goHappy, the frontline employee engagement solutions provider, has published a compelling connection between employee engagement and turnover. Based on survey responses from 46,250 frontline workers in the U.S. and Canada, the Q1 2025 State of the Frontline Worker report shows that organisations with extremely engaged employees have significantly lower turnover compared to less engaged organisations.
The findings illustrate that organisations that concentrate on employee engagement not only enhance workplace morale but also strengthen their bottom line. With the Society for Human Resource Management (SHRM) estimating the price of recruitment for a new employee at $4,700, the dollars on the table are clear.
The figures show that businesses with engagement scores over 75% enjoy a rolling turnover rate of just 85% in 12 months—a 14% decrease from the whopping 99% overall customer turnover rate.
But the report reveals a grim reality: only 64% of front-line employees report that they are engaged, creating a whopping turnover crisis. The food industry, indeed, has some unique challenges to tackle, with only 59% of employees reporting that their managers lead by example, compared to 72% of workers in other industries. Also, trust is lacking; only 63% of employees report that their managers foster a trusting work culture.
Due to these numbers, goHappy stresses the power of leadership to influence the work experience. The report offers practical tips for improving engagement, including the promotion of open dialogue, the recognition of employees’ successes, and leadership investment.
“When frontline workers feel valued, connected, and supported, they not only help businesses combat high turnover rates, they’re also more productive, and drive stronger customer satisfaction and workplace culture,” said Shawn Boyer, founder and CEO of goHappy.