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Are managers why engagement fell? Test it before you fund a programme

GoldinKollar Research & StrategyOctober 18, 20267 min read

If Gallup is right, the fix is obvious: train the managers. The argument has a clean shape, and the headline numbers look as if they support it. But the figures Gallup publishes do not let you check the claim, and a manager programme funded on a claim you cannot test is an expensive way to find out whether it works.

The short answer: Gallup's 2026 engagement report says lower engagement among managers "accounts for most" of the recent fall in engagement. To test that, you need one number the report does not give: the share of the workforce that manages people. With the rounded figures and simple assumptions, managers explain most of a 3-point fall only if they make up somewhere between about a tenth and a quarter of the workforce. Find your own manager share before you fund anything.

Two claims that share one word

Gallup has made two different claims about managers, and they are easy to mix up.

The first is from 2015. In an article by Randall Beck and Jim Harter, Gallup estimated that managers account for at least 70% of the variance in employee engagement scores across business units. The article calls this an estimate. It does not give the method, the data or the sample behind the figure, and it does not say what explains the other 30%.

The second is in Gallup's 2026 engagement report. It says that lower engagement among managers accounts for most of the recent downturn in employee engagement. That is a claim about change over time: what happened to the overall number between two points in time.

The 2015 claim compares teams at one moment. The 2026 claim explains a movement across years. Each can be true or false on its own, and neither proves the other. Keep them apart.

What a 70% variance share can and cannot tell you

A variance share describes how the spread of scores divides between groups. If two teams' scores differ a lot, the manager is a plausible cause of that difference. But the share does not say what the manager did, what would change it, or how any one person feels. "Managers account for 70% of the variance" is not the same as "managers decide 70% of how engaged you are."

You can test the idea in your own company without any outside benchmark. Take your last engagement survey, split the scores by team, and work out what share of the total spread sits between teams rather than within them. Statisticians call this the intra-class correlation. If that share is small, the story that managers drive engagement is weak in your organization, whatever a report says about the world.

The arithmetic behind "most of the downturn"

Gallup's figures, as printed on its 2026 page, are these:

Measure20222025Change
Global employee engagement23% (the peak)20%−3 points
Manager engagement31% (worked back from the printed nine-point fall)22%−9 points

The 2022 manager figure is not printed in the text we read. We worked it back from the statement that manager engagement has dropped nine points since 2022.

Let s be the share of the workforce that manages people, and assume s stayed roughly the same over the period. The global figure is a weighted average of managers and everyone else. So the fall in the global figure splits into two parts: the part caused by managers, which is s × −9 points, and the rest. Managers' part, as a share of the total 3-point fall, is 3s. For managers to account for most of the fall, that share must be more than half. That requires s to be more than one sixth, about 17%.

Rounding widens the range. Each figure is rounded to a whole point, so the total fall could be anywhere from 2 to 4 points, and the manager fall from about 8.5 to 9.5. On those bounds, the threshold runs from about 10% to about 24% of the workforce.

So the claim is possible, and the page does not let you test it. Gallup gives no manager share in the text we read. Two things would break this arithmetic: a manager share that changed over the period, and a global figure that is not a simple weighted average of the two groups. If you have the underlying series, the check takes an afternoon. Without them, read the claim as a hypothesis, not a finding.

Why the manager explanation is so attractive

Managers are visible. They are named in every survey, and a manager programme is a budget line someone can own. "The manager is the problem" is also a comfortable diagnosis: it places the cause in a role rather than in the work, the workload, the pay or the message. Gallup's own section heading, "The Shrinking Perk of Being a Manager", points at a real change in what the job is worth. That deserves investigation. It is not the same as proving that managers caused the slide.

Permit the null

If your managers' engagement fell by about the same amount as everyone else's, the claim does not apply to your company. If the spread between teams is small, a manager programme will not move your total much. Those are findings, and they save money. A check that can only ever confirm the manager story is not a check.

What to measure before you fund a programme

1. Your manager share. Use your HR system's definition of a manager, and write the definition down. 2. Engagement by group. Managers and everyone else, on the same questions, on the same scale, in at least two survey waves. 3. The split of the change. Compare the manager part (manager share × manager change) with the rest. If managers explain most of the change, go to step four. If not, the programme is aimed at the wrong group. 4. What managers changed. Look at how information reaches teams, how decisions are explained, how workload is set, and how recognition is given. Measure each one. A team that cannot repeat a change in its own words has a communication problem before it has a leadership problem. The IC quality index self-check scores reach, understanding and retention, and the guide to measuring employee engagement sets out the measures to start with. 5. Pilot before you scale. Run the manager work with two groups for one quarter, keep two similar groups as a comparison, and decide on the second quarter's data.

Frequently asked questions

Does Gallup say managers cause most of employee engagement?

Gallup's 2015 article estimates that managers account for at least 70% of the variance in engagement scores across business units. That describes how scores differ between teams, and Gallup presents it as an estimate without its method. Its 2026 report says lower manager engagement accounts for most of the recent downturn. The text we read does not give the manager share needed to check that.

Is 70% of engagement down to managers?

No. The figure describes the spread between teams, not the engagement of any one person, and it does not say what a manager should do about it.

How do I test whether managers explain our engagement drop?

Work out your manager share, split engagement by group across at least two survey waves, and compare the manager part of the change with the rest. The steps are above.

What this article does not settle

We did not see Gallup's underlying data. The 2022 manager figure is worked back from a printed change, and the bounds assume a steady manager share. We did not survey any organization to test the claim. The point stands regardless: a claim that managers explain most of a fall has to be checked against the share of managers, and the page does not give it.

Epistemic status: built from Gallup's published 2026 engagement report and its 2015 article on the manager effect. The arithmetic is ours. The manager share is not in the material we read.

References

  • Beck, R. and Harter, J. (2015), "Managers Account for 70% of Variance in Employee Engagement", Gallup Business Journal, 21 April 2015. gallup.com
  • Gallup (2026), "Employee engagement": key findings, including "The Shrinking Perk of Being a Manager". gallup.com