Flatlined Engagement: Why Culture Must Come First

Gallup’s midyear 2025 employee engagement report confirms what many of us are already seeing: U.S. employees remain emotionally detached from their organizations. Engagement is stalled at 32% - barely higher than the 30% low point in 2024. Meanwhile, more than half of employees are actively watching for their next opportunity, costing the U.S. economy an estimated $2 trillion in lost productivity.

These numbers aren’t just statistics. They’re signals that leadership strategies must evolve. Gallup highlights four themes that explain why employees feel disconnected:

• Organizational Culture – belonging, autonomy, wellbeing, values
• Leadership Transparency – communication, stability, vision, visibility
• Resource Investment – compensation, staffing, tools, systems
• Performance Management – development, accountability, recognition

All four matter. But if I had to choose a starting point, it would be organizational culture.

Why Culture Comes First

Culture isn’t a perk or an afterthought. It’s the daily experience of employees - how they feel about their team, whether they trust their leaders, and if their work connects to something bigger than themselves.

Without a supportive culture where employees genuinely care about one another and the work they do, other initiatives struggle to gain traction. Transparent communication falls flat if trust isn’t there. Investment in tools feels hollow without a sense of belonging. Performance management feels mechanical if recognition isn’t grounded in authentic relationships. I’m not saying that as soon as a positive work culture is created everything else takes care of itself, but I am saying the rest of the work and initiatives will be done faster, better, and even cheaper when a strong culture exists first.

How Leaders Can Strengthen Workplace Culture

The good news: leaders can take immediate, practical steps to build culture that supports engagement. Here are a few starting points:

• Be intentional about connection. Create consistent opportunities for colleagues to get to know one another, whether through structured team check-ins or informal shared routines.
• Use CliftonStrengths to build trust. Learning and acknowledging the strengths of teammates is a powerful way to foster connection. Guided by a certified coach, this process gives colleagues a structured and comfortable way to appreciate one another’s unique contributions — building trust without forcing vulnerability too quickly.
• Start small with vulnerability. Don’t launch a new team with icebreakers that force uncomfortable sharing. Begin with light, safe ways for people to reveal who they are. With consistency, trust builds — and deeper conversations follow naturally.
• Make culture visible. Reinforce values in everyday language, not just on posters or in onboarding. Recognize behaviors that align with the mission and highlight them in meetings.
• Prioritize consistency. Culture doesn’t form in a single event. It’s built through repeated, intentional actions that create predictability and safety.

The Impact

When employees feel connected to their workplace culture, they bring more energy, creativity, and commitment to their roles. Teams collaborate more effectively. Leaders build trust that carries them through uncertainty. And organizations see real business outcomes in retention, productivity, and customer loyalty.

The Gallup report reminds us: leadership today is more complex than ever. But complexity is not an excuse for inaction. The starting point is clear: invest in culture, and the rest has a foundation to grow.