PETALING JAYA: With more employees disengaging or “quiet quitting”, human resources professionals say several key factors are driving the trend, including burnout, lack of work-life balance, poor motivation and lingering effects of the Covid-19 pandemic.
According to Gallup’s State of the Global Workplace survey, only 21% of employees worldwide are engaged while 59% are quietly disengaged or “quiet quitting”.
Licensed recruitment agency Talentvis Malaysia executive director Serene Koh said these underlying issues not only reduce individual productivity, but also lower team morale, strain mental and physical health, and on a broader scale, impact national economic performance.
“We are also seeing a clear shift among Gen Z professionals as they are no longer just looking for a job, but a workplace that aligns with their lifestyle and values.
“They prioritise work-life balance through flexible working arrangements, expect clear growth and development plans, and seek purpose in the work they do. They want to feel that their contributions matter.
“In today’s competitive labour market, these changing dynamics are forcing employers to rethink how they engage, retain and grow their talent,” she told theSun.
She added that given the shifts in the post-pandemic job market, effective employer branding hinges on authenticity and adaptability, and must reflect the real employee experience, not just curated messaging.
She also said key elements include legitimacy, openness and the ability to evolve alongside changing workplace policies and expectations.
“Companies that succeed in employer branding are those that align their internal culture with their external promises, building trust with current and potential talent.
“When employees feel that their experiences match what was advertised, it fosters loyalty, engagement and a stronger sense of purpose, which are essential elements in today’s competitive talent landscape.”
Koh said enhancing employee
experience through better communication and engagement is crucial, not only to
retain current talent but also to attract
new candidates.
“Looking ahead, the kind of workplace culture that would best support resilience and talent retention in Southeast Asia is one that embraces diversity and inclusion, fosters a high-trust environment with open communication, and prioritises employee well-being and growth opportunities.”
She added that such a culture encourages people to bring their full selves to work, adapt to change more effectively and remain engaged for the long term.
“It is about creating a workplace in which people feel heard, supported and empowered to grow,” she said.
Talentvis regional human resources lead Catherine Wee said companies today face growing challenges in retaining top talent, particularly among younger employees.
In Southeast Asia, where millennial and Gen Z workers make up more than 50% of the workforce, expectations have changed.
The Randstad Workmonitor 2025 report revealed that 57% of Malaysian workers, rising to 58% among Gen Z and millennials, would leave their jobs if they did not receive adequate career development support from their managers.
“Many also leave due to limited internal mobility and lack of clear development pathways, with younger professionals expecting opportunities for cross-functional exposure or project-based roles.
“Workplace culture and leadership style play a critical role as this generation values open communication, psychological safety and inclusive leadership,” she said.
She also said younger talent places high importance on transparency in compensation and fairness in career advancement, and many are disengaged when companies fail to offer personalised career planning and recognition.
“The concept of employee engagement has significantly evolved in the post-pandemic era, shifting from physical presence to emotional connection. The focus is now on impact and involvement rather than just attendance.
“In retaining Gen Z and millennial talent, companies must balance flexibility with accountability. This means not just offering remote or hybrid options, but also doing so with clear goals and expectations,” she said.
Wee said career growth should be embedded in the role itself, with managers empowered to act as career coaches, offering personalised guidance to help young employees grow according to their aspirations and learning styles.