Qualtrics Report Finds Organizational Change Can Boost Employee Engagement and Productivity

Employees who experienced significant organizational change over the past year report higher engagement and productivity than those with little to no change, challenging conventional wisdom about change fatigue, according to the Qualtrics 2026 Employee Experience Trends Report.

With the vast majority of employees reporting change in 2025 and more change expected this year, leaders must support employees through transitions to ensure productivity and engagement. This support is the top driver of employee expectations, and organizations that successfully guide employees through change are rewarded with greater motivation and loyalty. Employees need to feel heard most during times of change, making employee listening increasingly valuable. Organizations that increased listening frequency saw employee experience metrics up to four times higher than those that listened less.

“Contrary to popular belief, the constant change and uncertainty workers have experienced has hardened them and those experiencing more change today are generally more engaged,” said Dr. Benjamin Granger, Chief Workplace Psychologist at Qualtrics. “There’s a Goldilocks zone for the right amount of change to keep employees engaged. Too much can leave them burned out, and too little, bored and stagnant. In the face of more change to come, the organizations that come out ahead are the ones that build strong connections between employees and the mission, and support them throughout with the right tools and processes.”

Employee resilience to change is one of the headline findings from the annual Qualtrics study, based on 33,831 responses across 24 countries and 30 industries.

Additional Findings

  • Introducing new technology such as AI correlates with a 10-point increase in employee engagement, while layoffs are associated with a 7-point decrease.
  • Half of employees use AI frequently at work, but only 20% use company-provided tools exclusively.
  • Customer-facing employees and part-time workers report worsening employee experiences.
  • New joiners report the lowest level of engagement since 2021.
  • Frontline workers identify customer experience issues similar to those flagged by consumers.
  • 25% of workers say their employer is listening more, and 42% want their company to listen more frequently.
  • Employee engagement and expectation fulfillment declined slightly year over year, while intent to stay, inclusion, and well-being remained steady.

Change Drives Engagement When It Is Constructive

The majority of employees (72%) experienced significant organizational change over the past 12 months, but the type of change strongly influences employee response.

Changes tied to investment, new ways of working, and future success, such as adopting new technologies, updating work policies, and strategic shifts, correlated with higher engagement. Disruptive changes such as layoffs, reorganizations, and leadership turnover had the opposite effect.

“Employees can tell the difference between changes that build toward something and equip them for the future and changes that feel like cuts that don’t benefit them,” said Granger. “The former signals investment in the future. The latter signals they might not have one.”

Employee Engagement by Type of Change

  • New technology or tools: 78%
  • New or updated policies: 77%
  • Physical workspace changes such as office relocation or return-to-office: 76%
  • Strategy changes: 76%
  • Leadership changes: 67%
  • Manager changes: 67%
  • Organizational restructure: 66%
  • Downsizing or layoffs: 61%

Employees Are Using AI Tools Outside Company Oversight

AI usage continues to grow, with frequent use increasing by seven percentage points over the past year. However, only 20% of employees exclusively use company-provided AI tools, suggesting many workers are bypassing corporate policies to meet productivity demands.

“AI is helping employees work faster and do things they couldn’t before,” said Granger. “But when they go outside approved tools and policies, the risk extends to customers and the broader organization. It’s essential that HR leaders partner with IT leaders to regularly measure AI usage and sentiment among employees to ensure that the tools they’re providing meet both employees’ and leaders’ expectations.”

Top Benefits Employees Report from Using AI

  • Completing tasks faster: 65%
  • Improving work quality: 58%
  • Increasing overall productivity: 51%
  • Accomplishing tasks previously not possible: 37%

Frontline and New Hire Experiences Are Declining

Customer experience relies heavily on employees forming and shaping first impressions. However, frontline workers and new hires reported worse experiences than a year ago.

Employee Experience Metrics

  • Global engagement: 68% (down 3 points)
  • Global experience exceeding expectations: 39% (down 4 points)
  • Frontline worker engagement: 65% (down 3 points)
  • Frontline experience exceeding expectations: 32% (down 4 points)
  • Part-time worker engagement: 63% (down 7 points)
  • Part-time experience exceeding expectations: 31% (down 10 points)
  • New hire engagement: 65% (down 7 points)
  • New hire experience exceeding expectations: 36% (down 9 points)

Frontline workers also demonstrate a stronger understanding of customer experience challenges than leadership, identifying communication and service delivery issues as primary causes of poor experiences.

Meanwhile, new hires reported sharp declines in their ability to challenge the status quo and in experiencing open and honest communication, with engagement levels at their lowest since 2021.

“Organizations that neglect or fail to invest in the experience of their part-time, frontline, and new hires will likely experience a reciprocal drop in engagement and loyalty, which will inevitably manifest in productivity problems and churn,” said Granger. “Down the road, this will impact customers too.”

Employee Listening Has Widespread Benefits

High-performing organizations frequently listen to employees and achieve stronger experience outcomes.

  • Engagement: 44% with less frequent listening, 66% with consistent listening, 87% with more frequent listening.
  • Experience exceeding expectations: 17% with less listening, 32% with consistent listening, 66% with more listening.
  • Intent to stay: 47% with less listening, 64% with consistent listening, 73% with more listening.
  • Inclusion: 50% with less listening, 72% with consistent listening, 87% with more listening.
  • Well-being: 51% with less listening, 72% with consistent listening, 88% with more listening.

Most employees enjoy sharing feedback, with 68% reporting they value opportunities to express their opinions. While 42% want leaders to listen more frequently, only 25% say their organizations increased listening efforts over the past year.

“Times of change are precisely when employees need to feel heard the most,” said Granger. “High-performing organizations have embraced this and increased the frequency of employee listening, while others risk falling behind.”

Methodology

The 2026 Employee Experience Trends Report is based on a survey of 33,831 full-time and part-time employees conducted in September and October 2025. Participants represented 24 countries across five continents and 30 industries, with organizations ranging from 100 to more than 50,000 employees. The sample was 51% male and 49% female.