Hospitals in the top quartile for employee engagement are 4.2 times more likely to achieve top patient experience scores, according to a Press Ganey report that analyzed feedback from more than 2.6 million healthcare employees and physicians surveyed in 2025.
The report found that employee engagement rose from 3.97 to 4.01 over the past year — the largest gain in eight years — while physician engagement climbed from 3.96 to 4.01. But Press Ganey cautioned the recovery remains fragile, with 35% of employees and 37% of providers lacking confidence in senior leadership.
The cost of disengagement is significant: Disengaged caregivers are 2.6 times more likely to leave. At the average health system, defined as one with 3,000 employees, turnover costs more than $16 million annually. Turnover rates at low-engagement organizations run at 24%, compared with 15% at high-engagement systems.
The report also flagged early warning signals that many organizations may be missing. Among employees who plan to leave within three years, 34% exit within one year. Additionally, 26% of survey nonrespondents leave within a year, compared with 15% of respondents — suggesting nonresponse itself is a meaningful attrition indicator.
Turnover pressure is concentrated at both ends of the workforce: Generation Z employees show the highest turnover rate at 35%, while baby boomer turnover is rising from 19% to 21%. Advanced practice providers remain among the least engaged groups, with Press Ganey citing gaps in role clarity and involvement in decision-making.
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