Why a happy workforce is better for business – and how to achieve it

By Laura Forsyth

Being happy at work isn’t just a win for employees; it can also be a powerful tool for employers to help build growth and success. But creating a happy workforce doesn’t happen by accident. It takes time – and a solid strategy.

Commenting as part of Employee Appreciation Day, Alan Lusty the CEO of engineering firm adi Group, said: “It’s important for every business owner to know that people are at the heart of every business, and ensuring employee wellbeing plays a key role in building a successful business capable of thriving in the long term.

“Happy employees are more productive, make less mistakes, and are more loyal and creative, amongst other things – all of which have can have enormous impact on business growth and profits.”

Research reveals that unhappy employees take more sickness days per year on average – and this lost productivity is costing the UK economy £11 billion annually.

“And with poor workplace mental health costing UK employers approximately £53 to 56bn every year, it is clear that there is much more employers can and should do to improve their employees’ wellbeing.

Here, Alan shares his roadmap on how to build a happy workforce.

A bespoke approach

First, it’s important to remember that every individual is different, and that they’ll require different ways of being supported, and different types of resources.

Flexibility is key – employees will often be willing to tell you what they need in order to be happy at work, but it’s vital to be asking these questions proactively. This in itself shows employees that you’re taking steps to support and invest in their wellbeing.

However, nothing is worse than empty promises. Employers must be willing to apply employees’ feedback within a realistic timeline, wherever possible, or otherwise communicate why certain requests can’t be implemented.

Some may be looking for more flexible work hours to accommodate specific needs, such as parents, while others who are just starting out in their career may need relevant training and development opportunities. It’s vital to keep an open mind.

Benefits, benefits, benefits

Supporting employee wellbeing starts with providing the right benefits.

Offering learning and development opportunities that support your workforce’s passions and advance their skills is particularly beneficial, both to the business, who will benefit from a more skilled workforce and increased loyalty, and to the individual, who will naturally feel more confident and motivated.

Benefit packages that support mental wellbeing are also pivotal; now more than ever. The growing mental health crisis in the UK is a stark and alarming reality, and we need effective measures in place to reduce stress and anxiety and prevent burnout.

Recognising hard work

It is of paramount importance that employers put strategies and systems in place that recognise and reward their employees’ hard work.

This is instrumental in making employees feel valued – ultimately, everyone wants to feel like the work they do matters.

Celebrating employees’ achievements with internal or external awards, company-wide newsletters, peer recognition programmes and other events can go a long way in increasing employee happiness.

Equally, employees want to know that there are opportunities for career progression that recognise talent, continuous quality work, and high performance.

One of the main reasons why employees leave a business nowadays is because they feel there are no opportunities for career progression. Employers should always seek to provide their employees with a natural path for progression within their organisation.

A positive and inclusive environment

The environment for a happy workforce matters. To keep employees motivated, business owners need to create a workplace that champions diversity and inclusivity, one where everyone feels welcome.

And as previously mentioned, the mental health crisis is rampant on a nation-wide level. This is why fostering a culture that prioritises mental wellbeing, reduces stigma and encourages an open conversation about the topic is crucial.

In tandem with an approach that prioritises openness, employees should be kept informed of relevant business goals, updates, activities, milestones and more.

Take this one step further by keeping employees involved, asking for their ideas and feedback on key areas such as responsible business, carrying out employer surveys and overall enforcing a culture of transparency and open participation.

An aspirational organisation

Employees want to take pride in the organisation they work for. Owners must therefore be proactive in enforcing strategies that prioritise responsible business, supporting our community and our environment and the future industry they work in.

Your business should be contributing positively to the wellbeing of your local community, such as via volunteering and fundraising initiatives – opportunities your staff can get involved in.

Equally, you should look towards innovation and sustainable development within your industry, as well as the enforcement of environmentally friendly practices.

Implementing these strategies will contribute to creating a business with a forward-looking and socially responsible mindset – one that will significantly contribute to employee happiness.