Levels of Employee Engagement: How to Recognize & Act at Each Stage

Have you ever walked into your office and taken a moment to observe your employees? If you take a closer look, you will witness differences in how each individual approaches work.

These differences are not simply about personality, but they highlight where each individual stands on the spectrum of employee engagement.

To get a better illustration of this, let’s get to know the following employees:

Then there’s Ray, who does his regular job well but is rarely seen speaking up in meetings or volunteering for new challenges.

Next is Amy, who appears withdrawn and distant and is less responsive to team initiatives. And finally, Harry, whose passion for the company’s mission is powerful and contagious. His enthusiasm and optimism inspire everyone around him.

Let me be clear, these are not simply different personalities; they represent the spectrum of employee engagement. Every organization has its Katherines, Rays, Amys, and Harrys, each found at a different point on the engagement journey.

Hence, recognizing where your employees stand is the very first step to unleashing their full potential.

And the way you respond to each level of engagement can make a difference in your journey of creating a thriving and innovative workplace.

Having said that, in this blog, we will walk through the different levels of employee engagement, exploring their behavior patterns, why they matter, and discuss the targeted action at each stage.

Let’s begin this journey and discover how understanding engagement can transform your workplace as well as your business results.

What Are the Levels of Employee Engagement?

Level 1: Disengaged Employees

Definition + Core Traits

Disengaged employees are entirely disconnected from their organization, work, and colleagues. They can be the most challenging to manage, yet they happen to be the most critical group to address.

These employees display signs of mental fatigue, which can also impact the collective energy and morale of the entire workforce.

They lack the drive to exceed the bare minimum and are emotionally distanced from the company’s values and mission.

Their disinterest gets reflected through their boredom, demotivation, and a sense of apathy toward their responsibilities.

Behavioral Indicators

• Consistently missing deadlines, taking longer durations to complete tasks, and submitting lower-quality work.
• Increase in absenteeism with higher rates of sick days, frequent use of PTO, and making excuses to miss work.
• Demonstrate reluctance to express ideas, share information, or collaborate with colleagues.
• Showing the least enthusiasm for projects, avoiding team discussions, and withdrawing from meetings.
• Open expression of dissatisfaction by spreading words of negativity among peers.
• Zero to no interest in skill enhancement, training programs, and career advancement opportunities.

Impact on Performance/Culture

• Disengaged employees usher in a series of adverse ripple effects throughout your organization.
• A Gallup report states that disengaged employees cost the world $8.8 trillion in lost productivity.
• Their pessimism is contagious, which crushes the morale of engaged employees and creates a toxic work environment.
• These employees also hamper team dynamics by putting additional strain on engaged members, who are likely to compensate for the reduced output.

Quick Tip for Managers

• One of the immediate ways to address disengagement is to have one-on-one conversations to understand the root causes.
• Ask questions like "What's working? What's not? How can I support you?" It demonstrates genuine interest in their concerns.
• Focus on identifying where the issue originates from. Follow this by creating a targeted improvement plan with clear expectations coupled with regular check-ins.

Level 2: Somewhat Engaged Employees

Definition + Core Traits

Somewhat engaged employees, the middle ground of your workforce, pose both an opportunity and a challenge.

While they care about their work, they lack the passion and motivation to exceed expectations. They maintain a neutral stance toward the organization, neither opposing nor supporting company initiatives.

Although not unhappy, they do not show genuine excitement about their work. They perceive their work primarily as earning a paycheck rather than making a meaningful contribution.

Behavioral Indicators

• Completes assigned work adequately but does not willingly seek opportunities on their own.
• Participates in meetings but only to offer minimal input or creative ideas.
• Their work sways between good and mediocre, depending on the task and environment in which they operate. There’s no demonstration of growth or innovation.
• Builds basic professional relationships and avoids deeper workplace connections.
• Accepts organizational changes without any form of enthusiasm or resistance.

Impact on Performance/Culture

• These employees are the untapped potential of your organization. Unlike harming performance, like disengaged employees, they contribute to performance within a range.
• They do not prefer to go beyond their boundaries. However, this group can become your most significant opportunity for improvement.
• They are more responsive to engagement initiatives than disengaged employees.

Quick Tip for Managers

• Conducting stay interviews will shed light on their motivations and identify barriers to engagement.
• Prioritize personalizing their development plans by aligning growth opportunities with their individual interests and career aspirations.
• Allow employees to exercise more autonomy in their current role.
• Clearly communicate how their work contributes to larger organizational goals, helping them find meaning in their contributions.

Level 3: Engaged Employees

Definition + Core Traits

Engaged employees are the backbone of high-performing organizations. They demonstrate genuine passion for their role and take pride in the organization’s achievements.

Having been emotionally committed to work, engaged employees show a willingness to contribute above and beyond the basic requirements.

These self-motivated, enthusiastic, and loyal employees often serve as informal leaders, inspiring their peers. As such, they focus more on solutions rather than fearing obstacles.

Behavioral Indicators

• They willingly take the initiative and actively seek solutions to problems without being prompted or nudged.
• Delivers work by consistently exceeding expectations and maintaining high standards across all tasks.
• They demonstrate strong teamwork by actively engaging with their teams and excelling in collaboration.
• Voluntarily attend company events, take on challenging projects, and meaningfully contribute to discussions.
• They bring optimism to the workplace even during challenging periods
• and encourage others to perform their best.
• Actively seeks development opportunities and showcases curiosity about new skills.
• They act as brand advocates by recommending the company to potential hires and customers

Impact on Performance/Culture

• Engaged employees drive significant organizational benefits. To support this statement, I would like to cite a Gallup Research, which says-
• Companies achieve 14% higher productivity and 23% higher profitability when their employees are highly engaged.
• Their proactive nature fuels innovation, for they are inclined to contribute ideas and undertake calculated risks, benefiting the organization.
• Engaged employees add up to higher retention rates, ultimately reducing the cost of turnover.

Quick Tip for Managers

• Leverage the influence of engaged employees by positioning them as change ambassadors and culture champions.
• Give them access to leadership development opportunities and assign tasks that challenge their capabilities, while also recognizing their contributions.
• Incorporate them in strategic planning discussions to tap into their insights.

Level 4: Passionately Engaged Employees

Definition + Core Traits

Passionately engaged employees are rare and invaluable gems to any organization. They demonstrate extraordinary commitment that goes far beyond standard expectations.

These employees are emotionally invested in organizational success to such an extent that they perceive their work as a personal mission rather than just a job.

Their intrinsic motivation, unwavering dedication, and contagious enthusiasm keep the team intact and energized.

Behavioral Indicators

• They proactively go above and beyond, often working on tasks exceeding their job description due to the deep care they possess for the company.
• Actively challenges the status quo, provides creative solutions, and drives organizational improvements.
• They take personal responsibility for guiding colleagues by sharing knowledge freely and building organizational capability. In short, they often become unofficial mentors for a positive workplace culture.
• Continues to maintain high performance and positive temperament even during significant organizational changes or challenges.
• They serve as role models who proudly embody company values and inspire others to elevate their performance.

Impact on Performance/Culture

• Passionately engaged employees take the lead in creating a transformational impact within organizations, boosting morale, driving innovation, and contributing to exceptional business results.
• They often become natural leaders who can take charge of guiding organizational change initiatives and build high-performing teams around them.
• Their significance is translated into improved customer satisfaction, for their passion yields superior service delivery.

Quick Tip for Managers

• Ensure to maximize their potential by providing them opportunities to lead special projects, innovation initiatives, and organizational change efforts.
• Prioritize retaining these valuable employees by offering career advancement opportunities and roles that enable them to make a meaningful impact within the organization.

Employee Engagement Models: Discussion of Varied Levels

We had a detailed discussion above about the four levels of engagement. But how about we look over the other existing models?

Several organizations have come up with their respective frameworks that provide deeper insights into workforce motivation and commitment.

These expanded models that we will look into will give you a broader perception of employee engagement, highlighting its complexity.

• Gallup's Classic Framework

Gallup developed the foundational three-level model that categorizes employees into actively engaged, not engaged, and actively disengaged segments.

Significantly utilized by many, this framework has helped organizations keep a better track of how committed and dedicated their employees are to the organization.

• Aon Hewitt's Say-Stay-Strive Model

Aon Hewitt developed a three-level approach, focusing more on the behavioral outcomes of employees rather than their emotional states.

The model examines whether employees consistently “say” positive things about their organization, “stay” within the organization in the long term, and “strive” to put in extra effort to succeed.

This framework emphasizes six core organizational elements: the basics, company practices, the work itself, leadership, performance management, and brand reputation.

• Blessing White's Satisfaction-Contribution Matrix

Blessing White developed one of the most sophisticated five-level models by positioning employees on two axes: job satisfaction and organizational contribution.

The five segments include: Engaged, Almost Engaged, Honeymooners & Hamsters, Crash & Burners, and Disengaged.

This model suggests that high performers may still not be fully engaged (Crash & Burners), while new employees may be highly satisfied but low on contribution (Honeymooners).

• Maslow-Inspired Employee Engagement Hierarchy

Several organizations have adopted Maslow's hierarchy of needs into a five-level engagement model: Survival, Security, Belonging, Esteem, and Self-Actualization.

This framework suggests that employees must initially fulfill basic workplace needs and then move to achieving higher levels of engagement and self-actualization.

At the survival level, employees primarily strive for basic compensation, whereas self-actualized employees find more profound meaning and purpose in their roles.

• Deloitte's Simply Irresistible Organization Model

Deloitte’s model focuses on five core dimensions that build an “irresistible” workplace.

They are Meaningful Work, Hands-on Management, Positive Work Environment, Growth Opportunity, and Trust in Leadership. Every dimension is further divided into its specific sub-elements.

Why It Matters

After exploring the different levels of employee engagement, you may wonder why understanding these levels is necessary.

As an HR professional or leader, it’s essential to know where your employees currently stand in terms of engagement.

By identifying each employee’s current level, you gain insights into the underlying reason why some are disengaged or partially engaged.

This awareness will help you take further measures to guide them to higher engagement. The need of the hour is to keep employees engaged because they are a boon to the organization.

Let us understand with the help of data how engagement exerts a powerful influence on key business outcomes and workplace culture.

Financial Performance and Profitability

The financial impact that employee engagement has on companies is enormous and quantifiable.

• A Gallup study reveals that companies with highly engaged employees exhibit 21% higher profitability compared to organizations with disengaged workforces.

• Research also indicates that engaged teams demonstrate 2 times higher productivity.

• In addition, another study adds that companies with engaged employees enjoy 26% higher revenue per employee, as well as 13% greater total returns to shareholders.

Retention and Turnover Reduction

Employee engagement is one of the powerful modes that can help your organization retain employees and reduce turnover.

• A study found that highly engaged employees are 87% less likely to leave their organization. This helps organizations save on recruitment, onboarding, and training costs.

• Gallup’s research found that companies with engaged workforces recovered from the 2008 recession at a much faster rate and managed to maintain higher earnings per share throughout economic volatility.

Operational Excellence and Productivity

Engagement directly translates into operational improvements, and here’s a statistic to testify to this:

• Research indicates that employee engagement can decrease safety incidents by 48%. This illustrates a vital connection between employees’ mental focus and their physical safety.

As a result, there is a reduction in workers’ compensation costs, fewer lost-time injuries, and improved operational continuity.

• The impact on productivity levels is depicted in a Gallup study, which states that engaged workplaces experience 18% higher productivity than the least engaged ones.

Customer Experience and Cultural Impact

The engagement-culture connection creates a powerful impact throughout the organization.

• A Gallup study reveals that business units in the first quartile have 10% better customer ratings than those in the bottom quartile.

This demonstrates how internal engagement plays a significant role in determining external customer satisfaction.

• A long-term study shows that companies with thriving cultures that encouraged all-round leadership development and highly appreciated employees grew 682% in revenue.

This illustrates how a strong culture can guide a company to achieve success in multiple areas.

Strategies for Each Engagement Level

Now that you have built a solid understanding of every engagement level, you must take your next step to implement targeted strategies that address their specific needs and motivations.

Each engagement level will require a distinct approach to help maximize potential and drive organizational success.

1. Highly Engaged Employees → Empower + Reward

It is no secret that highly engaged employees are your most valuable gems. To maintain their enthusiasm and prevent burnout, you must implement specific strategies. Let us discuss them in detail:

Empowerment Strategies:

• Grant them the autonomy to take part in strategic decisions within their domain, and foster ownership and accountability.
• Position them as project leaders, mentors, and change champions in your organization.
• Give them cross-functional exposure as a means to expand their influence beyond their basic role.
• Involve them directly in strategic planning and allow them to lead initiatives that drive organizational growth.

Reward and Recognition Approaches:

• Conferring employees non-cash recognition and rewards, such as travel experiences and professional development opportunities, creates a heavier impact than monetary rewards.
• Celebrate their achievements by publicly recognizing employees and through company-wide communication channels.
• Encourage employees to acknowledge one another through peer-to-peer recognition programs.

Source: Vantage Recognition and Rewards

2. Moderately Engaged Employees → Reignite Passion + Career Mapping

Moderately engaged employees are those who provide companies with opportunities for improvement and growth.

Although not fully, they respond to engagement initiatives to an extent, unlike the disengaged ones. The key here is to help them discover meaning and passion in their work.

Let us discuss the strategies in detail:

Passion Reignition Techniques:

• Elaborate to your employees and help them understand how their daily tasks contribute to larger organizational goals and impact customers.
• Conduct interactive sessions to identify underutilized talents and create opportunities that enable them to apply their skills.
• Introduce new challenges and responsibilities to break the monotony that comes with routine.
• Add gamifying elements, such as implementing reward point systems, challenges, or competitions, to make work more engaging.

Career Mapping Implementation:

• Discuss creating personalized career development plans that bind individual aspirations with organizational needs.
• Demonstrate to them the various career trajectories, including lateral moves and cross-functional opportunities.
• Communicate the specific competencies required for the role, identify the skill gap that employees face, and create development plans to address them.
• Schedule quarterly career conversations to keep track of employees’ advancements and adjust goals accordingly.

3. Barely Engaged Employees → Reconnect Through Feedback + Recognition

These employees are prone to feel disconnected from their work and undervalued by leadership.

So here, your prime focus should be on strategies that help you reconnect with employees by reestablishing basic engagement fundamentals.

Here’s what you can do:

Feedback Strategies:

• Implement frequent check-ins through weekly one-on-one meetings. Provide regular performance feedback and address concerns immediately.
• Ensure that you clearly explain to them what is expected of them and how their performance is measured.
• Rather than only focusing on performance gaps, ignite conversations around career development opportunities.
• Practice active listening by creating a safe space where employees can voice their frustrations and concerns without any judgment.

Recognition Approaches:

• Prioritize immediate recognition after work completion. Utilize spot awards to recognize employees instantly for their contribution and achievement to maximize impact.

Source: Vantage Recognition and Rewards

• Understand their preferred recognition style and tailor appreciation accordingly to give it a personalized touch.
• Ensure to acknowledge improvements and effort, and not just limit it to significant achievements.
• Encourage colleagues to recognize each other's contributions through peer-to-peer recognition programs.

4. Actively Disengaged Employees → Diagnose Cause + Either Re-align or Exit

These employees require your immediate attention as they can pose a threat to impact productivity and team morale.

The approach to strategies must be more direct while including concrete timelines for improvement. Let us discuss the plan in detail.

Diagnostic Process:

• Conduct in-depth conversations to understand whether disengagement stems from leadership issues, role misalignment, workplace culture, management style, or organizational factors.
• Gather 360-degree feedback from colleagues, customers, and other stakeholders to get a complete picture of the situation.
• Determine how skilled or capable employees are to succeed in their current role.

Re-alignment Strategies:

• Consider redesigning responsibilities to better match their strengths and interests.
• Experiment by changing managers. Sometimes, a different supervisor can bring changes in engagement.
• Extend your dedicated support through mentoring or professional coaching.
• Create a structured Performance Improvement Plan (PIP) with specific milestones and support systems in place.

Exit Considerations:

• Be vigilant enough to recognize when there is a misalignment between employees’ personal values and organizational values. This misalignment can make success unlikely.
• You should conduct a team impact Evaluation. This will allow you to keep a check on whether their negativity has any effect on high-performing team members
• When realignment fails, facilitate the provision of respectful separation that protects team morale.

Manager Dos and Don'ts

Gallup’s research shows that around 70% of the influence on employee engagement stems from managers.

As reflected in the statistics, a great responsibility lies on the shoulders of managers to bring out the best in their employees.

They play a huge role in affecting employees’ behavior. Continuing with the train of thought, let’s discuss some of the dos and don’ts managers must abide by.

Essential Dos for Managers

Communication and Feedback:

• Do give regular and specific feedback that highlights both strengths and areas for development.
• Ensure psychological safety for employees, where they feel comfortable sharing their concerns and ideas.
• Do listen actively to employees and demonstrate how their input is central to decision-making.
• Set clear expectations and help employees understand how their work contributes to organizational success.

Recognition and Development:

• Make sure to recognize efforts and achievements promptly, instead of waiting for formal review periods.
• Do personalize recognition based on individual preferences and motivators.
• Do provide growth opportunities through assignments, training, and mentoring.
• Model the behavior that you want your team members to demonstrate.

Empowerment and Trust:

• Delegate meaningful work that enables employees to showcase their capabilities.
• Do trust your employees to make decisions within appropriate boundaries.
• Encourage innovation among your team members and make them understand that failure is part and parcel of the learning process.
• Do advocate for your team and support their career advancement goals.

Critical Don'ts for Managers

Micromanagement and Control:

• Refrain from micromanaging every task or constantly checking on employee progress.
• Don't fill their time with undervalued tasks that don’t give them the scope to utilize their skills effectively.
• Avoid constantly changing goals or priorities without clear communication.
• Don't ignore employee feedback and failing to act on legitimate concerns.

Recognition and Communication Failures:

• Avoid jumping to assumptions that employees know they're doing well. Even high performers need regular acknowledgment.
• Don't wait for formal reviews to provide feedback on performance issues.
• Don't avoid difficult conversations regarding performance or career advancement.

Engagement Mistakes:

• Don't force happiness or try imposing engagement through superficial activities.
• Refrain from setting unrealistic expectations that only add to frustration and burnout.
• Don't survey employees continuously without acting on their feedback.
• Don’t ignore the impact that a disengaged employee can have on team dynamics.

Development and Growth Pitfalls:

• Stop assuming that one-size-fits-all approaches will work for all engagement levels.
• Don't focus only on weaknesses without acknowledging employees’ strengths and building on them.
• Refrain from making promises about career advancement that you won’t be able to fulfill.
• Don't neglect the provision of constant support after initial engagement interventions.

Conclusion

I trust that our discussions have been fruitful enough to help you gain a solid understanding of the levels of employee engagement.

By delving into the four core levels, surveying alternative engagement models, understanding their importance, and the actionable strategies, you’ve broadened your perspective on this vital aspect of organizational success.

Now, all you have to do is translate this knowledge into action and witness the meaningful changes and excellent results your company will experience.

FAQs

What are the four levels of employee engagement?

The four levels are: Disengaged, Somewhat Engaged (or Moderately Engaged), Engaged, and Passionately Engaged employees.

How are “barely engaged” employees different from “moderately engaged” ones?

Barely engaged employees show minimal connection and motivation, often just meeting basic requirements, while moderately engaged employees are reliable but lack enthusiasm and rarely go beyond what’s expected.

How do I measure engagement levels in my team?

Use employee engagement surveys, regular feedback sessions, and track key indicators like absenteeism, productivity, and participation in company initiatives.

Can employees move between engagement levels?

Yes, employees can move up or down the engagement spectrum based on changes in their work environment, leadership, recognition, and personal circumstances.

What strategies work for each level?

For highly engaged: empower and reward; for moderately engaged: reignite passion and map career paths; for barely engaged: reconnect through feedback and recognition; for disengaged: diagnose root causes and consider realignment or exit.

This article is written by Riha Jaishi, a content marketing professional at Vantage Circle specializing in recognition and rewards. As she draws from her years of experience in employee recognition and rewards, she continues weaving narratives through her thought-provoking blog posts. For any related queries, contact editor@vantagecircle.com