Employee engagement has emerged as a central theme in organizational psychology and human resource management, consistently linked to outcomes such as productivity, innovation, and employee retention. Traditionally regarded as a reflection of well being and organizational commitment, engagement is now increasingly examined through the lens of psychological mechanisms and ethical considerations. This paper traces the historical development of engagement theory, from early motivational frameworks to contemporary multidimensional models, and synthesizes the key drivers that sustain engagement, including autonomy, purpose, and social exchange. It further explores how organizations cultivate and maintain engagement, while also addressing the risks of instrumentalizing human needs for performance gains. By integrating insights from motivational theory, behavioral psychology, and organizational practice, the analysis highlights both the potential and the pitfalls of engagement strategies. The discussion concludes with ethical reflections and practical recommendations aimed at fostering authentic, sustainable engagement that enhances organizational outcomes while safeguarding employees’ psychological integrity and dignity..
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