Will workers ever reach pre-pandemic levels of happiness? It’s hard to say, according to researchers. Analyzing data from 57,000 employees, BambooHR has found a steady decline in happiness since 2020. Overall, the score dipped from 44 in May 2020 to 35 in May 2024, signifying a “troubling trend.”
“This persistent decline throughout Q2 2024, with scores consistently below 36, is alarming and signals a critical need for organizational introspection and action,” BambooHR’s Head of HR Anita Grantham said in a statement.
Based on researchers’ cross-section of the data, worker happiness in the second quarter dropped in the following industries:
- Travel and hospitality, which experienced a 12% drop between Q1 and Q2 of this year. Still, researchers noted, this was a slight year-over-year improvement.
- Tech, which also reached a four-year low. “Persistent layoffs” and inflation were to blame for these workers’ unhappiness, BambooHR said.
- Healthcare, where the score dropped 7% in Q2. Workers cited lack of sufficient compensation as the reason for their dissatisfaction.
- The restaurant, food and beverage industries, although this score declines every summer, researchers noted. “Heat-related illnesses and fatigue” were named as a major issue this year.
What can HR do to make workers happier?
“Organizations should prioritize open communication, listen to employee feedback, and proactively work toward creating a positive and supportive work environment to foster a culture of happiness and productivity,” BambooHR researchers said.
From Grantham’s perspective, employers should work on engagement. She called out supporting employees through “workplace transitions” specifically.
This is in keeping with what labor experts have previously told HR Dive: Engagement plays a critical role in return-to-office success. In particular, they highlighted the importance of employee resource groups and activities that can give workers “something to look forward to.”
This also mirrors a finding about workplace morale in the report. Workers at smaller companies tended to be happier than those at big companies. For example, people working at companies with 24 employees at most had happiness scores of 50, while those with 76 or more employees had scores in the 30s.
“Even if you have a large business, if you treat it like a small business — breaking into groups and categories and having those people get together — I think that's really amazing for camaraderie,” one employer said.
Beyond camaraderie and providing opportunities for peer-to-peer recognition, researchers recommended imbuing workers with a sense of purpose. Aiding employees in understanding “how their work contributes to the organization’s goals and the broader community” can help, researchers said.
Additionally, they recommended showing empathy for workers’ well-being, “particularly in high-stress industries.” This looks like providing employees with sufficient work-life balance and advocating for time off.
Don’t search for solutions to employee dissatisfaction just for the sake of improving metrics, said Grantham. The goal should be to build “a workplace that genuinely prioritizes the well-being and satisfaction of every employee, thereby cultivating a culture of sustained happiness and productivity.”
The news wasn’t bad across the board, BambooHR found. The construction industry maintained high happiness scores, despite some slight dips this spring, and the education sector’s June score was the highest it had been in four years.
