Employee experience isn't just a buzzword - its a business necessity. In 2025, as workplaces evolve, EX is at the center of keeping employees engaged, productive, and loyal.

Done right, it transforms organizations, driving everything from retention to revenue.

But what exactly does “employee experience” mean, and how can you master it?

Let's explore.

What is employee experience?

Employee experience (EX) is the emotional connection to the workplace. It's shaped by interactions with people, processes, policies, and even technology.

Envision the entire employee lifecycle. This covers everything from recruiting to onboarding, employee success conversations to career advancement, and, eventually, off-boarding. 

The employee experience lifecycle from acquire to off-board.

What is it like for an employee to go through that process at your organization? 

The way an employee experiences each of those steps shapes the perception they have of their employer. Does the organization care about them? Can managers be trusted to tell the truth courageously? Does leadership follow through on commitments? Is there room to grow here? Do they feel safe? Connected? Is diversity really welcomed? Does leadership “rule with an iron fist” or embrace flexibility? 

Every day, people absorb the reality of what happens around them and to them. What they experience either builds — or erodes — the relationship to their workplace. 

So, what’s involved in supporting a great employee experience?

The four employee experience pillars

In a study of 600 workers, 93% said that the following four areas mattered to them more than anything else: 

  1. Connection. Employees want to feel connected to their coworkers, leaders, and the organization.
  2. Alignment. Clear expectations, alignment, and accountability inspire employees to succeed when they see how their work makes an impact.
  3. Appreciation. Recognize employees for their efforts. It boosts morale and drives higher performance.
  4. Growth. High performers thrive when they see opportunities to develop skills and advance their careers.

Why employee experience matters

In his 2017 book, The Employee Experience Advantage, Jacob Morgan explains that we’re currently watching “the next evolution of the workplace.” He’s talking specifically about the shift to prioritizing employee experience.

With five generations now active in the workplace, an always-on culture, and a hyper-competitive talent market, the working world is rapidly changing. We’ve evolved from a “get a paycheck” culture to one where employees want more from their jobs than salary and benefits. 

In the past, people were often seen as just tools for getting things done. They were expected to give up a lot in exchange for a steady paycheck and job security. Many stuck with the same employee for more than twenty years.

But that world is fading fast. 

Today’s workforce craves meaning in their jobs. They seek emotional connections with their work and value flexibility in where and when they work. They look for benefits that support their overall well-being, career growth, and recognition for their efforts.

Many are so serious about attaining this kind of employee experience that they’re leaving their current jobs (by the millions) to pursue a workplace that measures up. 

Offering a great employee experience truly is a holistic endeavor – not just in terms of the approach it takes to achieve it, but in terms of the benefits it provides.

A thriving employee experience doesn’t just keep people happy, it drives business outcomes: 

  • 20% increase in profitability
  • 5-10% increase in attendance
  • 10-20% improvement in retention
  • 7-14% boosts in customer metrics

Increasing employee engagement results in positive business outcomes.

Research shows that companies in the top quartile for EX achieve 3x the return on assets and 2x the return on sales compared to organizations in the bottom quartile.

That’s why winning companies like Google, LinkedIn, Apple, and Adobe focus on holistic EX strategies instead of one-off engagement programs.

The role of employee experience in talent retention

95% of workers said they were looking for a new job in 2024. 57% of workers would rather quit and 32% would rather ​get laid off from their job than work in a toxic workplace.

And as anticipated layoffs and furloughs decline, the majority of recruiters' strategies will shift their focus to retention over acquisition.

What’s the answer? To put it simply, put your employees at the forefront and build an employee experience that people want.

It's about caring for employees as whole people to:

  • nurture them through connection
  • share details about their impact on the organization
  • prioritize their personal and career growth
  • celebrate their accomplishments

All of this needs to happen in a workplace culture that appeals to employees.

How to assess your employee experience

So, how do you get a feel for how employees experience your organization?

Well… you ask them.

And you don’t have to reinvent the wheel to do it. WorkTango’s Surveys & Insights platform will help you determine the strength of the employee experience at your company. 

Common profiles of organizational employee experience

Imagine a workplace where employees are productive and truly inspired and aligned with your organization's mission.

When the pillars of EX come together, organizations thrive. When they don’t, challenges emerge. Here are four common profiles of organizational EX and how they impact performance:

  • Thriving: inspired and aligned
  • Off-course: inspired but unaligned
  • Bare minimum: aligned but uninspired
  • Surviving: unaligned and uninspired

Thriving

This is the dream! Here, people understand what's expected of them and there are opportunities to learn and grow. They feel well-connected: to each other, to their leaders, and to the organization as a whole. And they know their hard work is noticed and appreciated, which keeps them motivated and inspired to be their best.

The result? Happy employees, happy customers, and a thriving business.

Off-course

At first glance, off-course organizations might seem like fun places to work. Everyone gets along, they feel appreciated, and there's a good vibe. But there's a catch. People might be busy, but they're not always busy doing the right or most impactful things. There's a disconnect between their daily tasks and the overall goals of the company. The root of the issue is often a lack of leadership involvement, organization-wide focus, or internal communication.

The result? Wasted energy, missed opportunities, and the risk of losing valuable employees.

Bare minimum

These organizations get by, but just barely. Employees typically meet expectations, and the business runs. But dig a little deeper, and you'll find people who feel unappreciated, uninspired, and bored. They lack a sense of purpose. Often, this happens when leaders don't see the business case for employee experience, so they cut corners and pay the price.

The result? Stagnant teams, disengaged employees, and a culture that struggles to innovate.

Surviving

Organizations in the surviving profile are in tough shape. Employees are rarely aligned or inspired. They don’t know what’s expected of them, they don’t see opportunities for growth, and they don’t feel connected to the organization. Leaders often feel burnt out and stuck. 

The result? Low morale, high turnover, and a constant struggle to keep the doors open.

10 strategies to improve employee experience

How can organizations move from merely surviving to fully thriving? It starts with creating a workplace where people feel connected, valued, and inspired.

Let’s break it down. These actionable tips, drawn from over 2,000 employee experience surveys, align with the four employee experience pillars: connection, alignment, appreciation, and growth.

  1. Communicate core values early and often. Work your organization’s values into everything: onboarding, performance reviews, team meetings, and even social media. The more often they’re repeated, the more likely they’ll stick.
  2. Create opportunities for connection. Encourage team lunches, peer-to-peer feedback, or even virtual happy hours for remote workers. Pair new hires with onboarding buddies and promote cross-department collaboration to strengthen bonds.
  3. Listen and act on feedback. Use surveys, listening groups, and exit interviews to understand what your employees need. Then, take meaningful steps based on their input. Trust builds when employees see real change from their feedback.
  4. Show the impact of work. Recognize contributions across all levels – individuals, teams, and leaders. Celebrate wins publicly and often to create a culture of gratitude that flows in all directions. 
  5. Hold regular 1-on-1s. These conversations help employees build stronger relationships with managers, troubleshoot challenges early, and stay aligned on goals. 
  6. Connect contributions to the bigger picture. Show how employees’ efforts align with company goals and values. When people understand how their work impacts the organization, they feel motivated and engaged.
  7. Make recognition specific. Instead of a vague “great job,” follow the SMT formula. Describe exactly what the employee did and the impact it had: “Your quick thinking on X helped the team meet its Y deadline.” Take a moment to send a recognition to someone right now. 
  8. Recognize in real-time. Immediate feedback is far more impactful than a delayed thank-you. A well-time handwritten note, a shout-out in your employee recognition platform, or reward points paired with a genuine “thank you for…” makes people feel valued in the workplace. 
  9. Create clear paths for career advancement. Help employees understand what it takes to move up by defining roles, setting expectations, and ensuring fairness in promotions. It fosters a sense of fairness and avoids frustration.
  10. Offer diverse growth opportunities. Growth isn’t just about climbing a ladder. Provide mentorships, job shadowing, stretch assignments, or lateral moves to expand employees’ skills and experiences. Lunch-and-learns or structured training programs also keep development engaging and accessible.

What is an employee experience platform, and how does it help?

Did you know that HR departments typically utilize 22 different tools simultaneously to support all the facets of the employee experience? Yikes — that sounds exhausting! If your organization is in that boat, it might be time to think about streamlining.  

But how do you consolidate? 

The answer is an employee experience platform. An employee experience platform is designed to help HR leaders and managers facilitate all or most aspects of employee experience from a single partner.

A robust platform should be simple, intuitive, fun, highly customizable, and able to supply the data and insights that drive employee engagement. Here’s a short sample of how a platform helps boost employee success.

How an employee experience platform changes the game

Simplicity 

Having everything in one place alleviates stress for employees and managers, reduces login fatigue, mitigates security risk (think about having to close every single account for an off-boarding employee), and boosts program adoption rates. 

Strategically interwoven information

Thirty-two percent of respondents to a recent Harvard Business Review survey reported that the disconnect between employee engagement and employee success systems was one of the biggest barriers to getting value from organizational investments in employee engagement. When data-driven insights are all in one place, the accuracy and ease of employee success processes improve. That’s good news for equity, transparency, and reduced burden on managers. 

Keep people connected 

An employee experience platform allows individuals to interact at any time and from any place – across teams and locations to give recognition and praise. This is huge for remote workers in particular, who might otherwise feel like they're missing out. 

Boost culture

As the world of work changes, we have to find new spaces for creating valuable company culture. An EX platform allows employees to nominate co-workers for awards. It provides a way to offer incentives in support of all kinds of activities from professional development events, to social activities, to wellness initiatives, to all-hands meetings. You can rally your culture around Recognition & Rewards — all in one space.

And that’s just the beginning! To get the full list of what using an employee experience platform can do for an organization, check out How an Employee Experience Platform Powers Your Company.

The manager's role in the employee experience

Managers have an outsized impact on the employee experience. They can account for an up to 70% variance in employee engagement scores.

It’s often said that people don’t leave bad jobs; they leave bad managers. The flip side is just as true: great managers are a key reason people stay.

What does it take to be the kind of manager who fosters a thriving employee experience? Here’s how managers make a difference throughout every stage of the employee lifecycle.

1. The power of first impressions

From the first day on the job, managers play a critical role in welcoming employees. Whether it’s facilitating introductions to the team, walking new hires through policies and tools, or creating personal connections, managers set the tone for a successful onboarding.

With organizations investing thousands in every new hire, it’s vital to give them a start that inspires them to stay.

The goal is to help newly onboarded employees feel confident, connected, and excited to contribute from day one. A strong start significantly boosts retention and engagement. 

2. Build trust through regular check-ins

Consistent 1-on-1s and quarterly performance reviews ensure employees have clear goals, timely feedback, and the resources they need to succeed.

Great managers act as partners and coaches, helping employees remove roadblocks and balance autonomy with guidance. Empathy and active listening are essential, creating a foundation of trust and mutual respect. They also listen to feedback as often as they give it. They grow with their team members. 

3. Foster growth and career development 

Top-performing workers crave opportunities to grow – and they want managers who actively support their ambitions. By aligning career goals and providing stretch assignments, mentorships, or upskilling opportunities, managers can keep their teams motivated and loyal.

Specific, timely feedback tied to real impact reinforces progress and encourages continuous improvement. And don’t forget: recognition matters.

4. End on a high note

Even during off-boarding, managers can leave a lasting impression. Whether an employee is moving on voluntarily or involuntarily, the goal should be to part ways respectfully and professionally. Celebrate victories, say thank you, and encourage keeping in touch. 

Handling exits well not only maintains goodwill but also strengthens your organization’s reputation as a great place to work.

Employee experience vs. employee engagement

Employee engagement is the result of a great employee experience.

While engagement reflects the energy and motivation employees bring to their roles, EX encompasses the conditions (the four pillars: connection, alignment, appreciation, and growth) that create those feelings.

When employees feel valued, supported, and connected through a great experience, they’re naturally more engaged. This alignment drives better outcomes for both employees and the organization.

Focus on EX to improve engagement

The numbers speak for themselves.

Research from Gallup shows that highly engaged organizations experience 21% higher profitability, 17% greater productivity, and 41% less absenteeism.

However, despite billions spent on engagement initiatives, engagement rates have remained stagnant at around 30% for over a decade.

The takeaway? Engagement programs alone aren’t enough. Building a strong employee experience is the only way to foster genuine, lasting engagement.

Kickstart your employee experience with WorkTango

The future state of your organization’s performance — and the performance of all companies grappling with their employee experience — hinges on which side of the revolution you support.

So, will you defend decades-old attitudes, behaviors, and beliefs that discount the emotional experience of employees? Or will you lead your organization into the future by creating a culture where people feel they belong, their performance has meaning, their efforts are appreciated, and their opportunities for growth are unlimited?