Definition
The term employee engagement is used to describe a measure of the emotional connection an employee has towards their company, coworkers, and role in the organization. Employees that demonstrate high levels of engagement are more likely to make significant contributions to their company's success.
Explanation
Also known as worker engagement, employee engagement is a measure of the employee's commitment to their organization, how hard they will work towards their goals, as well as the likelihood a company will retain an employee. Higher levels of engagement result in employees that are more productive, and less likely to leave the company.
The degree to which employees are engaged is normally measured using a company-wide survey. These surveys will derive the level of engagement among employees by asking a series of questions about topic such as: working with integrity, freely voicing opinions, sharing ideas, improving processes, fostering inclusion, and respecting others.
Employee engagement is important because it increases employee retention and avoid employee turnover, thus lowering onboarding and training costs. Engaged employees are also more committed to the success of their companies, thereby increasing overall employee productivity. Companies will oftentimes sponsor programs or develop annual initiatives aimed at increasing employee morale and engagement.