The Relationship Between Employee Engagement and Human Capital Performance

The Ontario Hospital Association has published this report, which summarizes findings from the OHA exploratory research project conducted with three pilot hospitals (one acute teaching, one community, and one small). The project examines the relationship between employee engagement and several key human resources (HR) metrics. This is the first attempt by the OHA to link data from two of its major HR data initiatives: the OHA‐NRC Picker Employee Experience Survey and the OHA‐PricewaterhouseCoopers Saratoga HR Benchmarking Survey.

– The project developed a methodology for accurately comparing Employee Experience Survey engagement data with human capital metrics from hospital administrative data at the department level.
– It also identified three HR metrics – the full-time resignation rate, average sick days per full-time employee, and management span of control – which do appear to be related to employee engagement levels at the department level.
– This research will provide HR leaders with support to build the case for making investments in employee engagement. It appears that there are real costs associated with higher absence and resignation rates when engagement is low.
OHA report PDF