Many engaged employees are leaving despite high engagement levels, indicating a growing disconnect between employee engagement and retention and a potential shift in traditional workforce stability metrics.

This trend challenges the long-held assumption that a highly engaged workforce is a loyal one. For decades, organizations have used engagement scores as a primary proxy for retention and overall company health. Now, leaders must look beyond these surface-level metrics to understand the deeper factors driving attrition, such as communication failures, job insecurity, and dissatisfaction with leadership, which may be causing even committed employees to seek opportunities elsewhere.

What We Know So Far

  • A new study from Firstup suggests that employee engagement may no longer be a reliable indicator of workforce stability, according to a report from uctoday.com.
  • The same study found that almost half of engaged employees across office-based, managerial, and hourly roles are likely to seek another job within the next year.
  • Average U.S. employee engagement for all employees has fallen from 35% to 31%, according to reporting from thenonprofittimes.com.
  • Job satisfaction at nonprofits has reportedly continued a downward trend, dropping every year from 2023 through 2025.
  • Job insecurity is a concern for staff members, even at organizations recognized as 'Best Nonprofits To Work For', according to the nonprofit-focused report.

The Paradox of Engaged Employees Leaving

A Firstup study of over 3,000 UK workers reveals a paradox: 76% of office-based employees are engaged, yet nearly half are considering leaving. This trend, reported by uctoday.com, is consistent across roles, with 48% of office staff, 50% of managers, and 47% of hourly workers planning to leave within the next year.

Traditional engagement metrics may mask instability, as "engagement alone is no longer a reliable signal of workforce stability," said Firstup CEO Bill Schuh, in a statement covered by uctoday.com. The study suggests employees commit to roles and colleagues but disconnect from the broader organization due to systemic issues.