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Why Middle East companies must tackle the employee engagement crisis in 2025

The region must wake up to the reality that the true backbone of any successful business is engaged employees

Why Middle East companies must tackle the employee engagement crisis in 2025
[Source photo: Krishna Prasad/Fast Company Middle East]

The beginning of the year starts fresh with clean slates, which usually translates to restrictive diet plans, pricey gym memberships, ditching the vape stick, or decluttering like your life depends on it.

It is also the time most people look for alternative employment. 

Referred to as the “New Year, New Job” effect, this trend is driven by individuals committing to improving their careers and seeking new opportunities after the holidays.

The first two months of the year are bumper months for recruiters, with reports showing the world is experiencing an ever-worsening crisis in employee engagement. 

According to a Gallup report, only 21% of employees are engaged globally, with the US having the highest (33%) and Europe having the lowest (14%). The report also found that disengaged employees cost the world a whopping $7.8 trillion in productivity—that’s equal to 11% of the world’s GDP.

In the Middle East, this issue is becoming of increasing concern across industries because—alarmingly—according to Gallup, only 15% of employees in the region are actively engaged at work, one of the lowest rates globally. 

SHIFTING ATTITUDES 

Signs of shifting attitudes increased after the pandemic, with the Middle East Workforce Hopes and Fears survey of 2023 revealing younger workers were getting vocal about better pay and job satisfaction. And they’re not afraid to move on if they don’t find it.

Experts say there are three primary types of employee engagement: affective, behavioral, and cognitive. 

Affective engagement centers on employees’ emotional connection towards their job and organization, influencing their loyalty. Behavioral engagement reflects their actions and commitment level, while cognitive engagement focuses on their mental investment. Together, these types create a comprehensive picture of how effectively employees connect with their work and organization.

Analysts have long known that employee engagement is crucial for organizational success; engaged employees are more likely to contribute positively to the workplace, enhancing productivity and morale.

So, where are modern companies going wrong in keeping staff happy?

According to Shelley Bosworth, a renowned business and mindset coach, the number one reason for low employee engagement is when team members don’t feel their opinions are being heard by senior leadership. 

“When people can’t speak up and voice their concerns, they quickly become disengaged. This can be amplified in places like the UAE, where so many diverse cultures work together in organizations, all with different attitudes and confidence levels around communication,” she explained.

“Some cultures – and some people in general – are far less likely to let their voices be heard in front of authority figures. This is why taking the time to understand individuals’ communication styles and encouraging a culture of open communication is so important for everyone’s benefit and the benefit of the business.”

Some experts do not support the idea that the Middle East has a particular workforce shortage in this area. 

Kristina Vaneva, a noted HR industry leader based in Dubai and author of Beyond Employee Engagement, is skeptical of sweeping surveys and feels they too often tell a one-sided story.

“In the case of the Gallup annual engagement survey, the report combines countries from the MENAT region, which can be tricky because one can see that several counties are dragging the scores down. This could be due to geo-political reasons,” she says.

EMBRACE PRACTICAL WAYS

However, she agrees that employers should embrace practical ways of creating a positive work environment where staff feel heard and valued.

“Honest and fear-free internal communication is essential to build trust and transparency. This must be supported by introducing an employee listening journey with surveys, focus groups, town halls with Q&A moments, HR roadshows, exit interviews, and other opportunities to connect and gain feedback. And most importantly, you should act on the feedback and let employees know what you are doing.”

According to recent research by data firm ActivTrak, several key factors contribute to low employee engagement within organizations. 

It says a lack of clear goals or vision can leave employees feeling adrift. Employees must understand the company’s direction and how their contributions fit the bigger picture. 

Micromanaging is another significant issue – overbearing supervision that stifles creativity and undermines employees’ sense of autonomy.

The research also found that when opportunities for meaningful advancement or recognition are limited, motivation soon diminishes. 

Excessive workloads or relentless deadlines exacerbate the problem, as constant pressure without adequate support can lead to burnout. 

Lastly – and the source of much heated online debate – inflexible work arrangements that hinder the balance between work and personal life can cause major job dissatisfaction.

TRUE BACKBONE OF BUSINESS

Stephanie Hughes, who runs the Dubai company Northstar Marketing, says that CEOs in the region must realize that the true backbone of any successful business is its people.

“Without a motivated and supported workforce, survival’s almost impossible, no matter what your business is. Post-pandemic, employees have recognized their worth and are reclaiming power, demanding flexibility in working hours and locations. The days of rigid office-based structures are behind us,” she says.

“Additionally, companies need to address the realities of working parents. Balancing school runs, child sick days, and family commitments is a daily challenge, and businesses that support these needs will be the ones that thrive. Why can’t we introduce job-sharing here? Not everyone wants to work full-time, and embracing part-time or shared roles could tap into a highly skilled yet underutilized workforce,” she adds.

Echoing the sentiment of flexibility, Fatema Ali, a Communications Director working in Dubai’s real estate sector, says that companies sending employees back to the office full-time post-pandemic is a sore spot for many.

“Increased traffic means longer travel times to and back from work, which can harm life and personal commitments – sadly, there’s a lack of recognition of the seriousness of this issue. Plus, the everyday distractions in offices harm productivity and deep work in many cases anyway, so it’s a lose-lose situation.”

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