Quiet quitting, a trend where employees perform only the bare minimum required of them, is now seen in workplaces globally. In today’s competitive talent landscape, quiet quitting is a symptom of deeper issues in company culture—a lack of motivation, purpose, and connection to one’s work.
To tackle it effectively, companies must move beyond surface-level solutions and build a culture where purpose and engagement are foundational.
The term is a trend that gets bandied around social media - but what lies beneath from a psychological standpoint?
Here, we explore proven psychological theories and research that explain why purpose-driven cultures succeed in engaging employees, along with strategies to transform disengaged workforces.
Understanding Quiet Quitting: The Hidden Disengagement
In the current workplace, quiet quitting doesn’t imply a literal resignation; rather, it signifies a gradual withdrawal of effort, engagement, and enthusiasm. Unlike burnout, which is often due to overwork, quiet quitting is primarily a response to a lack of meaningful connection to one’s role or the organisation’s mission.
Gallup’s 2023 State of the Global Workplace Report reveals that only 21% of employees globally are engaged at work, while over half describe themselves as “not engaged” or “actively disengaged.”
This disconnection costs the global economy an estimated $8.8 trillion annually in lost productivity.
The Role of Purpose in Employee Motivation
To counter quiet quitting, we can look to the Self-Determination Theory (SDT) developed by psychologists Edward Deci and Richard Ryan. SDT posits that intrinsic motivation, the drive that stems from personal interest and internal rewards, is essential for sustained engagement.
The theory identifies three core needs for intrinsic motivation: autonomy, competence, and relatedness.
- Autonomy: Employees need the freedom to make choices and have a say in their work. Autonomy fosters a sense of ownership and investment in outcomes, which enhances engagement.
- Competence: Feeling skilled and capable in one’s role is key to motivation. When employees have the opportunity to develop and apply their skills, they experience satisfaction that fuels further engagement.
- Relatedness: Perhaps the most essential in the context of quiet quitting, relatedness is the feeling of connection to others. When employees feel they belong and their work impacts something larger than themselves, they are more likely to go above and beyond.
These factors, when met, lead to what Deci and Ryan call “high-quality motivation,” where employees perform well not out of obligation or fear, but because the work itself is fulfilling.
The Business Case for Purpose: Insights from Psychological Research
While the theoretical underpinnings are vital, empirical research supports SDT’s conclusions. A 2022 study in the Journal of Organizational Behavior highlights that employees who feel a sense of purpose at work report 33% higher engagement rates than those who do not.
Harvard Business Review also found that employees with high levels of purpose in their work are twice as likely to stay with their employer for the next five years.
A purpose-driven culture doesn’t just help retain employees; it has tangible benefits on performance. A meta-analysis in Frontiers in Psychology showed that purpose and meaning in work significantly correlate with increased cognitive flexibility, improved decision-making, and heightened resilience in employees.
In practice, this translates to enhanced productivity and better overall company performance.
Social Identity Theory: The Importance of Belonging
Social Identity Theory, developed by Henri Tajfel and John Turner, adds another layer to understanding quiet quitting by examining the role of group identity.
This theory asserts that people derive part of their self-esteem from the groups they belong to—such as their teams or organisations.
When employees see their workgroup as an integral part of their identity, they are more likely to act in ways that benefit the group and contribute positively to its success. Creating this identity-driven motivation relies on building social connections and a sense of community within the workplace.
Research from Deloitte’s Global Human Capital Trends 2023 report notes that workplaces with high levels of social belonging report a 56% increase in job performance and a 50% reduction in turnover.
By emphasising these connections, companies can create a culture where employees are motivated to contribute actively because they feel they are part of something larger than themselves.
How Purpose-Driven Cultures Combat Quiet Quitting
Given the psychological and empirical evidence, companies aiming to counter quiet quitting should focus on fostering a purpose-driven culture that meets employees’ needs for autonomy, competence, and relatedness.
Here are strategic actions that can help:
Offer Autonomy with Flexible Work Structures
Allowing employees the freedom to structure their work schedules and approach tasks with a degree of independence is crucial for building autonomy. A Lancet Psychiatry study found that workers with high job autonomy experience significantly lower stress levels and are more engaged in their roles. This autonomy can be laterally applied to areas such as employee engagement and buildsing culture, as people can take the reins and make decisions for themselves. Flexibility shows trust and respect for employees, reducing the likelihood that they will feel disconnected from the work itself.
Develop Competence through Continuous Learning Opportunities
Investing in employees’ skills not only improves their job performance but also boosts their sense of competence. A 2023 McKinsey report indicates that lack of career development is one of the top three reasons people leave their jobs. By providing avenues for skill enhancement and career growth, organizations signal that they value and support employee development. Programs like mentorship, training sessions, or educational resources allow employees to grow, which helps in combating disengagement.
Create Connection through Team-Based Goals and Social Wellbeing Activities
Employees are more motivated when they feel a sense of community and belonging. Purpose-driven cultures prioritize team goals and collaborative work, creating a shared sense of mission. Activities that encourage team bonding, such as group wellbeing challenges or social events, satisfy the need for relatedness. Research published in Occupational Health Science emphasizes that workplaces promoting strong social ties see a 29% increase in employee engagement scores.
Measuring Purpose and Engagement: The Need for Data-Driven Insights
To effectively combat quiet quitting, companies must measure the impact of their engagement and purpose-driven initiatives. Metrics on employee engagement, wellbeing, and turnover provide actionable insights into whether a purpose-driven culture is working.
Gallup’s State of the Global Workplace report found that companies with high employee engagement report 23% higher profitability and 18% lower turnover rates.
Organisations can implement tools to track employee satisfaction, participation in social activities, and even feedback on workplace culture. Anonymised surveys, wellbeing indices, and performance metrics can collectively highlight the effectiveness of purpose-driven efforts and guide future improvements.
Bringing Purpose to Life: Stayf’s Approach to Purpose-Driven Culture
At Stayf, we’ve built our platform on these foundational principles of psychology and data-backed insights. Our solution is designed to embed purpose, motivation, and community into daily work experiences, making it an invaluable tool for high-growth companies aiming to foster a purpose-driven culture.
Here’s how Stayf aligns with proven strategies to combat quiet quitting:
- Autonomy: Stayf allows employees to choose and participate in various challenges, ensuring they engage in ways that resonate personally.
- Competence: Our platform offers gamified progress tracking and skill-building opportunities, encouraging continuous learning and recognition.
- Relatedness: With team-based activities, social wellbeing challenges, and community chatrooms, Stayf strengthens bonds across departments and creates a culture of belonging.
Stayf combines the flexibility and data-driven insights needed to support a thriving, motivated workforce.
By aligning work with intrinsic motivators, Stayf fosters a self-sustaining culture where employees are inspired to do their best, significantly reducing quiet quitting and enhancing organisational success.
A Strategic Solution for Business Growth
Purpose-driven culture is not just a theoretical ideal; it is a strategic solution grounded in well-established psychology and backed by research from renowned sources.
Quiet quitting isn’t a minor challenge; it’s a clear sign that organisations must rethink their approach to engagement, belonging, and motivation.
High-growth companies that prioritise autonomy, competence, and relatedness are well-positioned to keep employees connected, motivated, and truly engaged.
Stayf offers a unique, evidence-based platform to support this journey, empowering organisations to combat quiet quitting with purpose, clarity, and measurable success.