employee’s choice to remain with an organization, leading to reduced turnover rates and associated costs. Zippia’s report shows that disengagement can cost $3,400 for every $10,000 earned annually by an average disengaged employee, mainly because disengaged employees are 18 percent less productive than their engaged counterparts.  

In actual figures, a company comprising 250 employees, with an average salary of $47,000, the annual losses due to disengaged employees amount to a substantial $3,164,040.¹ 

10 Strategies to Improve Employee Engagement and Retention 

The link between employee engagement and retention is undeniably strong. Here are ten effective strategies you can consider to boost employee engagement and improve retention rates: 

1. Cultivate a Positive Company Culture 

A positive work culture refers to the overall atmosphere and environment within the organization, where employees feel supported, valued, and motivated to contribute their best. Encouraging open communication, recognizing achievements, and celebrating successes can significantly impact employee morale and contribute to a positive work environment. 

2. Foster Strong Leadership 

According to Zippia’s report, 58 percent of American employees said their company’s leadership is either not proactive or fails to take action concerning company culture.¹ Whereas effective leadership serves as the backbone of the workforce, guiding and inspiring team members to achieve success. 

In light of this, we should encourage leaders to be approachable to their team members. Lead with empathy and take time to listen to their concerns, support their personal and professional growth, and demonstrate genuine care for their well-being.  

This creates a positive influence, sets the tone for the entire organization, and fosters a dynamic work environment where employees feel encouraged to bring forth their unique perspectives and solutions. 

3. Encourage Employee Development 

According to BlessingWhite’s survey, as reported by SHRM, approximately 29 percent of 3,330 workers identified lack of career advancement as the top factor influencing their decision to change employers.² 

Investing in employee development and providing equal opportunities enhances their skills and demonstrates the organization’s commitment to their growth. Offering training programs, mentoring opportunities, and continuous learning initiatives can lead to higher job satisfaction, encouraging employees to stay long-term. 

4. Provide Competitive Compensation and Benefits 

A well-designed compensation package, including competitive salaries, performance-based incentives, comprehensive benefits, and growth opportunities, signals that the organization values its employees and is invested in their success.  

This approach not only enhances employee engagement but also helps create a positive and motivated workforce that contributes to the organization’s overall growth and prosperity. 

5. Implement Employee Recognition Programs 

Recognition programs may range from simple appreciation emails to award-giving ceremonies. Whether through verbal praise or formal awards, recognition reinforces engagement and motivates employees to perform at their best. 

6. Foster a Healthy Work-Life Balance 

Work-life balance refers to the harmony between an employee’s work-related responsibilities and personal life, allowing them to fulfill their obligations without sacrificing their well-being. When employees experience flexibility in managing their personal and professional lives, they are more likely to feel valued and motivated, leading to higher engagement levels.  

Additionally, this balanced approach helps prevent burnout and turnover, as employees are more likely to stay with an organization that prioritizes their overall happiness and productivity. Here are a few ways to create a healthy balance for employees: 

  • Offer flexible work arrangements, like remote work, flextime, or compressed workweeks. 
  • Encourage employees to take their paid time off and vacations to recharge and spend time with their loved ones. 
  • Encourage employees to set clear boundaries between work and personal time. 
  • Monitor workloads and avoid overburdening employees with excessive work. 
  • Implement family-friendly policies, such as parental leave and childcare support. 
  • Offer wellness programs like fitness classes, mindfulness workshops, or Employee Assistance Programs (EAPs). 

Related Article: Remote Work’s Impact on Diversity and Inclusion in the Workplace 

7. Promote Inclusivity and Diversity 

Promoting inclusivity and diversity in the workplace is not only a moral imperative but also a strategic advantage for organizations. For example, consider how NASA leads by example in diversity and inclusivity.  

An inclusive and diverse workforce fosters innovation while ensuring employees feel welcome and valued. There are several ways to incorporate DEI within the workplace, including: 

  • Implementing diverse hiring practices to attract candidates from various backgrounds. 
  • Making the workplace accessible to employees with disabilities 
  • Encouraging inclusive leadership practices, where leaders actively seek input from all team members and value diverse perspectives. 
  • Ensuring that pay and opportunities are distributed fairly, regardless of gender, race, or other personal characteristics. 
  • Providing diversity and inclusion training for all employees to increase awareness, foster empathy, and address unconscious biases. 

Related article: Inclusive by Design: A Checklist for Essential Workplace Infrastructure for People with Disabilities 

8. Conduct Regular Employee Surveys 

Around 89 percent of HR professionals in Zippia’s report acknowledge the significance of regular employee feedback, check-ins, and on-the-job recognition in fostering positive employee engagement.¹ 

Survey questions can serve as a valuable tool for organizations to gain insights into employee engagement, identify areas for improvement, and address areas of concern. By acting on the feedback received, organizations can create a more positive and inclusive work environment, leading to higher employee satisfaction, productivity, and retention. 

9. Encourage Team Building and Social Activities 

Building camaraderie among employees through team-building exercises and social activities can go a long way in strengthening a sense of belonging. Activities such as workshops, outdoor adventures, trivia games, potlucks, or group volunteering tend to encourage teamwork, communication, and trust among employees. This friendly and collaborative atmosphere fosters good relationships and impacts employee engagement positively. 

10. Implement a Mentorship Program 

Implementing a mentorship program is a powerful tool for supporting employee development, fostering a culture of learning, and nurturing future leaders within the organization. Experienced employees can share their knowledge and expertise, while mentees receive guidance and support in their professional growth. 

Pairing both parties together can facilitate knowledge transfer, skill development, and career growth, leading to enhanced employee engagement and improved performance. A well-structured and supportive mentorship program creates a win-win situation for mentors and mentees, contributing to a thriving workforce. 


At Galt, we’re dedicated to advancing equal employment rights and opportunities for people with disabilities, where employees are given the spotlight to bring out their best in an organization.  

If you are looking for job applicants from diverse backgrounds, reach out to us today to learn more about how we can help. We’d be glad to assist you on your journey toward building an inclusive workplace. 


1. Boskamp, Elsie. “22 Must-Know Employee Engagement Statistics [2023]: Trends, Benefits, and More.” Zippia, 16 Feb. 2023, 

2. Gurchiek, Kathy. “Lack of Career Advancement Main Reason Workers Consider Leaving” SHRM, 29 Feb. 2008, 

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Let’s start a conversation! Are you a person with disabilities searching for a job or an organization with temporary or long-term employment needs? We look forward to helping you realize your potential.