The New Dynamics of Employee Engagement in 2025

Employee engagement is essential for an organization to retain and motivate its workforce. When employees feel connected to their work, productivity, innovation, and commitment to company goals rise. A dedicated workforce also supports a positive work culture, encouraging collaboration and proactive problem-solving. Moreover, organizations whose employees are enthusiastic build loyalty, reduce turnover, and enhance performance. Creating an atmosphere where employees feel valued and empowered allows organizations to thrive in the long term.

Understanding what drives engagement can be complex. DHR Global’s “Workforce Trends Report 2025” sheds light on this topic through a survey of 1,500 white-collar, desk-based knowledge workers. The survey explored the nuances of what drives engagement and how to create an invested workforce.

Survey Findings: Mixed Motivations, Clear Opportunities

DHR’s survey reveals that 88% of respondents feel very or extremely engaged. Deeper analysis, however, indicates that external factors often play a key role. A significant portion of employees (67%) are motivated by a tight job market, and 61% by job insecurity. This indicates many stay committed out of necessity rather than genuine enthusiasm.

Professional development emerged as a potential solution, with 80% of respondents stating that skill-building opportunities increase their engagement. Furthermore, nearly all respondents (93%) said their engagement would improve if employers were to offer relevant development programs.

Does In-Office Work Boost Engagement?

Engagement varies by work environment, with in-office workers (59%) reporting higher levels of engagement than their hybrid (41%) and remote (33%) counterparts. But remote and hybrid work is a key driver of engagement for nine in 10 hybrid workers, highlighting the critical role flexibility plays in boosting employee motivation in today’s workplace.

Unlocking Engagement: Insights from Talent Experts

Partners from DHR and Jobplex provided additional insights and guidance below to help companies and leaders increase engagement and attract and retain talent in 2025.

Prioritize Emotional Commitment

Gerlinde Berger, Managing Partner, European Industrial Practice

In 2025, the priority for organizations should be to cultivate genuine emotional commitment among employees. Currently, many workers remain motivated less by enthusiasm than by necessity, often because of job insecurity or limited options, particularly in markets that face recessionary pressures, like Germany. Rather than scaling back development programs during challenging times, companies would benefit from investing in employee growth and establishing a supportive culture. Such efforts help maintain morale and dedication, even during times of uncertainty.

Gerlinde Berger

Across Europe, employee engagement remains a recognized challenge, especially with younger generations who seek roles that reflect their personal values. Some companies are addressing this by encouraging employees to engage in volunteer initiatives, environmental and diversity and inclusion projects, health and well-being programs, along with development and training opportunities. These initiatives promote a sense of purpose and belonging, which is increasingly vital in engaging today’s workforce.

Embrace Change and Innovation

Caroline Edwards, Managing Partner, Hong Kong

With change high on the agenda for 2025, organizations must integrate it into their approaches to engagement if they want to attract and retain talent at all levels. The challenge lies in keeping up with emerging tools, technologies, and evolving team structures. Senior leaders and human resources teams should develop strategies that inspire and guide employees through the complexities of change, with particular consideration of remote and hybrid work environments. Focusing on supporting employees through these transitions will be essential to sustained engagement.  

Caroline Edwards

Many organizations in Asia-Pacific are embracing change with agility, while maintaining a forward-focused vision to navigate 2025 and beyond. While artificial intelligence is a central focus, companies are also placing importance on emotional intelligence, mental health awareness, sustainability, and cross-generational and cross-cultural communication. Social media has become a widely used tool to promote programs and share an organization’s stance on diversity and inclusion with existing and potential employees, offering a transparent view of the company’s culture.

Shift from Necessity to Genuine Commitment

John Martin, Managing Partner, Jobplex

Despite high engagement rates, many employees are motivated more by financial necessity than by genuine emotional commitment. Organizations that prioritize professional development can help shift motivation from fear-driven to internally inspired, creating a deeper sense of purpose. Alongside skill-building opportunities, adopting flexible work arrangements and finding ways to connect with remote and hybrid employees can significantly enhance motivation and commitment.

John Martin

Companies are increasingly focusing on employee recognition and well-being programs to create supportive workplace environments. Regularly celebrating and rewarding employee achievements strengthens morale, while wellness initiatives, counseling, and work-life balance policies help address overall well-being. These efforts lead to improved satisfaction and deeper commitment among employees, creating a positive cycle of engagement and retention. 

Combat Burnout by Setting Work-Life Boundaries

Ed Flowers, Managing Partner, Chief Human Resources Practice

Companies that have high employee engagement consistently perform better and are more appealing to top talent. Engagement drives productivity, profitability, and revenue, while also reducing turnover. To sustain strong engagement, leaders must address employee burnout. Setting clear boundaries around work hours can help employees separate work from personal life, protecting them from the pressures of a 24/7 work culture. Constant after-hours communication – like emails in the evenings and on weekends – can lead to exhaustion. Leaders should reinforce that employees aren’t expected to work outside standard hours, unless necessary, creating a supportive culture where employees feel valued and motivated.

Ed Flowers

Employee engagement is a priority for today’s leading organizations. Top leadership recognizes the intense competition for high-performing talent and understands that employees seek workplaces that have a strong culture and a commitment to valuing their people. Successful companies align their culture and engagement strategies with core values and business goals, making culture-building a central focus. Effective initiatives include professional development, wellness programs, recognition and rewards, and regular, transparent communication – all of which contribute to significant business results and an engaged and loyal workforce.

Empower Employees With Proactive Strategies

Maryanne Wanca-Thibault, Ph.D., Partner, Leadership Consulting

Understanding what truly drives engagement within a specific organization or industry is crucial. Genuine engagement often stems from employees feeling connected, motivated, and valued. The trends survey, however, reveals that other factors motivate more than half of employees. Fortunately, employers can take immediate action to improve engagement by focusing on professional development and providing increased empowerment and autonomy, both of which are key opportunities highlighted in the survey.

Maryanne Wanca-Thibault, Ph.D.

As a consultant, I frequently observe organizations striving to increase employee engagement, but these efforts are often reactive rather than proactive. Offering opportunities for upward mobility, focusing on hiring the right candidates from the start, and developing employees through coaching and other skills-building activities can drive engagement significantly. While these actions aren’t exhaustive, they play a crucial role in proactively attracting, motivating, and retaining top talent over the long term. 

Adopt a Holistic Approach

Christopher Knipp, Managing Partner, Dallas

It’s evident from the data that a one-size-fits all solution is ineffective. Employers and clients must recognize the diverse needs and desires across their workforce. As we approach 2025, the competition for top talent will intensify, and employers who fail to adopt a holistic approach to their people will find themselves at a disadvantage. 

Christopher Knipp

Employee engagement has emerged as the new Zeitgeist, perhaps even surpassing the recent emphasis on diversity, equity, and inclusion. Few novel solutions remain to be discovered. Those who succeed will be the ones who take the time to listen carefully and tailor responses to the unique needs of their workforce.  

Tailor Engagement Plans to Match Workforce Needs

John Staines, Managing Partner, Global Human Resources Practice

To fully understand what’s impacting employee engagement, we must dive deep into the data. At first glance, macro-level metrics might suggest everything is fine, but a closer look reveals underlying concerns. The data indicates that as the economy improves and job opportunities increase, employees may start to feel less engaged and take more risks.

John Staines

Building emotional engagement is critical to retaining employees, and creating an engagement plan that’s tailored to each workforce segment is essential. For example, what works for on-premise employees may fall flat with hybrid or remote teams. Employees across the board want opportunities to learn and grow, feel heard and know their voices matter, and a sense of belonging where they can express their individuality without fear of judgment. Focusing engagement efforts on these priorities – and adapting strategies to on-premise, hybrid, and remote employees – can significantly boost employee engagement.

Building a Supportive Culture

As DHR’s research illustrates, meaningful employee engagement goes beyond surface-level motivation. Creating a supportive culture that emphasizes professional development and personal growth is essential to creating a committed and enthusiastic workforce. These initiatives don’t just keep employees engaged; they also help drive loyalty and productivity.

Leading the Way in 2025

From what drives employee engagement and burnout to the impact of AI and executive turnover, get the information executives need to pave a path for success in our 2025 Workforce Trends Report.

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