The low productivity in organizations can cost millions of dollars in lost revenue. Low productivity is important to organizational leaders because it can lead to lower profits for businesses. Organizational leaders who understand employee behaviors that increase productivity can reduce lost revenue from high turnover rates and low employee retention. Grounded in social cognitive theory, the purpose of this quantitative correlational study was to examine the relationship between virtual employee engagement, employee self-efficacy, and productivity. Survey data from 81 virtual workers were analyzed using multiple linear regression. Results indicated the full model containing 2 predictor variables (employee self-efficacy and employee engagement) was significantly related to productivity, F(2, 78) = 11.78, p < .001, R² = .22. Employee self-efficacy was statistically significant (β = .42, p < .01. Employee engagement (β = .09, p = .37) did not provide any significant variation in productivity. A key recommendation is for virtual business managers to implement policies that boost self-efficacy enhancers such as goal setting and performance, selection and promotion decisions, and training and development methods. The implications for positive social change include the opportunity for virtual business managers to improve virtual employees’ work behaviors and outcomes, enhancing employees’ health and well-being, the growth of the community they work in, and the sustainability of their organizations