Presentation Overview

1. What DrivesEmployee Engagement for Environmental WorkforceResults from ECO Canada’s 2011 Professional Engagement Study

2. Presentation Overview • Environmental Engagement in Canada • Attributes of Engagement • Engagement by Company Size • Key Recommendations

3. What does Employee Engagement mean?

4. Engaged workers are those that would recommend their employer • as a good place to work, • are motivated to do more • than what is normally required • and feel their contribution is valued.

5. Emotional and Rational Motivators The impact of heart and mind – or emotional and rational motivators – play a key role in determining the degree to which employees are engaged.

6. Employee Engagement Model • Employee Engagement model helps organizations and industries identify the areas of strength that can be leveraged and barriers to creating a motivated and loyal work force. Using a simple yet powerful causal model, the cause and effect relationships between the human resource management practices and the level of engagement of employees are defined and tested. • Grounded in theories of organizational behaviour and years of practical application, this approach provides strategic insights into the degree to which employee engagement is driven by the heart (emotional) rather than the head (rational) and tactical insights into which specific aspects need focus to improve business results.

7. Employee Engagement Among Environmental Employees in Canada The Employee Engagement Index The engagement index for environmental workers is 78, fourteen points higher than the index for Canadian workers overall. However, in comparing environmental employees to employees overall, it should be noted that the benchmark includes many people working in jobs where a low level of commitment would be expected, such as minimum wage jobs that do not require a high level of skill. As a result, it is important for the environmental sector to strive for a level of commitment that is well above this benchmark.

8. Employee Engagement Among Environmental Employees in Canada **The overall Engagement Index is based on the level of agreement with three attributes: Employees would recommend their employee as a good place to work; Discretionary effort—employees are motivated to do more than what is normally required for their jobs; and, Employees believe that their contribution is valued by their employer. • I am motivated to do more than what is normally required for my job. • I would recommend my company as a good place to work. • My contribution is valued by my employer. • Employee Engagement Index

9. Employee Engagement Among Environmental Employees in Canada Compared to the National Employee Engagment benchmark, environmental employees: Are more likely to believe that their contribution is valued by their employer. Seventy-seven percent of environmental employees agree or strongly agree with this statement, as compared to only 58% of employed Canadians. They are more likely to state that they would recommend their employer as a good place to work (77% vs. the benchmark of 64%). Importantly, environmental workers are more likely to expend discretionary effort, one of the hallmarks of employee engagement.Eighty percent of environmental practitioners state that they are motivated to do more than what is normally required for their jobs, as compared to only 71% of Canadian employees.

10. Emotional and Rational Motivators • The results for the rational motivations are mixed. Environmental employees report higher job satisfaction, but are less likely to agree or strongly agree that “All and all, I would say it “is worth it” for me, my family, and my career to work here”. Remuneration and job security appear to be concerns for environmental employees. • Environmental employees are more connected to their employers in terms of the emotional motivators than the average employed Canadian. They are 23 points above the benchmark when it comes to trust and 13 points above for being proud to work for their employer.

11. Engagement Segmentation among Environmental Employees

12. Engagement Segmentation Among Environmental Employees Fully engaged and plan to stay with their current employer for three years or longer. • Compared to the workforce overall, environmental workers are less likely to be: • Disgruntled—less engaged employees that do not plan to stay at their current employer; or, • Detached—employees that plan to stay with their employer even though they are not fully engaged. Fully Engaged* Engagement Level Less than Fully Engaged <3 Years 3+ Years Years Expect to Stay With Your Company • Environmental employees have a greater tendency to fall into the Strategic Switchers segment. They are fully engaged, however they do not plan to stay with their current employer.

13. Age Generation X employees are as likely as Millenials to be Strategic Switchers. A higher Proportion of Millenials are disgruntled. Out of all 3 generations, Baby Boomers are most likely to be in the Committed segment

14. Level of job responsibility Engagement tends to increase with increased level of responsibility

15. Career Paths Segmentation Subject Matter Experts, Technologists and Technicians tend to be ‘Strategic Switchers’ or ‘Detached’ Employees managing people or projects tendto be the most ‘Committed’ employees.

16. Number of Employees Canada wide Those employed by large organizations (over 1,000 employees) are more likely to be Detached. those working for smaller companies are more likely to be Strategic Switchers, perhaps due to a perceived lack of opportunity for advancement within a smaller organization. The proportion of committed employees is similar across different-sized organizations at around one-half

17. Attributes of Environmental Employee Engagement in Canada

18. Attributes and key drivers of engagement The attributes of employee engagement are characteristics that differentiate engaged employees from those that are not engaged. These include characteristics such as commitment to their employer, recommending their employer as a good place to work and willingness to expend discretionary effort. The key drivers are those attributes which are strongly related to individual employees levels of commitment—the attitudes and behaviours that are likely to characterize engaged employees, and are usually not characteristics of uncommitted workers.

19. Corporate Culture and Communications • Environmental employees hold positive opinions of their employers’ corporate culture and communication attributes. The highest rated attributes are demonstating integrity, and having a safe and healthy work environment. % Strongly Agree/ Agree n/a n/a • My employer demonstrates integrity, for example by being against bribery, corruption and human rights abuses. • I have a safe and healthy work environment. • I trust the leadership of my company. • My company’s staff are ready and willing to adapt to change. n/a n/a % Disagree/ Strongly Disagree

20. Corporate Culture and Communications • “My work and my employer’s goals align with my personal values” is a key driver of overall engagement for environmental employees. % Strongly Agree/ Agree n/a n/a n/a • My employer demonstrates corporate philanthropy, including encouraging employees to take part in fundraising and other activities to benefit others. • Sufficient effort is made to obtain the opinions of employees. • My work and my employer’s goals align with my personal values. • My employer is an environmentally responsible organization. n/a n/a n/a % Disagree/ Strongly Disagree

21. Commitment to results • Discretionary effort – being motivated to go “above and beyond” job expectations – is a key driver in engagement. % Strongly Agree/ Agree • My department has a clear understanding of our customers’ needs (note: your customers may be internal or external). • I have a clear understanding of how my work contributes to achieving my company’s overall goals. • There are usually enough employees in my department to handle the workload. • The employees I work with cooperate to get the job done. • I’m motivated to do more than what is required for my job. % Disagree/ Strongly Disagree

22. Management Effectiveness - Contribution • Environmental employees are more likely to perceive that they are effectively managed than is the norm. They are especially likely to feel that their employer values their contribution (a key factor for engagement), and to feel encouraged to come up with new and better ways of doing things. % Strongly Agree/ Agree My immediate supervisor understands the realities and circumstances that I experience in my job. • I feel encouraged to come up with new and better ways of doing things. • My immediate supervisor demonstrates interest in my well being. • My contribution is valued by my employer. % Disagree/ Strongly Disagree

23. Management Effectiveness - Recognition % Strongly Agree/ Agree • My immediate supervisor provides me with regular positive feedback and suggestions for improvement if necessary. • Employees in my department who perform poorly are appropriately managed. • My immediate supervisor provides the necessary objectives and direction. • When I do a good job, my performance is recognized. % Disagree/ Strongly Disagree

24. Training and Development • Doing a good job of developing its people to their full potential is the top Training and Development priority, as it is a key driver of engagement. % Strongly Agree/ Agree • I am given opportunities and encouraged to learn or train to improve my skills. • I believe that I have the opportunity for growth and development at my company. • My company is doing a good job of developing its people to their full potential. % Disagree/ Strongly Disagree

25. Treatment, Balance and Respect • Environmental employees are above average when it comes to work-life balance, having an employer that treats employees with dignity, respect and fairness, and feeling that they are fairly treated. % Strongly Agree/ Agree n/a • Employees are treated with dignity, respect and fairness regardless of their position of background. • I am not personally subject to sexual, racial or any other kind of harassment from my company’s employees or customers. • I am able to maintain a healthy balance between my work and personal life. • The amount of work that I am expected to do is reasonable. • I feel that I am treated fairly at my company. % Disagree/ Strongly Disagree

26. Job Satisfaction % Strongly Agree/ Agree n/a n/a • My work is satisfying because it contributes directly to a better community/environment/world. • I understand the role and responsibilities of my job. • I have enough flexibility in my job to provide good service to my customers. I like the people with whom I work. % Disagree/ Strongly Disagree

27. Job Satisfaction • The 5 key aspects of Job Satisfaction – those which have the greatest impact on employee engagement – are: • Feeling of accomplishment • Feeling committed to employer • Pride • Willingness to recommend company as a good place to work • Over satisfaction % Strongly Agree/ Agree n/a • I feel a strong sense of commitment to my company • My job gives me the chance to do challenging and interesting work. I am proud to work at my company. • My job gives me a feeling of accomplishment. n/a % Disagree/ Strongly Disagree

28. Job Satisfaction % Strongly Agree/ Agree n/a • I would recommend my company as a good place to work. • Considering everything, how satisfied are you with your job? • My work is near where I live or in a place I like to live in. % Disagree/ Strongly Disagree

29. Job Security, Remuneration. Benefits • Although environmental employees are more positive about many aspects of their jobs as compared to the Canadian workforce in general, this is not the case when it comes to the key elements of job security, and remuneration. % Strongly Agree/ Agree • All and all, I would say it “is worth it” for me, my family and my career to work here. • I am paid fairly for my duties, responsibilities and performance. • I feel secure in my job % Disagree/ Strongly Disagree

30. Job Security, Remuneration. Benefits • Environmental workers are fairly positive in their assessment of their benefits program or package, with 70% rating it as excellent or good. They are less enthusiastic about their incentive/bonus system, with only 46% rating it as excellent or good. % Strongly Agree/ Agree n/a • How do you rate your benefits program/package overall? • How do you rate your incentive programs or bonus systems? % Disagree/ Strongly Disagree

31. Key drivers of engagement • Key drivers that employers can directly impact include: • Demonstrating that employee contributions are valued • Recognizing good performance • Developing employees to their full potential • Treating employees fairly • Actions or communications to enhance sense of job security

32. How can employers increase engagement?

33. Difference of Key Drivers of Engagement for Large and SMEs (in order of the strength of the correlation with overall engagement)

34. Large Employers – increase engagement • Focus on communications and activities that support in employees a • sense of fair treatment • increased feelings of accomplishment • pride • commitment to the organization • Employees of large organizations find value in being recognized • for their contributions.

35. Large Employers – increase engagement • The drive for employees to go above-and-beyond expectations in large organizations is related to • Feelings of commitment to their employer • The willingness to recommend their employer • Feeling a sense of accomplishment in daily work • Leverage these feelings by ensuring employees feel • their workload as reasonable • fairly treated • able to maintain work-life balance • flexibility in providing customer service

36. Large Employers – increase engagement • Employees of large organizations find value in being recognized for their contributions. • This is supported by an employer: • recognizing good performance • encouraging strong, positive relationships with employees and their supervisor • providing opportunities for employee learning and growth

37. Small to Medium Employers – increase engagement • Focus on communications and activities that support an employees ability to: • Understand customer needs • Understand employer goals • Brainstorm new and improved methods of productivity • Access opportunities for training and development

38. Small to Medium Employers – increase engagement • Employees of SMEs find value in contributing to a larger cause. • Support this by • action and communication that emphasizes trust • making an effort to hear employee opinions • maintaining open, honest communication • ensuring employees feel treated with dignity, respect and fairness • encouraging work-life balance

39. Compared to large organizations, • SMEs are doing a better job of • valuing employee contributions and • encouraging outside-the-box solutions.

40. Key Recommendations for Large Organizations • Ensure • Workloads are reasonable • Employees feel fairly treated • Employees have a strong sense of recognition and accomplishment

41. Key Recommendations for • SME Organizations • Ensure • Employees feel fairly treated • Employees have flexibility to provide good customer service • Employees maintain a work/life balance

42. Overall Recommendations for all organizations • Leverage key attributes by ensuring • A feeling of accomplishment and recognition for good performance • A feeling of fair treatment for all staff • Employees can access opportunities to develop themselves to their full potential • Alignment of work, employer and personal goals.

43. For more information contact:Chris Stewart cstewart@eco.ca(403) 476-1950www.eco.ca Special thanks are extended to the consultants Ipsos for conducting the research and analyzing the data collected through the survey.