• April 4, 2025
  • Comment 1

Employee engagement has fallen sharply in recent years, creating what many call an “engagement crisis” in the workforce. Surveys consistently show that only a minority of employees feel truly involved and motivated at work. For example, one analysis notes that globally only about 13% of workers are actively engaged. This low engagement translates into poor morale, higher turnover, and productivity losses. An NBER study reports that even though many employees desire remote or hybrid work, remote work alone does not guarantee engagement – factors like fair pay, supportive management, and strong HR policies are crucial. In fact, Makridis and Schloetzer (2024) found that once controls were added for pay and managerial quality, the apparent link between remote-work prevalence and higher engagement largely disappeared. In short, the crisis is not just about location; it reflects deep issues in workplace culture and support.

In the U.S., engagement is also disturbingly low. Gallup polling (2024) found that only about one-third of U.S. employees were fully engaged. This has real costs: Gallup estimates that lost productivity from disengagement runs into the hundreds of billions annually. Within the past five years, academic studies confirm these trends. For example, one field study reports that the COVID-19 pandemic “hurt employee engagement,” making it imperative for leaders to find new solutions. That study emphasizes that transparent communication, visible leadership support, and a positive work climate can boost engagement and resilience even in crisis. Similarly, a global meta-review finds that bottom-up, resource-building interventions (like strengthening employee strengths and autonomy) significantly improve engagement levels.

Industries Most Impacted

Certain sectors appear to be hardest hit by engagement problems. Service industries and frontline sectors are frequently cited. For example, hospitality (hotels and restaurants) and healthcare saw severe engagement drops during the pandemic. A mixed-method study of hotel workers found that all the new safety protocols and stressors of COVID were mitigated by strong support: when management provided clear communication, health/safety training, and helped employees build resilience, engagement and performance improved. Likewise, travel, retail, and food-service managers cited in qualitative research stressed that transformational leaders – those who inspire and communicate a compelling vision – helped keep employees engaged during the crisis. This suggests hospitality and retail, with heavy pandemic disruptions, faced particular engagement challenges.

Healthcare and frontline care industries also lagged. In nursing, for example, engagement is tightly linked to turnover: a recent study of nurses found that disengaged nurses were much more likely to intend to leave their jobs. The same research showed that improving engagement (through regular surveys, a positive work culture, flexible scheduling, and development opportunities) can reduce turnover. In manufacturing and other labor-intensive sectors, many employers report that talent shortages have made engagement urgent. Industry surveys note extremely low unemployment and fierce competition for workers, meaning manufacturers and others must rely on culture and engagement – not just wages – to retain staff. (This pattern – more jobs than workers – is true broadly in New England and Maine as well, where aging demographics shrink the labor pool.)

Overall, academic sources indicate that no sector is immune, but service, healthcare, and industries with high stress or turnover suffer most. For example, Santoso et al. (2022) interviewed employees in travel, hotel, food & beverage, and retail – the industries most affected by COVID – and found that leaders had to double down on engagement via communication and spiritual values to keep workers motivated. Likewise, Makridis & Schloetzer’s large-scale analysis found that engagement patterns were broadly similar across industries, but only when strong workplace supports were in place.

Strategies and Recommendations

Scholarly research offers several evidence-based strategies to reverse the engagement crisis. The most common themes across studies are: clear communication, strong leadership, employee involvement, well-being programs, and opportunities for growth. Key findings include:

  • Transparent communication and feedback: Studies emphasize two-way communication. Santoso et al. found that during the COVID crisis, transformational leaders who fostered open internal communication kept engagement higher. Similarly, Gallup data (echoed by researchers) show that meaningful feedback from managers drives engagement much more than work location. Ayugi (2024) also highlights “employee voice” – listening to staff input – as a cornerstone of engagement. In practice, this means regular check-ins, town halls, and suggestion channels.

  • Recognition and leadership support: Feeling appreciated is critical. Ayugi specifically lists recognition for good work as essential to engagement. The IEOM case study (Mukwakungu et al.) likewise notes that visible leadership support (e.g. checking on employees’ well-being) was necessary to counteract the pandemic’s toll. Companies can implement recognition programs and ensure managers are trained to praise and mentor team members.

  • Training, development and autonomy: Giving employees room to grow and make decisions boosts engagement. Ayugi includes “growth opportunities” and autonomy in her list of best-practice strategies. Xu et al. found that when hotels increased training (especially safety/health training) and empowered staff to adapt to changes, employees became more engaged. Another study’s meta-analysis confirms that bottom-up interventions (where employees learn skills like self-management or job crafting) have a positive effect. In summary, investing in skill-building and allowing worker initiative energizes people.

  • Well-being and resilience programs: The pandemic highlighted the need to care for worker well-being. Yu et al. (2024) demonstrate that workplace wellness programs (viewed as corporate social responsibility) significantly raised engagement in hotels. These programs likely improve morale and health, making employees feel valued. Xu et al. also point out that employee resilience (the ability to handle stress) was positively linked to engagement. Thus, offering mental health resources, encouraging work–life balance, and building resilience through supportive policies can help.

  • Positive culture and involvement: All sources stress culture. Mukwakungu et al. note that a positive work environment was one of the only buffers against disengagement during crises. Poku et al. (2025) recommend conducting regular engagement surveys to diagnose issues, and then building an inclusive culture as part of the solution. Empirical work suggests that when employees feel psychologically safe and involved in decisions, their commitment rises. Leaders should strive to make culture “family-oriented and collaborative,” as manufacturing research shows this greatly aids retention.

  • Flexible work practices: While not a panacea, flexibility can help engagement. The NBER study implies that allowing hybrid work alone isn’t enough – it must be paired with support. Still, giving employees some autonomy over schedules has been linked with higher engagement, especially for remote-capable roles. The Cornell hotel study suggests even a phased return (re-onboarding employees before they come back) can smooth transitions and build engagement.

In practice, organizations should use a multi-faceted approach. For example, one hospital case study combined leadership training, team-building activities, clear COVID protocols, and recognition programs, and saw engagement improve despite the pressures of the pandemic. Many of the sources here recommend beginning with data: conduct an engagement survey or focus groups to pinpoint issues, then apply targeted interventions (communication plans, wellness initiatives, upskilling) aligned with the above principles.

Regional Context (Maine/New England): Although little academic research focuses specifically on Maine, the regional context amplifies these trends. Maine’s economy—like much of New England—has a high proportion of healthcare, hospitality/tourism, and manufacturing jobs. All of these sectors rank among those with acute engagement/retention challenges. For instance, Maine’s aging workforce and rural health systems mean hospitals and clinics face both high workload and tight labor markets. Engagement strategies (such as offering flexible schedules, local training programs, and highlighting community-oriented mission) will be especially important here. Similarly, New England’s hospitality and manufacturing firms must contend with labor shortages; research suggests these companies will need to compete on culture, not just pay, to keep employees.

Key Takeaways: Recent scholarly studies (2020–2025) uniformly show that the employee engagement crisis is real and costly. Evidence from global surveys and case studies indicates engagement has declined post-pandemic, with hardest hits in service and care industries. However, research-backed strategies exist: transparent communication, recognition by leadership, training and autonomy, wellness programs, and positive culture all reliably raise engagement. Organizations in Maine and elsewhere should apply these evidence-based practices to rebuild workforce motivation and resilience.

References (APA):

Ayugi, I. (2024). Employee engagement strategies in the post-pandemic workplace. EE Journals.

Makridis, C. A., & Schloetzer, J. (2024). From crisis to norm: Remote work trends and employee engagement across industries, occupations, and geography (NBER Working Paper No. 33315). National Bureau of Economic Research. https://doi.org/10.3386/w33315

Mukwakungu, S. C., Khoza, N., & Mbohwa, C. (2024). The influence of pandemic-induced workplace changes on employee engagement: A South African company case. In Proceedings of the 14th International Conference on Industrial Engineering and Operations Management (pp. 1575–1587). IEOM Society International. https://doi.org/10.46254/AN14.20240414

Poku, C. A., Bayuo, J., Agyare, V. A., Sarkodie, N. K., & Bam, V. (2025). Work engagement, resilience and turnover intentions among nurses: A mediation analysis. BMC Health Services Research, 25, 71. https://doi.org/10.1186/s12913-025-12242-6

Santoso, N. R., Sulistyaningtyas, I. D., & Pratama, B. P. (2022). Transformational leadership during the COVID-19 pandemic: Strengthening employee engagement through internal communication. Advances in Global Leadership, 14, 335–348. https://doi.org/10.1177/01968599221095182

Schoepf, M., Seeber, I., & Lievens, F. (2021). Bottom-up interventions effective in promoting work engagement: A systematic review and meta-analysis. Frontiers in Psychology, 12, 730421. https://doi.org/10.3389/fpsyg.2021.730421

Xu, S. Y., Ashton, M., Li, Y., Staunton, G., & Li, Y. (2024). Hotel employee engagement during the pandemic: A mixed-method approach. Cornell Hospitality Quarterly. Advance online publication. https://doi.org/10.1177/19389655241276511

Yu, H., Zhang, T., & Zhang, P. (2024). Boosting engagement: Effects of wellness programs in hospitality workplaces. Administrative Sciences, 14(11), 271. https://doi.org/10.3390/admsci14110271

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