Dive Brief:
- Today’s low-hire market means many employed workers feel trapped in their current roles while unemployed people struggle to find work, all of which is contributing to a “crisis of disengagement,” according to recent research published by Glassdoor Chief Economist Daniel Zhao.
- Stress surrounding layoffs is also adding to this crisis, with anxiety about layoffs increasing more than actual layoffs, per the study. Past Glassdoor research also found that overall workplace morale drops after layoffs and can stay low for months. “In a world where hiring is slow and long-term unemployment is rising, the cost of layoffs to workers is higher,” Zhao said.
- Meanwhile, recent reports found that U.S. employee engagement has dropped to its lowest levels since 2011. Some of the sharpest declines are showing up among hybrid and remote employees at organizations that have adopted artificial intelligence, suggesting that physical distance may also create psychological distance that can be exaggerated by AI use.
Dive Insight:
Companies that introduce AI also create significant uncertainty for workers, which exacerbates existing feelings of insecurity. That’s yet another factor affecting engagement levels, per Zhao’s research.
The report revealed that job security is the top concern workers have about AI, and that worry isn’t restricted to people whose work is directly impacted by AI. Generation Z workers, and especially women in that demographic, say they’re concerned about how AI will affect their careers.
Workers are also feeling overwhelmed, which influences engagement levels.
“Burnout is on the rise,” Zhao said. “Leaders have pushed hard for productivity and efficiency over the last few years, but the question is whether that faster pace is sustainable or not.”
He said that while workers who are pushed to produce more “might be more productive in the short term,” many of them are actually doing the jobs of multiple people. “[W]ithout the proper support, that’s a recipe for burnout,” Zhao added.
Widespread mistrust and skepticism of leadership is only compounding the problem, Zhao said. Glassdoor’s senior leadership satisfaction scores are swiftly declining, with workers complaining about issues such as communication, culture and strategy.
At workplaces where AI has been implemented alongside a clearly explained plan for integration, studies have found a 15-point higher engagement rate compared to companies that adopted AI without that level of transparency. Furthermore, employees who said their managers actively supported their team’s AI use showed a 48% engagement rate, compared to 30% for employees who didn’t mention this.
