Only 20% of employees worldwide were engaged in 2025, the lowest level since 2020, according to Gallup's State of the Global Workplace 2026 — even as more of them are staying in their jobs. In the U.S. and Canada, the engagement rate was just 31%.

That gap between staying and engaging is the central finding of a newly published study of 231 U.S. service-sector employees, conducted by Drs. Yung-Kuei Huang and Ning-Kuang Chuang and colleagues, titled "Engaging Employees Amidst Uncertainty: Unraveling the Power of Outcome Expectations in Nurturing Dutiful Employees." The research examined how what employees expect to gain from working diligently shapes their sense of duty — and, through it, their emotional and behavioral engagement.

The backdrop is a workplace trend the researchers call "job hugging." After the Great Resignation and the era of "quiet quitting," some employees are now holding tightly to existing positions even when they are not satisfied, driven by fears of layoffs, economic instability, AI-driven job displacement, and limited career opportunities. For operators, lower turnover can cut staffing shortages and recruitment costs. But the study's authors warn that employers should not mistake staying for engagement — employees may remain because leaving feels too risky, not because they feel committed.

What Did the Study Measure?

The researchers tested three categories of expected outcomes from diligent work:

• Material outcomes — work-life balance, career flexibility and options, and the ability to support a desired lifestyle (distinct from direct pay or financial rewards);
• Social outcomes — fair opportunities, respect, recognition, and belonging;
• Self-evaluation outcomes — personal growth, accomplishment, and pride.

They then mapped these against three forms of duty orientation: duty to organizational members, duty to the organizational mission, and duty to organizational codes or standards.

What Drives Duty — and What Doesn't?

The three expectation types performed very differently. Social outcome expectations had the broadest relationship with duty orientation: employees who believed diligent work would earn respect, positive relationships, and belonging reported stronger duties to members, mission, and codes alike.

Self-evaluation expectations were associated with duty to members and duty to mission. Employees who expected personal accomplishment, growth, or pride from hard work felt more responsibility for helping colleagues and advancing the organization's larger purpose.

Material outcome expectations operated narrowly. They were primarily associated only with duty to organizational codes. Employees may value work-life balance and career flexibility, but expecting those benefits did not translate into a broader sense of responsibility toward colleagues or the mission.

Duty orientation, in turn, drove real engagement. Employees with a stronger sense of duty toward coworkers and the mission reported feeling more enthusiastic and energized, and showed greater attention, effort, persistence, and initiative at work — the discretionary behavior that separates engaged staff from those merely present.

What Happens Under Uncertainty?

The study's most consequential finding concerns stability. Uncertainty did not significantly disrupt most relationships in the model; the connections involving social and self-evaluation expectations held firm. Respect, belonging, recognition, accomplishment, and growth continued to nurture duty even in turbulent times.

Only one moderating effect was significant: uncertainty weakened the link between material outcome expectations and duty to codes. When employees feel greater uncertainty, believing hard work will deliver work-life balance or career flexibility becomes less likely to strengthen their obligation to follow organizational standards.

The practical implication for operators: retention, desirable working conditions, or quality-of-life benefits alone will not keep employees psychologically connected. Those outcomes may give staff reasons to stay, but they may not inspire enthusiasm, commitment, or discretionary effort.

What Can Employers Control?

Employers cannot end geopolitical conflicts, stabilize the economy, or predict the next technological disruption. They can shape what happens inside the organization. The researchers recommend:

• Communicate honestly and consistently — explain what is known, what remains uncertain, and how the organization is responding, without making promises leaders may not fulfill;
• Strengthen belonging — respectful treatment, supportive supervision, teamwork, and inclusion reinforce the belief that effort produces meaningful social outcomes;
• Recognize contributions — timely, sincere acknowledgment assures employees their work is seen and valued;
• Make development visible — coaching, mentoring, cross-training, and stretch assignments promote growth even when promotions are unavailable;
• Provide meaningful flexibility — reasonable control over work arrangements supports positive material expectations, provided actual experiences back them up;
• Connect daily work to the mission — employees should see how their work benefits customers, coworkers, and the community;
• Support duty without exploiting it — organizations should not keep asking their most committed employees to do more with fewer resources; sustainable duty requires reciprocity through fairness, support, and care.

Retention Is Not Engagement

Job hugging can keep employees in the building. It cannot guarantee enthusiasm, collaboration, initiative, or exceptional service. As uncertainty persists and more employees choose safety over mobility, the operators best positioned for 2026 and beyond will be those that give staff reasons to engage — respect, recognition, growth, and a visible connection between daily work and its purpose — rather than relying on fear of the job market to hold their teams together.