4 ways to create a happy workplace and increase retention
SEEK’s Workplace Happiness Index has found that only 55% of Australians report that they feel happy at work.
Being happy at work isn’t just a win for employees; it’s also a win for employers. SEEK’s survey reveals that among those happy at work, 69% are motivated to go above and beyond with their work.
Happy employees are also less likely to search for a new job - 83% of unhappy workers think about changing jobs often, compared to only 45% of happy workers. Whereas, among those unhappy at work, 83% think about changing roles often.
What’s impacting happiness at work?
SEEK’s survey asked over 1,200 workers across a broad range of roles and positions how happy they currently are with different areas of their work, including work-life balance and senior management.
Having purpose at work is the most important contributor to happiness for Australian workers. Australians also consider their manager, day-to-day responsibilities, company culture and stress levels as very important factors in their happiness at work.
Boosting happiness leads to retention - here's what you can do
“Change doesn't happen overnight", says Transitioning Well Co-Director and Organisational Psychologist, Justine Alter. “But there are steps you can take to improve outcomes for your workers.”
1. Listen to generational needs
Aimee Hutton, Head of Customer Insights and Strategy at SEEK, suggests listening and understanding what’s important to workers across different generations.
“For Gen Z, daily responsibilities are the top priority, while Gen Y places stress management at the forefront. Gen X views their manager as the key driver of happiness, whereas Baby Boomers prioritise having a sense of purpose in their work”, says Aimee.
By understanding these generational differences, leaders can tailor their workplace practices, creating a more supportive and engaging environment for employees across different generations.
Click on the different generations below to see how happiness shifts for each generation:
What impacts happiness at work for Baby Boomers?
61%
happy*2. Foster meaningful and impactful work
Justine suggests showing employees how their day-to-day responsibilities align with the broader mission and values of the organisation.
“The impact a person’s role is having on an organisation is not always going to be obvious to a worker,” Justine says. “So it’s important to communicate that value. That alone can have a huge impact on how an employee feels about coming to work each day.”
You may also want to consider creating opportunities for workers to engage in projects that resonate with their personal values, while also nurturing their professional growth.
3. Build trust and understand management styles
The second biggest driver of happiness is who your manager is. People want to work with a manager who is supportive and invested in their growth, so they feel valued and empowered to excel.
Consider holding regular meetings to provide a safe space where employees can openly discuss concerns and share feedback. Justine also recommends having transparent conversations about individual management preferences and expectations, ensuring a clear understanding of working styles.
“It’s important to take an individual approach when it comes to managing a team,” says Justine. “We know that each individual will have their own preferences in terms of how they work, and what they need to best deliver outcomes. The same can be true for what makes them happy at work. When we take the time to understand each other's working styles, we build stronger teams”, says Justine.
4. Continue to develop team culture
If you want to create a happy workplace, culture needs to be on your radar. However, workplace culture isn’t simply a box you can check off. As Justine explains, “Culture is more than a list of values posted in the tearoom”.
Justine urges leaders to prioritise modeling the organisation’s values and behaviors, promoting diversity and inclusivity, encouraging life-work balance, recognising contributions, and fostering collaboration and teamwork.
And if you want to learn more about how to foster positive workplace culture, read: What employees are looking for in 2024.
By creating a supportive and purpose-driven workplace, employers can enhance motivation and performance, leading to both individual happiness and organisational success.
Access the complete Workplace Happiness Index Report here.
Source: Research conducted for SEEK by Nature, between April and June 2024 via an online survey. Responses were gathered from over 1,200 individuals currently in the workforce (either employed or looking for work), aged 18-64, and living in Australia.