The truth about workplace performance
With workplace policies constantly shifting—return-to-office mandates, hybrid models, and the remote work debate—it’s easy to feel like we’re all experiencing whiplash. While headlines often focus on where employees work, the more important question is how these changes impact engagement and performance, and ultimately, how to best position the organization for sustained success.
The latest ADP People at Work 2025 Report sheds light on these dynamics, revealing key trends for HR and communication leaders. These findings serve as both a temperature check and a call to action.
Engagement is on the rise—but any celebration may be premature
Employee engagement is at a 10-year high, with 1 in 5 workers globally and 1 in 4 U.S. employees reporting full engagement. That’s progress. But it also means the majority of employees still aren’t engaged. Imagine the potential impact to your bottom line if engagement were the norm rather than the exception.
If 1 in 4 U.S. workers is fully engaged, that still leaves 3 out of 4 employees who aren’t. That’s a massive gap, and a massive opportunity to drive productivity, retention, customer service and innovation.
This isn’t just about employee satisfaction. It’s about enabling business outcomes.
The hybrid advantage may not be as clear as it seems
One of the most attention-grabbing findings from ADP’s report is the connection between where work is done and engagement.
Among U.S. workers, this is the breakdown of who says they are full engaged:
- 31% of hybrid employees
- 24% of on-site employees
- 16% of fully remote employees
In other words, hybrid work is hitting the engagement sweet spot.
While it may be tempting to declare hybrid the best model, the reality is more nuanced. Each workplace model presents unique challenges and opportunities. And here’s where it gets tricky.
The key to unlocking that engagement potential isn’t about declaring a winning model. It’s about making the model you choose work for you. It’s about creating a work environment that fosters a positive employee experience for your employees. All of which hinges on building trust and collaboration with the people they work with.
What drives engagement? High-performing teams.
At the heart of this conversation is a fundamental truth: Engagement doesn’t live in policies. It lives in teams.
High-performing teams are the real engine of engagement. They are where culture is lived, trust is built and accountability is shared.
One of the biggest risk factors is investing heavily in defining a return-to-office, hybrid or remote strategy, but leaving people managers to figure out the rest on their own.
That’s a missed opportunity. The smarter workplace strategy is one that recognizes the central role of people managers and gives them what they need to consistently create positive, collaborative team experiences—regardless of physical location.
Internal communication is a key enabler
For HR and communication leaders, the ADP research confirms what many of us have long believed: Communication isn’t just a support function—it’s a strategic driver of engagement.
But communication in today’s workplace has to evolve.
It’s not enough to send out a one-size-fits-all email or update the intranet. Communication strategies must be:
- Tailored to different work models
- Equipped to reach and activate managers
- Built for two-way dialogue
- Focused on purpose and connection
In short, the best approach is a strategic integrated approach to communication that is intentional and multilayered to make it both relevant and impactful.
Call to action for HR and communication leaders
If engagement is rising, now is the time to continue to build that momentum. And if hybrid is proving to be a sweet spot, now is the time to make it more intentional and inclusive.
Here’s where to start:
- Audit your current communication strategies. Are they aligned with how your teams actually work today? Do they reinforce clarity, connection and culture? Do they build alignment to business goals and a shared sense of purpose?
- Invest in manager enablement. The most effective engagement strategies start at the team level. Give your managers the support they need to lead with confidence, communicate impactfully and build trust. Learn what that looks like by talking with them and understanding their pain points, what is working and where communication support is falling short.
- Create feedback loops and measure what matters. The power of communication is not in open rates or views. It’s about always leading with the why. Use the following questions to inform your communications: What does the communication need to accomplish? What business goals does the communication support? How can you gather the quantitative and qualitative to measure the impact of your communication to understand what is working and where communication may be falling short?
Leading through change
The conversation about where work happens is far from over. But as HR and communication leaders, we have an opportunity to reframe that conversation by shifting the focus from location to experience.
Because at the end of the day, employees don’t want just flexibility. They want to feel supported. Connected. Valued.
When we meet that need—through thoughtful, strong management and high-performing teams—we don’t just adapt to change. We lead through it.
