Does keeping your employees happy have a direct correlation with your company making more money? Many people like to believe that it does and one of these people is Dr. Noelle Nelson. In her book, “Make More Money by Making Your Employees Happy”, she states that when the company take the interests of their employees to heart, then the employees will take the interests of the company to heart.
The companies in “Fortunes 100 Best Companies to Work For” seem to support Dr. Nelson’s argument. For example, Google, who placed first on this list and is widely recognized as a great place to work has seen its stock rise 674% since it went public in 2004. However, there is a counter argument to me made to this claim and it revolves around the question whether companies who treat their employees well do so because they are already successful and can afford it. If a company is struggling, it usually begins laying off or letting go of employees. On the other hand, Google who sits atop $48 billion can afford to keep employees and provide them with perks that a struggling company can not.
Having said that, I believe if you keep your employees happy they will repay you by doing all that they can to help make the company successful. If a company is struggling, having employees who don’t want to be there isn’t going to help. If instead you have happy employees who enjoy working for a particular company, they will feel obliged to do whatever they can to get the company back on track.
Article Links:
http://www.forbes.com/sites/stevecooper/2012/07/30/make-more-money-by-making-your-employees-happy/