Employee engagement at its lowest level since 2013:  Last year, Gallup found U.S. employees were increasingly detached from their employers, with the workforce reporting less role clarity, lower satisfaction with their organizations, and less connection to their companies’ mission or purpose. Employees were also less likely to feel someone at work cares about them.  The drop in these employee engagement elements was particularly acute in remote, hybrid, and younger workers. By the end of 2023, 33% of U.S. employees overall were highly engaged, meaning they were highly involved and enthusiastic about their work and workplaces. Unfortunately, the first quarter of 2024 continued this downward trend, with engagement dropping three percentage points to 30% among both full- and part-time employees. This decline represents 4.8 million fewer employees who are engaged in their work and workplace, marking the lowest reported level of engagement since 2013. In the first quarter of 2024, 17% of employees were actively disengaged, one point higher than the 16% for the full year of 2023 and equivalent to the percentage actively disengaged in the fourth quarter of 2023. The U.S. now has a ratio of 1.8 engaged employees for every actively disengaged employee. This compares to a ratio of 2.1-to-1 in 2023.  Source: Gallup 4/10/24

Increased salaries don’t account for inflationary healthcare costs:  Generally, the single largest cost to an employer is employee compensation.  A recent study from WTW shows that health care costs for active employees more than tripled from 2000 to 2020, well surpassing pay increases and driving up total benefit values over the past 20 years. The analysis, Shifts in Benefit Allocations Among U.S. Employers 2000-2020, found that total benefits costs increased from 14.9% of pay in 2000 to 19.4% of pay in 2020. During this same time period, active health care costs rose from 5.9% to 12.3% of pay. While the gap between rising health care costs and pay increases closed considerably over much of the 2010s compared with the previous decade, health care costs as a percentage of pay continued to rise — up 1.6% of pay.  HR needs to be at the forefront of workforce planning given employee expectations on salaries without regard to healthcare and healthcare expectations with regard to salary.  It will be important for HR to ensure that total compensation statements are provided to employees with training for them to have a clear understanding of what they are really getting from the organization as a total package.  Source:  WTW 4/9/24

Do you have an AI policy in place?  In a Pew Research Center survey conducted in February 2024, 20% of employees currently use ChatGPT at work.  The center found that Americans’ use of the ChatGPT chatbot has risen by five percentage points since last year. And for employed Americans, the usage went up by 12 percentage points, from 8% in March 2023 to 20% in February 2024. This figure includes an eight-point percentage increase between July and February.  Regarding age-related differences in that usage, the report found that use of the chatbot for work, learning, or entertainment had largely risen across all age groups (18 to 29, 30 to 49, and 50 and older). However, there were some notable differences between the groups. For example, the report notes that 31% of employed adults under 30 say they have used it for tasks at work, which is up 19 points from a year ago. By contrast, with regard to work, for ages 30 to 49, it went up from 8% percent to 21% and for ages 50 and over, it has risen from 4% to 10%.  Unless ChatGPT is the higher level tool, anything put into ChatGPT is now in the public domain, and problematic if confidential information is used.  Source:  CCH 4/1/24

Do you tend to feel like napping during the day? Across America, workers are sneaking shut-eye into the workday, napping in cars, parks, and (for those at home) on couches and beds. A new survey by wellness company Sleep Doctor found that one-third of employees take at least one nap per week during work hours. Most take power naps, sleeping for less than 30 minutes, but 24% admitted to sleeping for an hour or longer. Remote workers nap longer and more often.   The practice isn’t entirely new, of course, but experts say the prevalence of napping today may underscore workers’ levels of stress and burnout. For leaders, it’s another management challenge on top of slowing productivity, low engagement, and workers cutting out early, among others.  The science on the connection between sleep and performance is well established. Short naps of 30 minutes or less have been shown to reduce stress, increase energy, improve focus, and more.  “If napping is occurring during a natural break, it doesn’t have to be a bad thing,” says Ron Porter, a senior client partner in the Global Human Resources Center of Excellence at Korn Ferry. “Instead of a shot of caffeine, some people can reenergize with a nap.”   Source:  Korn Ferry 4/11/24

New benefit – commuting costs reimbursement: Ringover's survey of 1,038 employees revealed that 96.3% are willing to compromise if provided with benefits that would make the return to work (RTW) more pleasant.  The most sought-after benefit among these employees is a paid commute, according to 83.2% of respondents. The daily commute is one of remote employees' "most obvious" challenges when returning to the office, said Ringover, noting that longer commutes can disrupt work-life balance and lead to burnout. According to the Ringover survey, nearly half of employees want to be paid an extra $5,000 to $10,000 annually for returning to the office. The findings come as 29% of employees reported receiving mandatory office-return instructions, while another 38% said they were "heavily encouraged."  Only 17% of the respondents haven't received an office-return mandate, while 14% said their related policy was optional.  Source:  HR Director 4/9/24