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Employee happiness is a key component of business success. Learn what a chief happiness officer is and how it can benefit your company.

Over the past few years, workforce trends have shifted in favor of employees. Competitive pay still matters, but today’s workers also want jobs that align with their values, support work-life balance and foster genuine happiness. In fact, Indeed’s 2025 Work Wellbeing Insights Report found that 97 percent of workers believe it’s possible to be happy at work most of the time.
Yet there’s still a gap between expectation and reality. Gallup’s 2025 State of the Global Workplace Report shows that only 21 percent of employees worldwide feel engaged in their jobs — a disengagement that costs businesses an estimated $438 billion in lost productivity.
In a workforce where workers crave happiness but often face burnout, low pay and toxic cultures, prioritizing employee happiness and well-being is essential for attracting and retaining talent. That’s why some forward-thinking companies are appointing a chief happiness officer to boost morale and deliver the job satisfaction employees are searching for.
A chief happiness officer (CHO) is a C-suite executive dedicated to ensuring employees are happy, engaged and fulfilled in their roles. Since people spend roughly one-third of their lives at work, the experience should be about more than completing tasks for a paycheck: It should feel meaningful and rewarding. A CHO helps make that happen by shaping a workplace where employees feel valued, supported and motivated to do their best work.
Common CHO responsibilities include:
If your company is struggling with retention or simply wants to enhance employee well-being, bringing on a CHO could yield measurable — and happy — results.
If you’re on the fence about hiring a CHO, it’s worth understanding the real impact they can have on your organization. Research from the University of Oxford Wellbeing Research Centre and other institutions makes it clear: Prioritizing employee well-being isn’t just good ethics — it’s good business.
Here are a few key ways CHOs help the companies they serve:
A CHO’s primary goal is to boost employee engagement, happiness and satisfaction. Happier workers tend to be more motivated, perform better and stay productive longer. In fact, the University of Oxford’s Wellbeing Research Centre (cited above) found that companies with the highest levels of well-being outperform standard stock market benchmarks and report higher productivity and gross profits.
By contrast, productivity-killing workplace stress drains focus, dampens motivation and increases the likelihood of mistakes or tense interactions. With a CHO helping to reduce stress and strengthen satisfaction, employees are better equipped to stay engaged and perform at their best, creating a win for both morale and the bottom line.
Employee burnout can start small, but if left unchecked, it can quietly erode morale, productivity and retention. A CHO can work closely with staff to identify early warning signs and help stop burnout before it takes hold.
Research published in the American Journal of Preventive Medicine (2025) found that burnout costs U.S. employers billions each year, with about 10.5 percent of those losses tied to absenteeism and employee turnover. In other words, when companies take steps to lower burnout, they also see fewer missed workdays and less voluntary turnover, both of which directly boost profitability.
Preventing burnout is one way to promote employee wellness, but a CHO can do much more than that. They can work with staff to identify and provide the benefits, resources and support employees need to stay physically and mentally healthy. This might include mindfulness and meditation programs, wellness programs, fitness or exercise challenges, and initiatives that encourage rest and recovery.
The World Economic Forum’s 2025 Future of Jobs Report found that 64 percent of employers now identify supporting employee health and well-being as a top strategy for improving talent availability. This is a clear recognition that healthier, happier employees show better attendance, resilience and long-term retention. Companies that prioritize well-being aren’t just helping workers thrive; they’re also creating stronger, more sustainable organizations.
Today’s workers expect more than a paycheck: They want opportunities to learn, grow and advance. Providing clear paths for professional development helps you keep great employees while also building future leaders within your organization. A CHO can play a key role here by maintaining high satisfaction and ensuring employees have access to meaningful growth opportunities.
A joint TalentLMS and Vyond survey found that 66 percent of U.S. employees believe they need new skills to succeed at work, and 41 percent said they’d look for another job this year if their company didn’t offer training opportunities. Likewise, iHire’s 2024 Talent Retention Report revealed that 11 percent of employees left jobs due to limited professional development, while more than 60 percent said access to training and growth opportunities would motivate them to stay.
When professional growth is part of your culture — and championed by a CHO — employees feel valued, engaged and invested in your company’s long-term success.
Strong relationships between employees and managers amid a workplace built on trust, belonging and shared values can make a huge difference in performance and innovation. A CHO can help cultivate that environment by championing collaboration, psychological safety and mutual respect across teams.
According to How Employers Can Improve Productivity and Change Lives (a 2025 World Economic Forum report), investing in workplace connection and well-being can improve returns, boost productivity and lower costs. Likewise, Gallup’s Global Indicator on organizational culture found that employees who feel strongly connected to their culture are 4.3 times more likely to be engaged, 62 percent less likely to feel burned out and 47 percent less likely to be looking for a new job.
Employee tardiness and workplace absenteeism can quietly drain productivity, morale and resources across an organization. When a team member is consistently late or missing work, a CHO can step in to uncover the root cause and collaborate on meaningful solutions, whether that means addressing burnout, workload imbalance or personal stressors.
According to research from the University of Oxford Wellbeing Research Centre (cited above), happier employees are less likely to call in sick and more likely to stay engaged at work. The study also found that when overall well-being improves, both absenteeism and presenteeism — when employees show up but feel unwell or disengaged — tend to drop. That combination leads to stronger performance, higher morale and a healthier bottom line.
Employees want to work for organizations that prioritize their happiness, and that trend is only growing stronger. The World Economic Forum’s 2025 Future of Jobs Report (cited above) found that employers investing in people-centric strategies like well-being, inclusion and continuous learning see stronger recruitment and retention outcomes, as these efforts improve both employer branding and culture. In simple terms, happier employees are less likely to leave, and organizations that value well-being are more appealing to high performers.
Even if you manage to attract great employees without focusing on happiness, you likely won’t keep them for long. While employees quit for many reasons, according to Indeed’s 2025 Work Wellbeing Insights Report (cited above), 18 percent of employees look for other jobs simply because they aren’t happy at work, while other top reasons include lack of job satisfaction (20 percent) and feeling stressed at work (24 percent). These are all issues a CHO can help address head-on — improving retention, morale and your company’s overall reputation as a great place to work.
As with most things in business, whether your company needs a CHO depends on your specific goals and resources. Some leaders see the role as unnecessary, arguing that engagement, wellness and culture responsibilities already fall under the CEO or chief human resources officer. Others believe a CHO is essential for driving morale and long-term success.
For small businesses or larger enterprises with the hiring process resources to add high-level staff, a CHO can make a real impact by keeping employee well-being front and center. This is especially valuable for organizations that define their brand around employee experience.
If you’re running a lean startup, though, you probably don’t have the budget for an executive solely dedicated to happiness. In that case, it’s still crucial to make employee satisfaction a priority, even if those responsibilities are shared among managers or taken on by leadership directly.
The CHO role has grown in popularity over the past decade, and many leading organizations now have executives or teams dedicated to employee well-being, even if their titles vary.
Here are some well-known companies with positions focused on employee happiness and well-being:
These businesses’ continuing success is proof that it can be beneficial to invest in your employees’ happiness and well-being.
Tracking employee happiness should be an ongoing effort, not a once-a-year box to check. Here are a few practical ways to measure employee happiness:
Combining these methods gives you a well-rounded picture of how happy — or unhappy — your employees are, and where your CHO’s efforts can make the biggest impact.
