Employee Engagement Index Predicts Dow Jones

Research showing that employee engagement is capable of predicting directional movements of the Dow Jones Industrial Average four months ahead of time was released today by Greg Harris, president of Quantum Workplace, a market research company that surveys employee engagement.

"In other words, if our Engagement Index is up in June, there's an 83% probability that the Dow will be up four months later - in October. To our knowledge, this relationship has never been discovered before," says Mr. Harris.

Employee engagement is measured by the ability and willingness of individuals to exert effort for the benefit of the company, their tendency to speak highly of the organization, and their intent to remain at the company.

The current study showed how employee engagement is not only a tool for measuring workplace dynamics, but also an indicator of economic well-being.

"The results of this analysis for the most recent 12 months was that the engagement trends accurately predicted upward or downward monthly changes correctly in 10 out of 12 months, further providing evidence that employee engagement is indicative of what the Dow will do," adds Mr. Harris.

"Our research includes 24 months worth of engagement scores among 6,117 companies with valid engagement scores that were measured alongside four different indicators of economic well being: Unemployment, fuel prices, the Dow and consumer sentiment," adds Mr. Harris. "Therefore, there exists a significant relationship between employee engagement and each of the four economic indicators."

For additional information please go to www.QuantumWorkplace.com.

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