Perceptyx research reveals a persistent problem: only 53% of employees agree that change is handled effectively in their organization. This finding, drawn from Perceptyx's 2025 Benchmark Database of millions of global respondents, points to a gap between organizational aspirations and employee experience during times of transformation.
This research, compiled in our new Transformation & Change Guidebook, identifies the specific communication gaps, manager readiness failures, and listening practices that predict whether change efforts succeed or stall.
Change management is the structured process organizations use to prepare, support, and guide employees through significant transitions such as reorganizations, technology rollouts, mergers, layoffs, and strategy shifts.
At the project level, change management helps people adopt a specific new process, system, or way of working. At the organizational level, it helps leaders coordinate communication, manager support, listening, and reinforcement across broader transformations that affect multiple teams or the entire company.
This structure matters because only 53% of employees agree that change is handled effectively in their organization. When organizations treat change as a managed process rather than a series of announcements, employees are more likely to understand what is changing, why it is happening, and how they can adapt.
Organizations now manage change as an ongoing condition, not a discrete project with a defined end date. Our recent research has explored how organizations are being forced to navigate an endless stream of disruptions: layoffs, return-to-office mandates, economic uncertainty, natural disasters, and artificial intelligence integration. Despite this volume of communication, 53% favorable scores on change effectiveness suggest that most organizations are broadcasting change at employees rather than building readiness with them.
In Perceptyx's ongoing Workforce Panel, more than 4 in 10 employees shared that they have received communications from their senior leaders regarding a change or disruption impacting their organization. Despite this frequency of communication, global benchmark data reveals that positive perceptions about change handling remain stubbornly low at just 53%, reflecting vision clarity gaps that often exist between leadership and frontline employees.
This disconnect between communication frequency and effectiveness points to a structural problem. Many organizations treat change as something to announce rather than something to manage. Without a structured yet flexible approach that supports people through transitions from their current state to a future state, even frequent communication fails to build confidence or readiness.
When it comes to navigating change, few factors are more influential than a strong sense of belonging. Employees who feel a strong sense of belonging are 2.4x as likely to feel supported in adapting to change. This shows that trust and inclusion serve as important foundations for transformation readiness.
Similarly, engaged employees are 2.1x as likely to say their organization handles change effectively. These multipliers show that change management outcomes depend on belonging and engagement, not only on project timelines or communication volume. Organizations that invest in both see measurably better results.
For the first time since Perceptyx began studying this relationship, feeling supported through change also emerged as a top driver of belonging. When employees see their input being valued and feel supported as they navigate change, they're more likely to stay connected, committed, and engaged.
Our guidebook identifies five pitfalls that can derail transformation efforts.
Organizations often focus heavily on announcements and rollouts, then quickly shift attention elsewhere. This leaves employees without continued support or clarity as change unfolds. Effective change management requires treating transformation as an ongoing journey, supported by a project-like framework with defined phases for planning, implementation, and reinforcement. Regular check-ins, progress updates, and consistent reinforcement of the 'why' behind the transformation keep employees grounded as work evolves around them.
Technical aspects like new tools and processes often overshadow the emotional and psychological impact on employees. When people feel left out, uncertain, or overwhelmed, even well-planned initiatives falter. Successful organizations integrate empathy into their change strategy, acknowledging challenges and providing both emotional and practical support.
Managers are often the first point of contact for employees experiencing change, yet they're frequently left out of the loop or receive guidance too late. This forces managers to answer questions they can't confidently address. Organizations that equip managers early and often see better change outcomes.
Information overload about what's changing, without insight into why it's happening or how employees should adapt, creates fatigue and disengagement. Effective change communication balances clarity with meaning, starting with purpose and vision before addressing practical details.
Without clarity on what remains stable, employees may feel everything is uncertain. Reinforcing core values, team norms, and unchanging aspects of work provides reassurance and continuity during transitions.
An effective change management process includes five connected steps:
Assess readiness by using survey data to reveal gaps in trust, belonging, and manager confidence.
Communicate the "why" clearly, especially because more than 3 in 10 employees don't understand the reason behind changes taking place at their company.
Equip managers early, since managers rank "effectively managing change" as one of the top areas where they need coaching.
Listen throughout the transition using a mature listening strategy, as employees who experience open and honest communication are 4.4x as likely to say change is handled effectively.
Reinforce and sustain the change by clarifying what is staying the same and tracking engagement and belonging over time.
Each step builds on the one before it. Organizations that treat this as a checklist rather than a continuous process tend to see short-term compliance but long-term disengagement.
Our research has identified five "Moments that Matter" where organizations can build transformation capability:
Hiring and Onboarding: Setting expectations about the dynamic nature of work and the organization's approach to change helps attract and retain employees who thrive in evolving environments.
Role or Team Transitions: These personal changes offer opportunities to reinforce adaptability and gather feedback about how well the organization prepares people for new challenges.
Organizational Change Events: Large-scale transformations like restructuring or technology rollouts require deep listening to understand employee concerns and adapt approaches accordingly.
Long-Tenured Employees: These culture keepers bring historical context but may carry skepticism from past failed changes. Their insights can help organizations learn from history while building future readiness.
Separations and Exits: Exit feedback often reveals drops in key metrics. Although 72% of current employees say they are encouraged to provide ideas about improving the company, this drops to just 57% among those exiting the organization. Similarly, perceptions that sufficient effort is made to gather employee opinions fall from 64% to 48% at exit.
Effective change communication goes beyond frequency, but leaders should also recognize that communication alone does not constitute change management. Organizations must support people through their transitions, not just inform them about what's changing. That said, the quality of communication matters enormously. Among employees who agree that people in their organization communicate openly and honestly, 4.4x as many say change is handled effectively. This transparency builds trust and strengthens commitment.
According to data from Perceptyx's Workforce Panel, 43% of employees say senior leaders have communicated that their organization is currently experiencing a change or disruption. Another 1 in 5 say they believe communication may have occurred, but they aren't clear on it.
Key communication practices include:
Being honest about what is known and what is still unfolding,
Explaining the rationale behind decisions,
Acknowledging concerns without sugarcoating,
Connecting change to longer-term strategic goals,
Sharing stories of impact and early wins, and
Providing regular updates even when full information isn't available.
Alongside sharing what's changing, leaders must clarify what will remain the same. This helps employees anchor themselves in familiar ground amid uncertainty.
Managers serve as the bridge between organizational strategy and employee experience. Yet when asked to rate themselves on the 17 most important manager behaviors that Perceptyx has identified, managers ranked "effectively managing change" as the third-highest area where they need coaching.
The data reveals concerning gaps that contribute to the high cost of poor people management. Just 51% say their manager can adapt to change, and only 48% say the same of senior leaders. Based on data from Perceptyx's Workforce Panel, only 60% of employees feel that sufficient effort is made to get the opinions of people within their organization. This same item is also a powerful differentiator of engagement, with highly engaged employees responding 2.1x as favorably to it compared to those who are less engaged.
To close these gaps, organizations must:
Provide managers with clear, timely information,
Offer training and toolkits for leading difficult conversations,
Allow flexibility in how managers deliver key messages,
Create space for managers to ask questions and raise concerns, and
Support managers in maintaining team morale during transitions.
Successful transformations share common traits: they use employee data to guide decisions, treat change as a long-term process, and track measurable outcomes over time. The following customer success stories illustrate these principles in action.
ABC Fitness addressed engagement gaps in its fully remote organization through targeted initiatives. With an 85% response rate, survey results shaped seven targeted initiatives to strengthen global connections. By December 2024, collaboration rose 3%, leadership approachability reached 91%, and 95% of employees reported respectful treatment from managers.
Ambry Genetics reversed a cultural crisis through methodical, data-driven improvements over three years. Turnover fell from 20% to 9%, stay intention rose from 73% to 82%, and communication satisfaction climbed from 67% to 79%.
Encova Insurance navigated a complex merger and rebrand by making survey participation a cornerstone of its integration strategy. Engagement jumped from 75.9% in 2018 to 88% in 2023. Most notably, future optimism surged 25 points, from 59% to 84%.
Across all three cases, patience and consistent measurement made the difference. Improvement did not come from a single initiative — it came from sustained attention to the employee experience over months and years.
Poor change management erodes trust, drives turnover, and creates a culture where employees disengage rather than adapt. When change is handled without structure or transparency, employees lose confidence in their organization's ability to lead through uncertainty. Layoffs represent one of the most disruptive examples of this pattern.
Our research has reaffirmed that layoffs represent one of the most disruptive change events. Perceptyx research shows that 1 in 3 workers have been laid off at some point in their career. Following a layoff or restructuring, 58% of employees say they're more likely to look for a job elsewhere, even if their role remains unchanged. Even the risk of layoffs has a definite impact: only 44% report being fully engaged when layoffs are rumored.
Among employees who said layoffs were communicated openly, 61% reported being fully engaged. This is 3x higher than those who experienced silence or spin.
According to the Perceptyx 2025 Benchmark Database, more than 3 in 10 employees don't understand the reason behind changes taking place at their company. Closing that gap requires action at every level.
Explain the "why" early and often.
Equip managers before announcements, so leaders and managers who have been given the proper training and development can answer questions with confidence.
Listen continuously by listening and responding during transformation.
Track progress with data.
When organizations pair clear rationale, manager readiness, continuous listening, and measurement, employees are more likely to feel supported through change.