2026 TD Challenges: Engagement, Change, and Culture

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After years of sustained chaos, Wiley’s latest Workplace Intelligence report predicts that 2026 also will be filled with core challenges for talent development professionals.

After years of sustained chaos, Wiley’s latest Workplace Intelligence report predicts that 2026 also will be filled with core challenges for talent development professionals.

Engagement continues to erode

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Not surprisingly, 30 percent of respondents to Wiley’s survey of 1,500 HR and L&D leaders flag employee engagement as a major challenge for the coming year. That corresponds with data from Gallup , which shows that following a peak in 2020, when 36 percent of employees said they were engaged, engagement steadily declined to just 31 percent by the close of 2025. Declines were steepest among Gen Z and millennial workers, driven by a lack of role clarity and feeling undervalued, reports Gallup.

Not surprisingly, 30 percent of respondents to Wiley’s survey of 1,500 HR and L&D leaders flag employee engagement as a major challenge for the coming year. That corresponds with data from Gallup, which shows that following a peak in 2020, when 36 percent of employees said they were engaged, engagement steadily declined to just 31 percent by the close of 2025. Declines were steepest among Gen Z and millennial workers, driven by a lack of role clarity and feeling undervalued, reports Gallup.

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The engagement picture dims further when you consider insights from SHRM’s State of the Workplace 2026 report : Seventy-two percent of HR professionals say that workers have higher expectations of employers today. Among workers who believe their organization is ineffective at addressing workplace needs, SHRM found that half are at least somewhat likely to leave their employer within the next year.

The engagement picture dims further when you consider insights from SHRM’s State of the Workplace 2026 report: Seventy-two percent of HR professionals say that workers have higher expectations of employers today. Among workers who believe their organization is ineffective at addressing workplace needs, SHRM found that half are at least somewhat likely to leave their employer within the next year.

Change remains a constant

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Two-thirds of Wiley’s respondents anticipate more change in the year ahead, saying they feel “ stretched by relentless change, competing priorities, and rising uncertainty .” What’s more, Wiley researcher Tracey Carney, who headed the study, notes in a blog post that “many people lack confidence in their organization’s ability to adapt to change.”

Two-thirds of Wiley’s respondents anticipate more change in the year ahead, saying they feel “stretched by relentless change, competing priorities, and rising uncertainty.” What’s more, Wiley researcher Tracey Carney, who headed the study, notes in a blog post that “many people lack confidence in their organization’s ability to adapt to change.”

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That sentiment concurs with a 2025 Gartner survey of 141 HR leaders, which reveals that 79 percent of employees report low trust in organizational change, and four in 10 leaders claim change is a significant source of stress for their teams. Likewise, DDI’s Global Leadership Forecast notes that only 13 percent of HR leaders believe organizational leadership is “very capable” of anticipating and reacting to change.

That sentiment concurs with a 2025 Gartner survey of 141 HR leaders, which reveals that 79 percent of employees report low trust in organizational change, and four in 10 leaders claim change is a significant source of stress for their teams. Likewise, DDI’s Global Leadership Forecast notes that only 13 percent of HR leaders believe organizational leadership is “very capable” of anticipating and reacting to change.

Culture in crisis

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Wiley reports that culture improvement is top of mind for nearly one-third of leaders. Findings from SHRM’s 2026 CHRO Priorities and Perspectives report are nearly identical, with 31 percent of respondents saying workplace culture is a principal priority.

Wiley reports that culture improvement is top of mind for nearly one-third of leaders. Findings from SHRM’s 2026 CHRO Priorities and Perspectives report are nearly identical, with 31 percent of respondents saying workplace culture is a principal priority.

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Unfortunately, according to research reported in Harvard Business Review , 72 percent of culture initiatives led to no improvements because employees believed they were superficial, and 57 percent of workers felt worse after organizations launched a culture-building perk.

Unfortunately, according to research reported in Harvard Business Review, 72 percent of culture initiatives led to no improvements because employees believed they were superficial, and 57 percent of workers felt worse after organizations launched a culture-building perk.

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That recent data can seem daunting, but there is a bright spot: Seventy-three percent of HR and L&D leaders tell Wiley they still feel optimistic about their organization’s future. Carney asserts in a press release that leaders have a brief window in 2026 to convert any employee optimism into action “by rebuilding trust, improving communication, and reinvesting in their people. Organizations that don’t seize this moment may risk letting it slip away.”

That recent data can seem daunting, but there is a bright spot: Seventy-three percent of HR and L&D leaders tell Wiley they still feel optimistic about their organization’s future. Carney asserts in a press release that leaders have a brief window in 2026 to convert any employee optimism into action “by rebuilding trust, improving communication, and reinvesting in their people. Organizations that don’t seize this moment may risk letting it slip away.”

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Read more from Talent Development Leader.

Read more from Talent Development Leader.