Performance depends primarily on employee happiness. When employees feel happy in their roles, attrition rates drop and company productivity soars. Happiness and active engagement help employees feel a personal connection to the company and take a stake in its success.
Companies should think creatively about their initiatives to keep employees happy. For example, some organizations offer unlimited vacation time. With this structure, many employees end up taking off less time. Another approach is to give employees cash incentives for taking at least a week off, thereby encouraging true vacations.
Other employee happiness initiatives include personal phone calls from executives in recognition of jobs done well, paid time off to pursue personal goals, and the solicitation of employee feedback on company decisions.