First It Was Quiet Quitting, Now Workers Are Facing Off With Their Bosses
Employee frustrations impact productivity and worker retention, Gallup says
3 min
More and more Americans aren’t feeling great at work.
Half of workers aren’t engaged on the job, putting in minimal effort to get by, according to research by Gallup released Tuesday. Employee engagement in the U.S. declined for the second year in a row. There is also a growing share of the workforce that is disengaged, or resentful that their needs aren’t being met. In some cases, these workers are disgruntled over low pay and long hours, or they have lost trust in their employers.
“Employers are just not as in touch with employees,” said Jim Harter, chief workplace scientist at Gallup and lead author on the report. Some of the recent shift in attitude stems from workers having unclear expectations from their managers.
Workers’ frustrations have been building since 2021, after Gallup-measured U.S. worker-engagement levels hit their highest level on record in 2020. In the spring and summer of 2020, as Covid-19 spread and there was social unrest in the wake of George Floyd’s murder, executives at many companies had town halls and listening sessions with employees, communicating organisational mission and keeping workplace relationships strong.
This year, more companies are trying to bring workers back to offices as bosses fret about worker productivity and loyalty.
Gallup surveyed more than 60,000 people in the U.S. to compile the report, which has tracked Americans’ sentiment about their jobs since 2000, and says engaged workers are more productive and tend to stay at their jobs for longer.
“If you feel like your employer isn’t giving you what you need to do your work, you’re going to be much less loyal—and looking for other work,” said Harter.
The remote work divide
Gallup’s findings come amid backlash from workers, many of whom have recently stepped up protests against in-office requirements as companies change pandemic-era policies.
Workers at insurer Farmers Group called to unionise, and some pledged to quit after a new chief executive said he would require most workers to be in-office three days a week. Amazon.com workers demonstrated at lunch recently against a hybrid-work policy with three days in the office a week.
An employee’s relationship with a direct boss is more important to engagement than where people work, said Harter. One way to build these connections is for managers to have meaningful conversations with their employees, preferably at least once a week.
Working on trust
Many employees see shifts away from flexible schedules and remote work options as a signal that executives don’t trust them to do their jobs outside of the office. Others say benefits to remote work they experienced during the pandemic, including more time with family and cutting back commutes, are now critical to their happiness.
The employers making more in-office work a requirement are, in part, motivated by trying to bolster workers’ loyalty, which they correlate with longer retention, said Katy George, a senior partner and chief people officer at McKinsey & Co.
Kyle Pflueger, 34 years old, was hired in 2020 to work remotely as a product manager. He met his co-workers in person just a few times over the years and never felt fully connected to his work or colleagues, but as the breadwinner for his family, he needed the pay, retirement benefits and health insurance.
Pflueger left his full-time job this month to focus on his independent projects.
“I wasn’t feeling particularly happy with the work that I was doing,” he said. He now works full time for himself, building and maintaining websites for businesses.
Looking for less stress
Workers also said they were more stressed this year than last, according to Gallup’s survey. American workers are among the most stressed, tied with workers in Canada and parts of East Asia.
Workplace stressors include low salaries, long hours and a lack of opportunity for advancement, according to an October report from the U.S. Surgeon General. The report also warned that workplace stress can be bad for mental health, disrupt sleep and raise one’s vulnerability to infection.
Michele Spilberg Hart, who directs marketing for a Boston-area health nonprofit, said that she has told her staff to take time off when they aren’t feeling well mentally or physically. Their work isn’t life-or-death, and taking breaks can help people come back with more energy and better ideas, she said.
“They cannot do good work and be healthy if they’re not taking care of themselves first,” she said. “If you don’t take care of yourself, nobody else will.”
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Selloff in bitcoin and other digital tokens hits crypto-treasury companies.
3 min
The hottest crypto trade has turned cold. Some investors are saying “told you so,” while others are doubling down.
It was the move to make for much of the year: Sell shares or borrow money, then plough the cash into bitcoin, ether and other cryptocurrencies. Investors bid up shares of these “crypto-treasury” companies, seeing them as a way to turbocharge wagers on the volatile crypto market.
Michael Saylor pioneered the move in 2020 when he transformed a tiny software company, then called MicroStrategy , into a bitcoin whale now known as Strategy. But with bitcoin and ether prices now tumbling, so are shares in Strategy and its copycats. Strategy was worth around $128 billion at its peak in July; it is now worth about $70 billion.
The selloff is hitting big-name investors, including Peter Thiel, the famed venture capitalist who has backed multiple crypto-treasury companies, as well as individuals who followed evangelists into these stocks.
Saylor, for his part, has remained characteristically bullish, taking to social media to declare that bitcoin is on sale. Sceptics have been anticipating the pullback, given that crypto treasuries often trade at a premium to the underlying value of the tokens they hold.
“The whole concept makes no sense to me. You are just paying $2 for a one-dollar bill,” said Brent Donnelly, president of Spectra Markets. “Eventually those premiums will compress.”
When they first appeared, crypto-treasury companies also gave institutional investors who previously couldn’t easily access crypto a way to invest. Crypto exchange-traded funds that became available over the past two years now offer the same solution.
BitMine Immersion Technologies , a big ether-treasury company backed by Thiel and run by veteran Wall Street strategist Tom Lee , is down more than 30% over the past month.
ETHZilla , which transformed itself from a biotech company to an ether treasury and counts Thiel as an investor, is down 23% in a month.
Crypto prices rallied for much of the year, driven by the crypto-friendly Trump administration. The frenzy around crypto treasuries further boosted token prices. But the bullish run abruptly ended on Oct. 10, when President Trump’s surprise tariff announcement against China triggered a selloff.
A record-long government shutdown and uncertainty surrounding Federal Reserve monetary policy also have weighed on prices.
Bitcoin prices have fallen 15% in the past month. Strategy is off 26% over that same period, while Matthew Tuttle’s related ETF—MSTU—which aims for a return that is twice that of Strategy, has fallen 50%.
“Digital asset treasury companies are basically leveraged crypto assets, so when crypto falls, they will fall more,” Tuttle said. “Bitcoin has shown that it’s not going anywhere and that you get rewarded for buying the dips.”
At least one big-name investor is adjusting his portfolio after the tumble of these shares. Jim Chanos , who closed his hedge funds in 2023 but still trades his own money and advises clients, had been shorting Strategy and buying bitcoin, arguing that it made little sense for investors to pay up for Saylor’s company when they can buy bitcoin on their own. On Friday, he told clients it was time to unwind that trade.
Crypto-treasury stocks remain overpriced, he said in an interview on Sunday, partly because their shares retain a higher value than the crypto these companies hold, but the levels are no longer exorbitant. “The thesis has largely played out,” he wrote to clients.
Many of the companies that raised cash to buy cryptocurrencies are unlikely to face short-term crises as long as their crypto holdings retain value. Some have raised so much money that they are still sitting on a lot of cash they can use to buy crypto at lower prices or even acquire rivals.
But companies facing losses will find it challenging to sell new shares to buy more cryptocurrencies, analysts say, potentially putting pressure on crypto prices while raising questions about the business models of these companies.
“A lot of them are stuck,” said Matt Cole, the chief executive officer of Strive, a bitcoin-treasury company. Strive raised money earlier this year to buy bitcoin at an average price more than 10% above its current level.
Strive’s shares have tumbled 28% in the past month. He said Strive is well-positioned to “ride out the volatility” because it recently raised money with preferred shares instead of debt.
Cole Grinde, a 29-year-old investor in Seattle, purchased about $100,000 worth of BitMine at about $45 a share when it started stockpiling ether earlier this year. He has lost about $10,000 on the investment so far.
Nonetheless, Grinde, a beverage-industry salesman, says he’s increasing his stake. He sells BitMine options to help offset losses. He attributes his conviction in the company to the growing popularity of the Ethereum blockchain—the network that issues the ether token—and Lee’s influence.
“I think his network and his pizzazz have helped the stock skyrocket since he took over,” he said of Lee, who spent 15 years at JPMorgan Chase, is a managing partner at Fundstrat Global Advisors and a frequent business-television commentator.
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