Communication continues to hit business performance
Companies are failing to effectively communicate changes to the business to staff and internal stakeholders.
In a business environment defined by constant change, broker Gallagher has published its 2026 Employee Communications Report which concluded that change management is now the most valued communications skill among industry and HR teams.
However, a majority of companies are not investing into relevant strategies or resources to support a change management scheme; 61% of companies have no formal approach to change communication.
The report, which contains insights from over 1,300 communications and HR professionals across 40 countries, also found that 83% of respondents believe information overload is a growing problem.
As internal teams come under more pressure, organisations are sending more messages to employees. Gallagher’s findings show this approach is counterproductive; in high-volume communication environments, employees feel overwhelmed. The result is a 30% rise in leader trust risk and a 24% increase in burnout risk.
William Ziebell, global chief executive officer of Gallagher’s Benefits & HR Consulting Division said: “In a fluid business and technological environment, change communication, EVPs and AI tools are high on organisations’ agendas. However, many companies do not have a clear plan for how to deliver on these priorities across the workforce. Without a structured approach, internal teams are increasing their volume, but if every message carries a sense of urgency, employees begin to tune out rather than listen closer. Ultimately, effective communication relies on giving IC and HR teams the resources to deliver the right message at the right time.”
“The value of the human insights cannot be underestimated when seeking to improve engagement. Employees want to know their feedback is being heard and in-person events and townhalls are the best venue for this.”
The report revealed a gap between expectations and capacity in internal communications (IC) and HR teams. As much as 69% of firms have fewer than six people in a comms role, regardless of whether the company has 500 employees or 50,000.
This resourcing pressure is compounded by budget constraints. One in five companies have less than $20,000 allocated for IC, and one in three have no budget for IC at all.
Against a backdrop of limited investment in tools, training and measurement, IC teams are stretched while being asked to deliver more. And as change becomes constant rather than occasional, under-resourced teams face an unsustainable challenge.
While an Employee Value Proposition (EVP) ranks as a top priority for many organisations, few have fully embedded it into day-to-day communications. In fact, only 15% have an active, socialized EVP and over a third (37%) do not have one in place at all.
The report also highlighted that an EVP helps to address the challenges organizations face to drive consistency with frontline employees. Desk-based organisations are three times more likely to have a well-understood EVP than primarily frontline workforces, with in-person town halls proving most effective in frontline settings.
“While HR and IC professionals are keen to embed AI in their workflows, 63% are still in an experimentation phase, and 75% describe their AI maturity as ad hoc or ‘discussion only’,” the report added. “In stark contrast, just 5% report optimised integration. As AI readiness becomes a key point of interest, the lack of a clear implementation program and a defined governance code will present an administrative challenge for communication teams.”







