After surveying 2,000 employees and 1,000 HR managers, researchers for The Happiness Dividend report also found that happier employees are 12% more productive than their unhappy counterparts.
According to the report, employees who are most satisfied with their jobs are 30% less likely to quit within the next year than their least satisfied counterparts.
There are several ways for employers to positively increase employee wellbeing, explained speakers who attended a roundtable event hosted by RGER on Tuesday (14 April).
When asked about what strategies HR professionals can implement to increase worker happiness, Chris Britton, RGER’s director of people experience, exclusively told ProHunt that they must begin by gathering evidence.
HR has been guilty of trying several different initiatives and “hoping some of it lands” but, Britton pointed out, serious change requires planning.
Britton also advised HR leaders to think about how they communicate, to ensure employees feel connected to the organisation.
RGER’s researchers estimate that six in 10 (67%) HR departments have experienced budget cuts in the past year. Teams that struggled to prove return on investment (ROI) have experienced cuts roughly twice as large, they suggest.
Furthermore, three in 10 (30%) HR teams currently measure employee happiness directly.
The Happiness Dividend report revealed that positive workplace relationships is the highest driver for job satisfaction (28%), ranking ahead of job interest (27%) and pay increases (13%).
Noting this, Christian Krekel, associate professor of behavioural science at LSE, advised HR professionals to support positive workplace relationships by focussing on mentorship and offering manager training. Speaking to ProHunt, Krekel explained that staff relationships with their managers is strongly associated with employee productivity.
Britton noted that HR learning teams play a key role in implementing the positive shifts that impact employee happiness.
When asked if improving the happiness of managers would positively impact employees, Britton agreed, urging HR teams to factor emotional intelligence into manager training.
Britton said: “I’d like to give the benefit of the doubt to most managers and leaders; most people don’t turn up to work every day, to a bad job and to make someone else’s life miserable. [But] sometimes that happens, so it’s about helping them understand why, and how to do something about it.”
RGER commissioned Censuswide to conduct a survey of 2,003 employees aged 18 and over (excluding HR and middle managers), and 1,000 HR managers aged 25 and above, in November 2025. Findings from these polls were included in The Happiness Dividend report published today (15 April). The report was written by representatives of LSE who also collated and contributed other research findings for the report.
