Employee Engagement Is at a 15-Year Low. What Can Employers Do to Help Employees Feel Valued?

New research from Gallup reveals a troubling decline in employee engagement. Here's what the findings mean for HR leaders and how meaningful recognition can help strengthen workplace connection in 2027.

Employee engagement in the United States has fallen to its lowest level in 15 years.

According to new research published by Gallup on October 28, 2026, just 29% of U.S. employees are engaged at work.

Even more concerning? Only 37% strongly agree that their supervisor or someone at work cares about them as a person.

Think about what that means.

Millions of employees work, attend meetings, serve customers, and complete projects without feeling that anyone at work genuinely cares about them.

For HR leaders, that's a wake-up call.

Employee engagement isn't just about productivity, performance, or whether people enjoy their jobs. It's also about connection, communication, belonging, and feeling that your contributions matter.

There isn’t a single solution to declining engagement, but companies need to take a hard look at their efforts and ask:  Are we doing enough to make employees feel seen, valued, and appreciated?

As companies close out 2026 and plan for 2027, this research offers an opportunity to rethink how employee recognition fits into the broader employee experience.

What Is the State of Employee Engagement in 2026?

Employee engagement in the United States declined to 29% in the third quarter of 2026, according to Gallup. That's the lowest level recorded since 2011 and a two-percentage-point decline from the previous quarter.

Gallup's findings paint a concerning picture of the American workplace:

• 29% of employees are engaged at work.
• 53% are not engaged, lacking a strong psychological connection to their work and employer.
• 18% are actively disengaged, up from 17% in the previous quarter.
• 37% strongly agree that their supervisor or someone at work cares about them as a person.
• 46% strongly agree that they know what's expected of them at work.

Gallup also found that engagement declined most sharply among remote and hybrid employees, particularly at organizations adopting artificial intelligence.

The research highlights challenges involving communication, clarity of expectations, and manager support as workplaces navigate change.

There are major implications for HR leaders. 

Employees need to understand what's expected of them, feel supported by their managers, and know that their contributions matter.

Why Are So Many Employees Feeling Disconnected at Work?

Employees disengage for many reasons: unclear expectations, poor management, limited growth opportunities, constant organizational change, or a lack of connection with colleagues.

The percentage of employees who strongly agree that someone at work cares about them as a person declined from 40% in the first half of 2026 to 37% in the third quarter.

That's also well below the 47% recorded in March 2020.

What does this tell us about what employees want? 

They want to know that their efforts are noticed, their contributions are meaningful, and they're valued as individuals.

This can be especially challenging in workplaces where employees are spread across offices, homes, countries, shifts, and job functions.

A remote employee might rarely see colleagues in person. A frontline employee may not have regular access to company leadership. A manager overseeing multiple locations may struggle to recognize employees consistently.

When organizations prioritize deadlines, new technology, or business challenges, appreciation often becomes an afterthought rather than a consistent practice. 

This means that employees may be doing important work without regularly hearing that their efforts matter.

What Is the Employee Appreciation Gap?

Gallup isn't the only research organization finding a disconnect between employees and their workplaces.

Snappy's 2026 Holiday Gifting Report, based on a September 2026 survey of 1,500 full-time U.S. employees, explored how employees experience appreciation, recognition, and workplace gifting.

The findings reveal a significant employee appreciation gap.

61% of employees say they haven't felt genuinely appreciated by their company within the past month.

Sadly, 28% can't remember the last time their company made them feel genuinely appreciated, or say it has never happened.

That leaves many employees working without recent, memorable recognition from managers, colleagues, or leadership.

Employees are paying attention.

When asked what had become more important to them over the past year:

• 56% said feeling appreciated by their employer.
• 55% said feeling like their work matters.
• 46% said feeling confident about their job security.
• 40% said they have opportunities to grow.
• 36% said they feel connected to coworkers.

These findings reinforce an important point: appreciation isn't simply a nice extra in the employee experience.

It's something employees value.

Gallup and Snappy asked different questions of different survey populations, so their findings shouldn't be treated as directly comparable. Together, however, they highlight the importance of understanding whether employees feel supported, recognized, and connected to their organizations.

Why Does Employee Recognition Matter for Engagement?

Employee recognition is the acknowledgment of employees' contributions, achievements, milestones, and efforts. When it's meaningful and consistent, recognition can reinforce positive behaviors, strengthen workplace relationships, and help employees feel valued.

Recognition can take many forms.

A manager might thank an employee for helping a colleague through a challenging project. A company might celebrate a work anniversary, recognize a major accomplishment, or send a thoughtful gift to acknowledge a job well done.

Snappy's 2026 research found that employees associate thoughtful workplace gifts with meaningful messages about their relationship with their employer.

Among employees who received a workplace holiday gift:

• 69% said it communicated that their work was valued.
• 65% said it communicated that their employer appreciated them as a person.

Those findings help explain why thoughtful recognition can be an important component of a broader employee engagement strategy.

Of course, recognition cannot replace effective leadership, fair compensation, career development, clear communication, or a healthy workplace culture.

And employee-reported benefits from recognition shouldn't be confused with proof that gifting alone causes higher engagement.

But recognition can help reinforce something that every organization should want its employees to understand:

Your work matters, and so do you.

How Can Employers Make Employees Feel More Valued at Work?

Making employees feel appreciated requires intention, consistency, and an understanding of what makes recognition meaningful to different people.

Here are seven practical ways HR leaders can strengthen appreciation across their organizations.

1. Make recognition a regular part of the employee experience

Recognition shouldn't happen only during annual reviews, Employee Appreciation Day, or the holiday season.

Employees contribute to their organizations every day, and appreciation should reflect that.

Encourage managers to recognize employees for meaningful contributions throughout the year, including:

• Completing challenging projects
• Supporting colleagues
• Delivering exceptional customer experiences
• Demonstrating company values
• Reaching personal or professional milestones
• Going above and beyond during particularly demanding periods

Regular recognition reinforces that appreciation is part of the workplace culture, not simply an occasional event.

2. Empower managers to recognize employees

Managers play an essential role in shaping how employees experience their workplace.

They're often the people best positioned to notice the contributions that might otherwise go unrecognized.

But managers need the tools, resources, and authority to act.

Consider giving managers dedicated recognition budgets, clear guidelines, and simple ways to acknowledge employees without navigating lengthy approval processes.

For example, a manager might send a personalized gift to recognize an employee who helped the team meet an important deadline.

The goal is to make thoughtful recognition something managers can do consistently, not something they need to plan.

3. Make recognition personal

Employees aren't interchangeable. Their recognition experiences shouldn't be either.

Some employees appreciate public acknowledgment. Others prefer a private message from their manager.

Some value an experience, while others might appreciate a practical gift, a development opportunity, or additional flexibility.

Personalization starts with understanding employees as individuals.

According to Snappy's 2026 Holiday Gifting Report, 43% of employees say a good workplace gift is one that feels personal to them. Another 36% say it's something they genuinely want.

And nearly half of employees, 49%, report receiving an employer gift that made them feel like the company didn't really know them.

That's why recipient-choice gifting can be a valuable approach.

Rather than assuming every employee wants the same thing, companies can create a consistent gifting experience while giving individuals the flexibility to choose something meaningful to them.

4. Recognize employees wherever they work

Recognition programs need to reach everyone, not just employees who work in a central office or interact regularly with leadership.

Remote employees, hybrid teams, frontline workers, and employees across multiple locations may have different schedules, communication channels, and access to company events.

A recognition strategy should account for those differences.

For example, organizations can:

• Use digital recognition experiences to reach employees across locations.
• Equip frontline managers to acknowledge employees working different shifts.
• Celebrate accomplishments across distributed teams.
• Offer flexible gift options that accommodate different interests and locations.
• Ensure employees without corporate email addresses aren't excluded from recognition programs.

5. Celebrate meaningful moments, big and small

Workplace recognition doesn't always need to be tied to a major business accomplishment.

Some of the most meaningful opportunities are personal milestones and everyday moments.

Think about welcoming a new employee, celebrating a work anniversary, acknowledging a promotion, or recognizing someone who helped a teammate.

These experiences can help employees feel connected to the people and culture around them.

Organizations can also use employee gifts to make important moments more memorable.

A thoughtful gift, accompanied by a specific message of appreciation, can create a tangible reminder that an employee's contribution was noticed.

6. Ask employees how they want to be recognized

One of the simplest ways to improve recognition is to ask employees what meaningful appreciation looks like to them.

That might include questions such as:

• Do you prefer public or private recognition?
• Which accomplishments or milestones would you like your organization to celebrate?
• What types of recognition feel most meaningful?
• Do you feel your contributions are noticed?
• How could your manager better acknowledge your work?

Gathering feedback helps HR leaders design programs around actual employee needs rather than assumptions.

It also creates an opportunity to identify groups that may be receiving less recognition than others.

7. Measure whether recognition is making a difference

A recognition program shouldn't be measured only by the number of awards distributed or gifts sent.

HR leaders should also consider whether employees feel more appreciated and whether recognition is reaching people consistently.

Useful measures include:

• Employee perceptions of appreciation and belonging
• Recognition participation across teams and locations
• Manager participation
• Employee feedback on recognition experiences
• Engagement survey results over time
• Retention and turnover trends

Look for patterns across departments, roles, managers, and work arrangements.

If employees in one location consistently report feeling less appreciated, that may be a signal to examine how recognition is being delivered.

Can Employee Gifts Improve Motivation and Engagement?

Thoughtful employee gifts can support recognition and motivation by helping employees feel appreciated. 

Snappy's 2026 Holiday Gifting Report found that 78% of employees say receiving a thoughtful year-end gift would make them feel more motivated heading into the new year.

Among employees who received a thoughtful holiday gift, 71% said it increased their job satisfaction.

Of those employees, 66% said the increase lasted three months or longer.

Those are meaningful self-reported outcomes, particularly for organizations planning employee engagement initiatives for the year ahead.

The research also highlights why the thought behind a gift matters.

Employees want to feel that recognition reflects who they are, not simply that their names were included on a distribution list.

A generic gift may fulfill an obligation. A thoughtful, personalized experience can communicate a much more meaningful message.

While employee appreciation gifts are only one component of an effective recognition strategy, they can help organizations turn appreciation into something employees can experience and remember.

Why Is Year-End a Good Time to Strengthen Employee Recognition?

The end of the year offers organizations a natural opportunity to recognize what employees have contributed and reinforce their importance to the company's future.

Employees have spent months helping their organizations serve customers, solve problems, launch initiatives, support colleagues, and achieve business goals.

Before moving directly into next year's priorities, organizations have an opportunity to acknowledge that work.

Snappy's 2026 Holiday Gifting Report found that 84% of employees want to receive a holiday gift from their employer, but only 57% currently receive one.

That's a 27-percentage-point gap between employees who want this form of recognition and those who receive it.

Year-end appreciation can help organizations close that gap.

But the opportunity shouldn't end when the holiday decorations come down.

Companies can use December recognition as a starting point for a more consistent approach throughout the year.

A thoughtful holiday gift might acknowledge an employee's contributions in 2026.

A January kickoff might celebrate the team's accomplishments and establish new goals.

A manager-led recognition program can help sustain that appreciation through the months that follow.

Together, those moments can reinforce a culture where recognition isn't reserved for special occasions.

It's part of how the organization operates.

How Can HR Leaders Build a Stronger Recognition Strategy for 2027?

As organizations prepare for 2027, employee recognition deserves a place alongside broader priorities for engagement, retention, leadership development, and workplace culture.

Start with five questions:

1. Do employees feel appreciated today?

Use employee surveys and feedback to understand whether recognition is reaching employees and where gaps exist.

2. Are managers equipped to recognize meaningful contributions?

Give managers the guidance, budgets, and tools to acknowledge employees consistently.

3. Is recognition inclusive and accessible?

Consider whether programs reach employees across different locations, roles, shifts, and work arrangements.

4. Does recognition feel personal?

Create opportunities for employees to receive appreciation that reflects their contributions, interests, and preferences.

5. Are we measuring what matters?

Look beyond participation and examine how employees perceive recognition and their connection to the organization.

These questions can help HR leaders move from isolated recognition activities to a more intentional employee experience strategy.

They can help ensure appreciation remains a priority long after the holiday season.

Make Appreciation Part of the Employee Experience

Gallup's latest findings are a reminder that employee engagement deserves serious attention.

When only 29% of employees are engaged, and just 37% strongly agree that someone at work cares about them as a person, organizations have an opportunity to examine how they're supporting and connecting with their people.

There is no single program, initiative, or gift that can solve employee disengagement.

But making employees feel appreciated is an important part of building a workplace where people feel connected, supported, and valued.

That starts with everyday actions: acknowledging contributions, celebrating milestones, empowering managers, and making recognition meaningful to the individual.

As organizations close out 2026 and look ahead to 2027, the question isn't simply how to improve employee engagement scores.

It's how to create an employee experience where people know their contributions matter.

Feeling valued at work shouldn't be the exception. It should be the expectation.

Explore how Snappy helps organizations recognize employees with personalized gifts and meaningful moments of appreciation.

Research Sources and Methodology

Gallup: Jim Harter, U.S. Employee Engagement Below 30% for First Time in 15 Years, published October 28, 2026. Findings reflect U.S. employee engagement in the third quarter of 2026. Read Gallup's research.

Snappy: 2026 Holiday Gifting Report, based on a September 2026 survey of 1,500 full-time U.S. employees examining workplace appreciation, recognition, holiday gifting, and employees' perceptions of their employers. Findings are self-reported. Read the full report.

The two studies use different samples and measures. Their findings are presented as complementary perspectives, not as evidence of a direct statistical or causal relationship.

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