OpenUp’s Post

Harvard Business Review just gave HR leaders the business case they've been waiting for. Employee happiness isn't a soft skill, a perk, or "nice to have." Call it what it is: a competitive advantage. New research from Irrational Capital tracked S&P 500 companies over 11 years. The finding? Companies in the top 20% for employee happiness outperformed the bottom 20% by nearly 6 percentage points in stock price. Meanwhile, companies that only focused on pay and benefits? Just 2% outperformance. Here's what actually drives happiness and performance: → Innovation: managers open to new ideas → Direct management: clear, truthful communication → Organisational effectiveness: less bureaucracy, more efficiency → Engagement: leadership that supports growth → Emotional connection: a culture where friendships form → Organisational alignment: mission and culture match This has nothing to do with ping pong tables or free snacks. The real work happens when you create environments where people feel heard, trust their leaders, and genuinely belong. And the data is clear: when employees thrive, businesses win. So the question isn't whether you can afford to invest in well-being. The question is whether you can afford to ignore a 6% advantage.