The research showed those who do have an employee engagement strategy, some 30% say it improves their employee performance and 13% claim it improves employee retention.
The two top drivers of employee engagement are corporate culture and recognition, followed closely by career progression and opportunities, learning and training, the research found.
When asked about specific concerns around employee engagement, respondents listed there are still several stumbling blocks, including senior management buy in. The need for HR directors to build a business case of how employee engagement will improve productivity remains one of the key challenges.
Lee Grant, VP International at Youforce, said: "Our research shows that employee engagement is the current big challenge for HR professionals as it is linked in to so many areas of the HR function.
"While this is seen as the responsibility of HR, it is something that should be taken on by all employees."
Grant said: "Creating the enabler for employee engagement is the hardest part of the process. Having the right HR systems and technology will provide the detailed insight into the workforce that will allow HR departments to develop an employee engagement strategy that will look after employees and help become more efficient."
