Why Purpose at Work Matters

According to Gallup’s 2025 report, only 23% of employees in Australia and New Zealand are engaged at work. Globally, engagement has fallen to 21%. These numbers point to more than just a lack of motivation, they reflect a broader decline in employee wellbeing. 

Today, employees are doing more than disengaging, they’re re-evaluating what truly matters. Many are seeking roles that align with their values and offer a sense of purpose.

Gallup also found that employees who find purpose in their work are four times more likely to be engaged. In turn, companies that prioritise purpose don’t just boost engagement they outperform competitors in both innovation and revenue growth. 

What is “purpose at work”?

As purpose becomes a key driver of workforce and career decisions, it’s critical to define what it really means.

According to Forbes, purpose is “why a company exists, beyond making profit, and the impact it makes on the world”. It links everyday work to a bigger mission and aligns with personal values.

Importantly, purpose is not the same as passion. Passion energises - but purpose endures. For organisations, the challenge is to connect business goals to what personally matters to employees and help them see their work as meaningful.

Why purpose matters to employees

When employees are disconnected from their work’s purpose, several warning signs can emerge including:

High turnover and disengagement - Employees struggling to find meaning in their work are more likely to leave

Quiet quitting - Disengaged staff may do the bare minimum, with little drive to contribute beyond their job description

Low participation in company culture - If values don’t resonate, employees may disengage from events, programs or initiatives

Lack of initiative or creativity - Without purpose, innovation suffers

Employee wellbeing declines - A lack of meaning at work can contribute to burnout, stress, and lower overall performance

How to create a purpose-driven workplace

Purpose can’t be tacked on, it must be embedded in culture, leadership, and everyday operations.

Creating an environment where employees feel purposeful isn’t an overnight change. It requires a culture shift. Here are practical ways employers can help employees connect to their work’s purpose:

1. Connect roles to mission

Show employees how their work contributes to something bigger. Clear alignment boosts engagement

2. Encourage autonomy and mastery:

Give employees space to take ownership. Consider “job crafting” to help them shape their roles around strengths

3. Recognise effort and impact:

Use digital tools - like performance dashboards or engagement analytics - to deliver timely, visible recognition

4. Create space for values alignment:

Create programs that let employees live your company’s values - from volunteering to sustainability and DEI initiatives.

5. Encourage purpose conversations:

Encourage managers to ask: “What drives you?” or “what kind of impact do you want your work to have?” These conversations build trust and meaning.

Patagonia

A standout example is Patagonia, whose mission is clear: “We’re in business to save our home planet.” Founder Yvon Chouinard embedded environmentalism into every layer of the business - not just marketing.

From their Perpetual Purpose Trust to donating profits and hiring talent aligned with its mission, Patagonia ensures purpose guides every decision. The result? A loyal workforce, strong brand equity, and lasting impact.

Suncorp

Not every purpose-driven company needs to take bold, sweeping actions like Patagonia. What matters more is showing up authentically and consistently.

Suncorp does this by putting community at the heart of its values. Through its employee rewards programme, team members are given the option to donate their reward points to charity instead of using them for personal perks.

As a result, a significant number of employees chose to give back. The simple purpose-aligned initiative reinforces that when you meet your workforce where they are and connect company values with personal values, you build trust and long-term engagement.

Rethinking success through purpose

As workforces are redefining what success looks like, one thing is clear: employees want more than a paycheque, they want to feel their work matters.

For employers leading with purpose is no longer optional. It’s a business advantage with purpose-led companies seeing stronger revenue, greater innovation and higher retention.

It’s time to shift our thinking and view purpose as the cornerstone of culture, strategy and success.

The pursuit of purpose: why meaningful work matters to employees