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5 Reasons Why Happy Employees Increase Productivity

Having a team of happy employees is extremely important – for both the survival and performance of any business. Happier employees work harder, work better together, and are more productive.  But why does happiness increase productivity? Why does actually enjoying your job lead you to be more productive? Being happy at work means thoroughly enjoying […]

Written By Sarah Mooney

On May 8, 2020

Dedicated wellness expertise each step of the way.

Having a team of happy employees is extremely important – for both the survival and performance of any business. Happier employees work harder, work better together, and are more productive.  But why does happiness increase productivity? Why does actually enjoying your job lead you to be more productive?

Being happy at work means thoroughly enjoying what you do and loving where you work. For many, this is a dream – they wake up miserable every day and literally need to continuously drug themselves with caffeine to keep going through the day.

Let’s be honest. Despite the fact that we spend half of our waking hours at work, hating your job (and commonly, the people that come along with them too i.e bosses, clients, and co-workers) is a popular thread in pop culture starting with movies to songs to everyday jokes. 

The small crowd of employees enjoying their jobs are usually very good at it. These are the type of employees that companies need to find and keep. Happy employees don’t only increase the company’s productivity but make it a magnet for the best talent out there. 

When employees aren’t happy they put in the minimum effort – they try doing the bare minimum to refrain themselves from getting fired. That’s the good news. The bad news is that some employees become so unhappy they look at how they can sabotage their department or the entire company. Did you hear about the 200-year-old bank that was collapsed by one unhappy employee? They actually made a movie about it

So why are happy employees more productive

  1. Happy employees actually give a damn

Happy employees are the ones who care about the company and are driven to see it achieve its targets. They’re the only ones who will even bother diving into how they can go above and beyond to achieve these targets in the first place. Happy employees feel invested in the company’s goals and are more compelled to work. 

Happiness increases productivity because it leads to higher engagement so happy employees are more present. They pay attention to the needs of customers, and they’re more alert. All of these factors come together to power more productivity, and ultimately profitability. 

  1. More loyal

Happy employees are more resilient and more likely to stick with their employer for a long time. A lowered turnover means less time and money being spent on hiring and training new employees. 

Furthermore, happy employees always show up to work and are happy to do more work. It’s much easier for them to go above and beyond, and to do more than what’s expected. 

Who bothers running through the hassles of finding a new job, when they’re happy at the one they’re at. 

  1. Healthier

Work-related mental health disorders not only negatively affect the immune system, but also bleed out the company with costs associated with frequent time off, and medical bills.

Furthermore, employees with severe depression take 20 times more sick days per month. So while stressed-out employees are draining your business, happy employees are healthier and keeping your business in great shape. 

  1. Happiness is contagious

More happy employees mean more happy bosses mean more happy employees, and the cycle keeps going. 

Happy employees become shining role models for their co-workers and influence them to take joy in their work. It works the same way with managers. Managers who find joy in their work influence peers in their departments to feel the same. 

Happy employees support one another. When employees have positive attitudes they’re more inclined to support their peers in achieving company targets. 

“Success is not the key to happiness. Happiness is the key to success. If you love what you are doing, you will be successful.” – Albert Schweitzer

  1. Risk takers

Happy employees are more likely to take calculated risks, while unhappy employees are more likely to play it safe. Business isn’t about playing it safe, and happy employees are more likely to notice and act upon gaps in the market and/or your company’s processes. 

Happy employees also create a supportive environment in the workplace that encourages everyone to learn from their mistakes rather than fear them. Mistakes can be a powerful learning tool that can open the door to unforeseen success and employees who are afraid to make mistakes stand to miss out on these important learning opportunities.


Ready to take the next step towards making your employees happy? Take a leap into everything LEON has to offer.

Dedicated wellness expertise each step of the way.