![]() That means a disengaged employee who makes $70,000 annually costs their organization $23,800 a year.īy presenting this offer, Amazon is able to weed out disengaged employees, says Burchell. According to Gallup, an actively disengaged employee, someone who is unhappy and unproductive at work, costs their organization $3,400 for every $10,000 of salary, or 34 percent. ![]() ![]() On the flip side, disengaged workers are more likely to accept the offer, says Burchell, and these types of employees cost organizations a substantial amount of money. An analysis by Gallup found that teams with high employee engagement have 21 percent higher productivity than their counterparts, while research from UNC Kenan-Flagler Business School found that companies with highly engaged employees have an average three-year revenue growth 2.3 times greater than organizations whose employees are engaged at an average level. This makes them more engaged, more productive, and ultimately boosts Amazon's bottom line. In effect, employees who decline the offer are psychologically "signing on the bottom line" and recommitting to the company, says Burchell. "It helps to frame the employer/employee bargain or that psychological contract." "If you choose to actually not take the money and you choose to stay, it means that you're committed to the organization and committed to your work," says Burchell. While Pay to Quit may not necessarily push employees to work harder, he says, it does address the issue of commitment to stay. Burchell says that employee engagement tends to be about two things: commitment to stay and discretionary effort. ![]()
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