Happiness at work – why it matters and how managers play a vital role

So, how do you create a happy workforce?

I have used all my years of experience running Waitrose supermarkets in the UK, as well as sitting on numerous boards and visiting countless businesses worldwide as a UK trade minister (and my time building WorkL), to identify six elements that drive happiness and satisfaction at work, and therefore engagement of employees. (You can read more in my book Happy Economics.)

Below you’ll find the six elements, along with tips to help you implement them within your organisation:

1. Reward and recognition

At work, it’s all about the money, right? Well, yes and no. When it comes to happiness and engagement, pay is important, but recognition can be a far more powerful motivator.

To create a culture focused on recognising good work, managers should regularly tell individuals they are appreciated for their efforts. Also, they should encourage everyone to recognise one another, to create a high degree of social wellbeing, which is a vital component to overall wellbeing.

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Managers should also meet regularly with teams, either virtually or in person, to talk about performance. The goal is to talk about successes and be positive and encouraging, at the same time as providing regular coaching and feedback. This is a dynamic and supportive way to help individuals feel they are learning, rather than being criticised.