Not all organizations are the same. Each company has its own culture, policies, leadership style and even levels of enthusiasm at the workplace. Not every company prioritizes happiness in the workplace as it should.
In the past, most companies were just about results and they were not centered on employee satisfaction or the benefits of a happy workplace. As companies evolved, the new norm of leadership has changed from being authoritative to influential. This approach has proven to be more effective.
As the understanding of leadership has changed, so has company culture. Organizations now value employees over mere results. As the years passed, more and more studies have proved how focusing on employee satisfaction can be better for the growth of a company.
This includes having a happy workplace. There are a lot of benefits that come with having a happy workforce. Mentally healthy employees are more productive and creative, consequently more prone to deliver great results. However, having a workforce with high positive energies begins with having the right culture that fosters a happy workplace.
If you are unsure whether you should promote and practice having a happy workplace, know that this is what top companies invest a lot of money in. They do a lot of research and implementation to improve employee satisfaction and happiness.
This is because they understand how impactful the benefits of a happy workplace is. Here’s everything you need to know about the benefits of a happy workplace and why businesses with happy employees thrive:
A Happy Workforce is More Productive
A happy workplace is a consequence of having satisfied employees. According to a study published by the Social Market Foundation Publication on “Happiness and Productivity: Understanding the Happy-productive Worker”, happy employees are 20% more productive.
From another source, happiness was shown to have an even greater impact. According to the book, “The Happiness Advantage”, here is the impact of happiness at work:
- Sales increased by 37%.
- Productivity by 31% and
- Accuracy on tasks by 19%
Moreover, according to the iOpener Institute for People and Performance, happy employees stay twice longer at work and their belief in accomplishing their goals is doubled. A happy workplace also helps produce engaged employees.
An engaged workforce outperforms those who aren’t. According to Business2Community, organizations that have a highly engaged workforce outperform those with disengaged workers by as much as 202%.
According to relationwise, “happiness encourages creativity”. Creativity is essential in an organization for it to come up with innovative solutions to further advance and grow.
Happy Employees Are Healthier
According to the Guardian, “a happy workforce is a healthy and productive workforce”. One of the studies that support this fact is from six-year research conducted by Humana and the University of Michigan’s Ross School of Business.
They concluded that happy employees aren’t just more productive but they also cost less. Because happy employees are healthier, they take fewer sick days. According to Brigham Young University, absenteeism is reduced by as much as 27% when employees are healthy.
Less can also be spent on health insurance as they take fewer visits to the doctor. You experience fewer issues that non-healthy employees are having with healthier workers.
Less Employee Conflict
The negative effects of employee conflict can do a lot of damage to an organization. It ruins productivity, morale and can even have a negative effect on the reputation of the company. This can all result in loss of revenue.
Employee conflict doesn’t just affect those that are directly involved but also affects the other employees.
Here are results from a poll by the Harvard Business Review to show you just how destructive employee conflicts can be:
- 48% of employees decreased their efforts at working on purpose.
- 47% of employees decreased their time spent at work on purpose.
- 38% of employees decreased the quality of their work performance on purpose.
- 80% of employees lost work time just because of dwelling on the incident.
- 63% of employees lost work time trying to avoid their offenders.
- 78% of employees said their commitment to the company declined.
- 66% reported that the quality of their work performance decreased.
Included in the poll even stated that 25% of the workers admitted that they took their frustrations out on the clients or customers. If your organization is suffering from employee conflict, you need to address it before it spirals out of control.
To avoid employee conflict, educate your employees on how to reduce work stress. Encourage them to have positive relationships with their co-workers. Promote positive and generous communication.
Encourage them to be helpful with each other. You should also set a good example as a leader. Even sharing with them tools such as a student loan payoff calculator can mean a lot if they are having trouble with their student loan debt.
If you are successful in creating a happy workplace for your employees, you’ll have fewer problems with employee conflict. Moreover, your company can experience growth in employee productivity, better performance, and higher revenue.
Strive to create a positive company culture to reap the benefits of a happy workplace. Emulate top companies by following one of their best strategies, creating a happy workplace for their employees. Begin the transformative process today.