0345 646 5201
“Quiet cracking” is the latest in a growing line of workplace trends to make headlines – following in the footsteps of “quiet quitting,” “resenteeism,” and “rage applying.” But what exactly does it mean, and should you be concerned?
In short, quiet cracking describes the moment an employee begins to mentally check out. They may still show up and get through the day, but the signs of disengagement are starting to show – a drop in productivity, less collaboration, or a general lack of motivation. It’s the slow unravelling of someone who’s no longer invested in the business or their role.
And it’s costing your business significantly.
Whether or not you buy into these labels, the fact that we’ve coined so many terms to describe essentially the same issue – falling employee engagement – should be a warning sign. The reality behind the buzzwords is stark: engagement is down, retention is down, productivity is under pressure, and the cost of employment continues to rise.
The real cost of disengagement
Whether or not these terms strike a chord with you, the underlying issue is undeniable. Recent research paints a concerning picture:
- According to figures published in the Times, only 10% of UK employees are engaged at work, with the remaining 90% either not engaged or actively disengaged.
- This widespread disengagement is estimated to cost the UK economy over £257 billion annually in lost productivity, according to Gallup research
- On an individual level, a disengaged employee can reportedly cost approximately 18% of their annual salary due to factors like absenteeism and reduced productivity
These figures underline the fact that disengagement is a significant financial issue that impacts the bottom line and something which needs to be addressed at every level of an organisation – not just left to HR to “fix.”
The value of engagement
These figures paint a stark picture, but as People Director Heather Melville points out, it’s important to look at the flip side – when employees are engaged and productivity is up, what do you stand to gain?
According to Gallup, engaged employees outperform disengaged ones by 147%, making engagement a critical factor in business success.
Well-trained leaders have been proven to have a significant, positive impact on business performance in the form of:
Increased Return on Investment (ROI):
– According to a 2021 study by Deloitte, organisations investing in leadership development see a substantial return on investment, often exceeding 200%, from factors including reduced turnover costs, increased productivity, and enhanced innovation capabilities.
Higher Revenue per Employee:
- An analysis of Fortune 500 companies revealed that those with robust leadership development programs achieved 37% higher revenue per employee compared to companies without such initiatives
Increased Profit Margins:
- Companies with strong leadership development programs maintain higher profit margins, particularly during economic downturns.
- A 2022 McKinsey study showed that companies with well-developed leadership programs are 3.5 times more likely to outperform their competitors
These figures show clearly what can be achieved when engagement and productivity are up – if your people are aligned, prepared and on board with achieving your goals, you stand a much higher chance of smashing those targets.
So what can you do about it?
Tackling quiet cracking – and the wider engagement challenge – requires more than a sticking plaster. Perks like free snacks or a wellbeing webinar might lift the mood temporarily, but they won’t address the root causes of disengagement. Long-term change starts with a clear people strategy, embedded in the wider business plan.
Here are some practical places to start:
- Monitor engagement: Don’t wait until people burn out or hand in their notice. Use engagement software like Wotter or similar platforms to take a regular temperature check and spot early warning signs. If you’re not measuring engagement already you won’t be able to gauge the impact of your improvements either, so it’s worth looking at your options here to identify the right solution for your business.
- Create effective feedback loops: Anonymous feedback platforms, employee resource groups and improved management and leadership development can all be effective ways to ensure your people have an opportunity to communicate how they’re feeling without fear of negative repercussions. Without this sense of psychological safety, chances are your people will already be feeling disengaged, and you won’t have a clue it’s happening or how to improve things.
- Invest in the employee experience: From onboarding to offboarding, every interaction matters. Are your people supported, developed, and recognised in a meaningful way? Have you invested in proper management training for your middle managers to help them develop and manage teams properly? Have you assessed the effectiveness and popularity of your reward and recognition schemes? What are you doing about diversity and inclusion policy? All these things contribute to a positive employee experience – and it all starts with your leadership team.
- Actively and intentionally build the right culture: Your company culture has more impact on employee engagement than almost any other aspect. How people feel about the business, their colleagues and their role has a huge effect on engagement, productivity and performance. But great culture is not accidental – especially while a business is growing, it must be actively and intentionally built and embedded.
- Review your EVP: Is your Employee Value Proposition clear and compelling? Does it reflect what today’s workforce actually values? Are you communicating it in a way your people can relate to and appreciate?
- Reward and recognition: People don’t expect medals for doing their jobs, but they do want to feel seen and appreciated. Tailored, timely recognition makes a difference so be sure to foster a culture of recognition and celebration of successes. Regularly benchmark your reward and remuneration schemes and consult your people on what they actually want – and listen to what they say.
- Develop your leadership capabilities: The stats above clearly show the correlation between great leadership, employee engagement and business performance, so don’t leave your leadership development to chance. And that’s not just about developing your existing leadership team – it’s also about spotting and developing the leaders of the future so your career pathways and development programmes are clear, visible and motivational.
- Ask – and listen: Simple, but often overlooked. Create space for honest conversations and act on what you hear. Things like “stay” interviews can be an effectively pulse check on the how people are feeling in their roles – don’t wait for it to become an exit interview. As People Director Kerry Howard says, “For me, honest conversations are the most powerful intervention. I favour this direct approach over and above surveys, especially for individuals. For bigger groups, focus groups and surveys can be effective. But don’t ask unless you really want to know – if you ask, you need to be in a position to really listen, ad then to take some action.”
Ultimately, if people planning isn’t on your leadership agenda, then don’t be surprised if engagement slips through the cracks. Any business is only as strong as its people – so it will always pay to invest in yours strategically, not just reactively.