New research shows that confidence in leadership is the #1 driver of employee engagement in 2025. But confidence isn’t about charisma—it’s about actions, integrity, and communication.

Ah, performance reviews. A well-structured performance review process drives engagement, retention, and career growth, but too many businesses leave it to the last minute. Preparing now—by training managers, updating templates, and focusing on meaningful conversations—ensures reviews are impactful rather than just a compliance exercise.

With ongoing updates to awards, enterprise agreements, and Fair Work regulations, now is the time to review contracts, payroll, and policies to ensure compliance. A proactive audit not only protects your business from financial and reputational risk but also builds trust with employees!

Reference checks can provide valuable insights into a candidate’s past performance, but they are often inconsistent, unreliable, and limited in predicting future job success. While not a replacement for robust selection methods like structured interviews and pre-employment testing, they remain a useful final step in hiring, particularly when automated tools are used to ensure efficiency and fairness.

Competencies are the combination of skills, knowledge, and behaviours that define how employees excel in their roles, bridging the gap between responsibilities and effective performance. When clearly defined, competencies enhance talent recruitment, career development, and team cohesion, making them vital for employee retention and organisational success.

A structured mentoring program fosters engagement, builds meaningful connections, and supports a culture of growth by providing a space for mentors and mentees to share knowledge and grow together. Defining a clear purpose, establishing an effective framework, and celebrating success are key to unlocking the potential of mentoring within organisations.

Mark Price’s Happy Economics outlines six drivers for workplace happiness, reinforcing that employee well-being is key to productivity, innovation, and resilience. Achieving this requires meaningful leadership, empowered managers, substantive well-being initiatives, and a deliberate focus on measuring and improving happiness.

Confidence in leadership is the top global driver of employee engagement, highlighting the importance of leaders valuing their people, aligning decisions with organisational values, and fostering motivation!

While AI promises significant productivity gains, most employees haven’t yet integrated it into their daily work. Leaders could actively support AI adoption by providing training and clear use cases, which helps teams unlock AI’s potential.