Organizations that focus on workplace culture are more likely to outperform their peers. New research from Motivosity and HR.com shows this trend. The 2026 State of Workplace Culture and Connection Report shows that companies with strong cultures are nearly twice as likely to experience significant revenue growth as those with weaker cultures.
The study uses survey responses from employees, managers, and executives worldwide. It looks at how connection, recognition, leadership trust, and access to engagement data affect retention and business performance. Culture is a key factor in employee loyalty. In fact, 83% of respondents said they stay at their organization mainly because of the culture and the people they work with.
Despite its importance, the report finds that many organizations undermine their cultural advantage. Inconsistent recognition practices and limited cross-functional connections weaken trust and engagement. Many employees feel more connected at work than a year ago, but these connections mostly involve their immediate teams. This leaves broader organizational relationships underdeveloped.
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“Culture is built through everyday moments of connection; not giving your people more stuff or a fully-stocked breakroom,” says Scott Johnson, CEO and Founder of Motivosity. “This report confirms what we’ve long believed at Motivosity: when employees feel seen, valued, and connected, trust grows, engagement improves, and performance follows. The organizations thriving in 2026 aren’t doing more; they’re making culture a core part of their business strategy and prioritizing connection, employee engagement, and recognition as a way to reinforce the right behaviors consistently.”
The research also highlights a data gap among leaders. Although two-thirds of organizations strive to engage in employee engagement surveys, most managerial and executive groups are not fully aware of significant metrics such as employee Net Promoter scores and turnover rates. However, culture-leading organizations seem to be more aware of such issues as recognition practices, management trust, and business results.
