Prioritizing High Potential Employees and Managers is Key to Positive Workforce Transformation

Gartner’s latest Global Talent Monitor data, collected between October and December 2024, highlighted the need for Australian organizations to build workplace confidence among employees in 2025, or face declining engagement and productivity levels. According to the survey, the number of employees that consider themselves to be highly engaged dropped to 19.6% in 4Q24, a 10% decline from 1Q22.

“Delivering a great employee experience is increasingly difficult for Australian organizations due to weakened company culture, employee fatigue leading to disengagement, and shifting flexible work expectations,” said Neal Woolrich, Director, Advisory in the Gartner HR practice. “To turn this around, employers must focus on fulfilling employee value proposition (EVP) promises; building a culture that engages and retains employees; and driving talent and business outcomes.”

To achieve a positive and productive workforce culture in 2025, Gartner recommends organizations invest in two core employee groups – managers and high potential employees. The 4Q24 survey found the availability of high potential employees in Australia reached a peak of 6.5% in 4Q24 – almost double the number from 12 months ago.

“High potential employees have the ability and aspiration to rise within an organization as they’re great networkers, instinctive problem solvers, and can influence company culture and engagement,” said Woolrich. “Employers must tap into these employees if they wish to improve culture and engagement, particularly at a time when the workforce is being asked to do more with less.”

Addressing manager effectiveness
Gartner’s survey indicated that 33.7% of Australian employees in 4Q24 intended to stay with their current employer, a decline from 35.4% in 3Q24. Manager quality and people management remained in the top three reasons Australian employees would leave their job for the second consecutive quarter, highlighting effective leadership as a key focus for organizations in 2025 (see Table 1).