Tuesday, July 1, 2025

Employee engagement rises but inequalities divide the workforce, warns survey

A national survey of more than 4,000 UK workers has revealed that while employee engagement has seen its first rise since the pandemic – climbing 3% to an average of 65% – inequalities continue to divide the workforce.

The annual Engage for Success survey, run in partnership with Nottingham Business School, part of Nottingham Trent University, directly questioned a diverse and representative sample of employees across all sectors, industries, organisational sizes, and regions of the UK.

Using resources and expertise from Stillae Ltd and the Involvement and Participation Association, it explored current emerging issues influencing engagement – including organisational practices, hybrid working, health and wellbeing, bullying and harassment, and leadership.

Despite the rise for the first time in three years – since the survey began – engagement remains below pre-pandemic levels, and findings reveal a stark divide between UK organisations which prioritise their people, and those which do not.

Two in five employees work in organisations that actively embed people-focused issues into decision-making. With engagement levels of 77%, they reported more positive attitudes toward work, including a willingness to ‘go the extra mile’, support colleagues, and drive performance.

Employees with higher engagement are far less likely to see their job as simply a way to earn a money. Instead, they experience a sense of purpose and fulfilment in their work, which positively contributes to their overall wellbeing.

In contrast, another two in five employees feel that people issues are overlooked in their organisation, where engagement drops sharply to 45%, unmanageable job stress is five times higher, and levels of presenteeism and intention to leave are significantly increased.

The survey also revealed that employees with long-term health conditions, neurodivergence, or protected characteristics report 20% lower engagement, higher stress, and a greater intention to leave.

Many don’t disclose their condition due to fear of discrimination, and over a third who do receive no adjustments. However, with proper support, their engagement matches that of other employees – highlighting the power of inclusive practices.

Results also highlighted the crucial role that managers play in shaping employee engagement and workplace experience. When both senior leaders and line managers prioritise people issues, engagement rises significantly, creating more positive attitudes and healthier work environments.

Report author, Dr Sarah Pass, senior lecturer in Human Resources Management at NBS and Engage for Success Advisory Board member, said: “Line managers are key to translating organisational goals into daily practice, supporting individual performance, development, and inclusion, particularly for employees with health conditions or neurodivergence. They are the people who turn employee feedback into action.

“To lead effectively, managers need proper training and time to support their teams, and those who receive this preparation report higher engagement and greater confidence in their role.

“The rise in engagement is encouraging, but if we are to truly Keep Britain Working, we must focus not just on getting people into work, but on helping them work well. Disengagement – driven by unmanageable stress, presenteeism, and poor workplace culture – risks worsening health outcomes and pushing more people out of the workforce.

“To change this, we need to embed engagement, inclusion, and wellbeing at the heart of employment strategies, from government policy to organisational leadership and everyday practice. Engaged people are the foundation of resilient workplaces, stronger organisations, and a more productive economy.”

Nita Clarke, director of the Involvement and Participation Association and co-founder of Engage for Success, said: “This survey has a strong message about how important effective employee engagement is to attracting people into work and keeping them there.

“Government needs to ensure this message underpins the industrial strategy so we can achieve permanent improvements at organisation level in productivity as well as employee wellbeing.”

David MacLeod OBE, co-founder of Engage for Success, added: “It is clear that if individual organisations and the UK overall are to grow, then we need to give higher priority to the people issues which result in increased levels of employee engagement and therefore better organisational outcomes.

“There is a huge opportunity, and need, to harness the rich diversity in our workplaces so that everyone can work to their full potential.”

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