People are built to be part of a group and have friends. But in the office, friendship can be complicated, especially if you're the one in charge. In most cases, you're better off if employees feel good around you but give the title of "best buddy" to someone else.

That same study found that 48% of jobseekers weigh company perks, including the availability of snacks, in their decision to work for a company.

This infographic will help you understand how important this correlation really is.

In addition, laughter and humor (typically seen more among happy employees) strengthen your immune system, boost your energy, and protects you from stress.

sick days
Employees who are happy at work take 10% of sick days vs unhappier counterparts Click To Tweet

10. Fortune’s “100 Best Companies to Work For” enjoyed a raise in stock prices of 14% per year from 1998-2005, compared to 6% for the overall market


Employee happiness is key to getting the best out of people! A happy employee is a productive employee and the facts shown here display that for us all to see. Make employee happiness a workplace goal and the rest — engagement, productivity, success — will follow shortly behind. I recently read that of the employees who thought about searching for a new job in the past year, 59 percent don’t feel adequately appreciated at work. A simple “thank you” can therefore go a long way. We spend more than half of our waking hours at work, so establishing a workplace culture that aims to motivate, support, and inspire employees is essential to creating a happy workforce.

Designing an employee benefit scheme for a flexible workforce will become more important than ever.

People are built to be part of a group and have friends. But in the office, friendship can be complicated, especially if you're the one in charge. In most cases, you're better off if employees feel good around you but give the title of "best buddy" to someone else.

Neil is known around the digital marketing and tech community for having a very loyal and dedicated team. What’s his secret?

The data was weighted to be nationally representative of age, gender, location, employment status and income, based on ABS and NZ stats.

The problem is that too many of these companies think that higher profits are more important. However, more and more evidence is showing that employee happiness is a huge reason why companies are able to earn more and be more successful.

What she has found is that when employees feel their company cares about their interests and makes them feel appreciated, then employees are more invested in the interests of the company.

I could not agree more, Reality HR! Happy employees stay longer, are more efficient, and do more to help their company win!

In the infographic below, you’ll see the top 10 perks & benefits companies can offer employees in Australia as ranked by workers.

When I think back to this situation, it’s clear how complicated a boss-employee friendship can be. I’ve been fortunate to have had great relationships with all my bosses — though they never fully crossed into the friendship category. Can it ever be wise to befriend a boss when that person has the power to fire you, refuse you a raise, or generally make your work life miserable?

And sometimes we look at them like they’re crazy. We think to ourselves “how can you be doing so well financially, but at the same time be so unhappy?”

Maybe you’re a skeptic about all this “people stuff”. You might think that focusing on engagement and happiness is just a new-age fad that millennials like to trumpet, but that it doesn’t really affect your company.

happy salespeople sell more

happy companies outperform competition

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So what might explain why happier employees take fewer sick days?

5. How old are you? Ask a Gen Y worker what she thinks about forging a friendship with her boss and she might give you a look of bewilderment. Because younger generations tend to relate to parents as friends, there’s less separation between generations than previously existed, says Tammy Erickson, an expert in managing across generations and author of What’s Next, Gen X?The rise of mobile technology has shifted the role traditional authority figures play in their lives,” she says. “Teachers (and parents) used to know more stuff than younger people did. Now, access to facts is equal; the older person becomes more of a guide or coach and less of a source of authoritative answers. This also adds to the shifting relationship.”

There is obviously a correlation between how much you earn and your happiness. Being broke and not being able to pay the bills is almost always a guaranteed recipe for unhappiness.

A study done by Princeton found that once a person makes about $75,000 a year, income no longer has an effect on happiness.

So where should the lines be drawn — if at all? Having a positive, constructive, and trusting relationship with your boss is always a good thing, says Erickson, and everyone should work toward that. But whether it should cross the line to genuine friendship is less clear. As Erickson says: At the end of the day, it’s a personal preference.

So bosses must, to some degree, extend their hands in camaraderie. The more they come off as distant authoritarians, the more they encourage dissatisfaction, suspicion, and poor performance and, in turn, turnover.

Considering that the minority of employees are happy with the rewards and recognition their organization offers, it might be time for you to reconsider what you’re providing.

Given the above, the best bosses are empathetic leaders who are involved in their employees' lives without getting hopelessly entangled. They express genuine interest and support and learn something about who each employee is, but they don't get overly personal, and they remain willing to fly solo and act with confident decisiveness. Their communications are simultaneously firm and compassionate.

A few years ago, I found myself uncomfortably witnessing a painful breakup. But it wasn’t a couple struggling through a divorce; it was the unraveling of a friendship, complicated by the fact that the two people in question were also a boss and his subordinate. They were once so close that the boss, Jason (not his real name), and Martin (also not his real name), took family vacations together. Because they also frequently commuted to and from work together, the rest of us came to understand that Martin had unique access to our boss and that he was in a position of power because of it.

If your company isn’t offering free food or snacks, it’s time to consider taking the leap. If you’re looking to get office snack delivery for your team each month, SnackNation can help you get started.

A report from McKinsey found that a $1000 payment was 10 times more effective at motivating and engaging employees when it was given through a recognition program than when added to base pay.

Good Employers And Good Friends

Enjoying what you do typically makes you want to do more of it. Plus you’ll notice that you find fewer reasons to get distracted.

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Not getting too involved with workers can help employers maintain the psychological perception of hierarchy. While you and your workers still can be wonderfully cordial and cooperative, democratically tossing ideas back and forth, everybody knows you're in a different camp based on your experience and skills and, at the end of the day, you clearly call the shots. Put another way, the very nature of your job requires you to set aside the equal authority friendship demands. Provided you temper the hierarchal structure with good operational transparency, clearer boundaries can erase confusion for the employee about what his or her roles and responsibilities are. From that perspective, firm lines are positive and might even facilitate greater efficiency.

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Neil goes against the conventional wisdom that people should leave their personal problems at the door when they step into work.

I was hoping for a bit more from this article. Employee recognition is huge. Extra days off sometimes mean more than money. I think free snacks is self serving from whom posted this article.

It’s possible your boss will go to the opposite extreme, too. He might end up giving you the short straw so as to not be accused of favoritism. Monitor the decisions from that perspective, as well, Dattner says, and don’t be afraid to confront your boss if that’s the case. “You might want to say to your boss, ‘I understand you’re not trying to give the appearance of favoritism, but this is out of whack.’”

Read next: Unique ways to motivate your casual staff. 

Distance also makes it harder for workers to claim you play favorites--that's particularly important in a larger company where it's logistically impossible to be friends with everyone.

Still think all this employee happiness stuff isn’t important?

Studies have shown that being happy boosts your immune system. Unhappiness leads to stress, which can negatively impact your cardiovascular and immune systems.