We know that historically the stock market is a leading indicator of how the economy is doing. But who knew that employee engagement was a link in this chain?
Apparently, Quantum Workplace, a market research company focused on engaged employees, knows, as their press release from today explains. (Quantum Workplace has surfaced on this blog recently in connection to Google's algorithm to predict who on their payroll will factor into their turnover.)
The Nebraska-based firm's release today cites research it conducted among over 6,000 companies over a two-year period which finds that "employee engagement is capable of predicting directional movements of the Dow Jones Industrial Average four months ahead of time." Says Quantum Workplace President Greg Harris,
[I]f our Engagement Index is up in June, there's an 83% probability that the Dow will be up four months later -- in October. To our knowledge, this relationship has never been discovered before.
Their research provides further validation that engagement activities that boost workplace team building lead to both more productive businesses and a stronger overall economy. Visit this page on our site for more studies that address this link.
What thoughts do you have on this finding?
Image credit: Investing School
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