Understand why morale is low and how to improve it!

If we held the key to resolving the seemingly endless workplace morale problems, we would never have to work another day. While boosting employee mindset and motivation is a fairly complex topic involving many factors and moving pieces, generally, the best approach to the issue is to look at the factors that substantive data has shown most closely align with employee satisfaction. Multiple research ranks these criteria in a number of varying sequences; however, there is no question that the factors listed below greatly impact an employee’s overall satisfaction in the workplace:

"If your employees as a whole have an eager, cheerful, and engaged attitude toward work, your business will benefit with an inherent, competitive advantage..."


    1. The employee’s relationship with their direct manager. Surprisingly, the research tends to support that this may be the number one factor in terms of job satisfaction, often ranked higher than compensation and benefits. Thus, if you have employee morale concerns trending in your workplace, one of the first places to look is at your team of managers and supervisors. Employees tend to highly value a manager who is forthright, honest, respectful, and consistent. Additionally, it is critically important that your team of managers consists of clear and concise communicators who are comfortable with providing direct feedback, whether it is positive or constructive. If your management team is lacking in any of these areas, it may benefit your organization to enroll in some management skills training programs or even consider making some changes in your management staff.

    2. The employee’s salary. Of course, compensation level highly influences an employee’s job satisfaction. You may need to evaluate some salary survey data (such as the Occupational Employment Statistics website, salary data from competitors, or via a private company that conducts salary research) to determine whether your organization’s compensation is aligned with the market rate for comparable positions.

    3. The employee’s benefit plans. Another factor not surprisingly in this list includes employer-sponsored benefit plans. Benefit plans available to employees play a key role in satisfaction. This includes health and retirement plans and paid vacation, holidays, sick leave, bereavement leave, educational assistance, health club memberships, etc., that an employer provides to its workforce. A segment of benefits that many employers fail to consider here is those that help promote a healthy work/life balance for employees. Certain segments of the workforce value flexibility benefit more so than any other aspect of employer-provided incentives. You may, therefore, wish to consider whether a telecommuting benefit or flexible workweek schedule may benefit your employees.

    4. The employee’s opportunity to use their skills and aptitudes. It is important that you place employees into roles in which they are able to utilize their skill sets. Employees who feel like they are able to apply and exhibit their strengths and areas of talent tend to be much happier at work.

    5. The employee’s sense of feeling valued. Rather than implementing formal, across-the-board recognition programs, we generally recommend focusing on employees feeling valued and recognized by the management team. There are so many ways to express to employees that they are valued. Some of our clients have reported excellent morale-improving results from:
      • Providing employees with hand-written thank you letters for exceptional work
      • Giving gift cards to local restaurants, movie theaters, etc.
      • Bringing in lunch or dinner during periods when employees work extra hours
      • Having the management team wash and detail employees’ cars
      • Bringing in a massage therapist to set up for the day and give employees 30-minute massages
      • Planning and executing team building events (ropes courses, bowling, dinner out, etc.)
      • Establishing a casual dress day.
    6. The employee’s opportunity for advancement. Employees who see a clear path for professional growth within the company certainly are happier and tend to produce a higher quantity and quality of work. You may want to analyze your organization’s career paths and perhaps institute some career planning/mentoring systems. This will also help the organization to prepare for succession planning as well as focus on employees that may be suited for fast-track career paths.


      If your employees as a whole have an eager, cheerful, and engaged attitude toward work, your business will benefit with an inherent, competitive advantage with respect to organizational performance. If your employees are generally discontented, negative, and disengaged in their jobs, it follows that work performance and production will reflect these morose feelings. Employees with low morale tend to perform more poorly than their motivated colleagues; on average, disgruntled workers produce less output, miss work more frequently, and service customers with less enthusiasm and effort than their contented counterparts. The Gallup Organization estimates that these negative outcomes cost U.S. employers as much as $350 billion per year.

      If morale is suffering in your workplace, consider gathering your management team to evaluate your organization and grade its results in each of these six factors, especially as they relate to your top-performing employees. Once you have calculated the results, consider making adjustments within your organization’s management style, pay structure, benefit offerings, job duties, and career planning based on the outcome of your informal workplace morale audit.

Take your business to new heights by teaming up with Thread. Find exciting collaboration possibilities that match your goals. Ready to level up your success? Reach out today and reshape your journey towards outstanding growth.

Recommended For You

Enhance Your Employee Lifecycle with Onboarding & Offboarding Solutions Hiring Human Resources

Enhance Your Employee Lifecycle with Onboarding & Offboarding Solutions

Elisa Lahr April 11, 2024
How Skills-Based Hiring Could Expand Your Applicant Pool Hiring Human Resources

How Skills-Based Hiring Could Expand Your Applicant Pool

15 Spring Cleaning Ideas for the HR Department Human Resources

15 Spring Cleaning Ideas for the HR Department

Barbara Collins March 11, 2024