Workplace friendships boost employee retention: survey

Eight in 10 Canadian employers actively encourage people to cultivate friendships at work

Workplace friendships boost employee retention: survey

Most employers recognize the value that friendships bring to the workplace โ€“ and many are actively working to foster these connections, according to a report by Express Employment Professionals.

More than 9 in 10 companies (94%) say there are several benefits to employees forming friendships in the workplace.

In fact, 85% believe employees are more likely to stay with a company if they have friends in the workplace, with more than one-third (35%) strongly agreeing.

Other benefits โ€“ according to employers โ€“ include:

  • improving employee and company productivity (65%)
  • increasing employee morale (54%)
  • improving employee mental health (50%)
  • strengthening company culture (47%)
  • reducing turnover (41%)
  • reducing interpersonal conflicts (40%)

On the other hand, job seekers agree that workplace friendships are important and a key part of employee retention.

More than three-quarters of job seekers (78%) say they would be more likely to stay with a company if they have friendships in the workplace.

And around two-thirds (64%) have stayed at a job longer than intended because of their friendships at work while one-third (32%) have left a job because they were not able to form friendships at work.

Should workplace relations be strictly professional?

There are differing perspectives on workplace friendships.

โ€œSome argue that ๐—ณ๐—ฟ๐—ถ๐—ฒ๐—ป๐—ฑ๐˜€๐—ต๐—ถ๐—ฝ๐˜€ ๐—ฎ๐˜ ๐˜„๐—ผ๐—ฟ๐—ธ ๐—ถ๐—บ๐—ฝ๐—ฟ๐—ผ๐˜ƒ๐—ฒ ๐—ฝ๐—ฟ๐—ผ๐—ฑ๐˜‚๐—ฐ๐˜๐—ถ๐˜ƒ๐—ถ๐˜๐˜† ๐—ฎ๐—ป๐—ฑ ๐—ท๐—ผ๐—ฏ ๐˜€๐—ฎ๐˜๐—ถ๐˜€๐—ณ๐—ฎ๐—ฐ๐˜๐—ถ๐—ผ๐—ป. A supportive, friendly environment fosters trust, better teamwork, and ๐—ฒ๐˜ƒ๐—ฒ๐—ป ๐—ต๐—ถ๐—ด๐—ต๐—ฒ๐—ฟ ๐—ฟ๐—ฒ๐˜๐—ฒ๐—ป๐˜๐—ถ๐—ผ๐—ป ๐—ฟ๐—ฎ๐˜๐—ฒ๐˜€. Studies have shown that employees with close workplace friendships are ๐—บ๐—ผ๐—ฟ๐—ฒ ๐—ฒ๐—ป๐—ด๐—ฎ๐—ด๐—ฒ๐—ฑ ๐—ฎ๐—ป๐—ฑ ๐—น๐—ฒ๐˜€๐˜€ ๐—น๐—ถ๐—ธ๐—ฒ๐—น๐˜† ๐˜๐—ผ ๐—น๐—ฒ๐—ฎ๐˜ƒ๐—ฒ ๐˜๐—ต๐—ฒ๐—ถ๐—ฟ ๐—ท๐—ผ๐—ฏ๐˜€,โ€ says Siidarth Bhattacharya, former senior HR business partner at Comcast, via LinkedIn.

โ€œOn the other hand, some believe that ๐˜„๐—ผ๐—ฟ๐—ธ ๐—ถ๐˜€ ๐˜„๐—ผ๐—ฟ๐—ธ โ€“ not everyone wants to build personal relationships in a professional setting.โ€

However, even job seekers who feel that workplace interactions should be kept strictly professional (64%) point to several benefits they experience by forming friendships in the workplace, according to Express, including:

  • improved mental health (50%)
  • improved productivity (49%)
  • reduced interpersonal conflicts in the workplace (47%)
  • increased desire to stay with the company long-term (45%)
  • increased morale towards the company (43%)
  • decreased desire to quit/leave the company (39%)
  • reduced burnout (36%)
  • improved opinion of the company, in general (31%)
  • improved opinion of company culture (31%)

This is crucial, especially as 51% of Canadian and US workers feel less fulfilled at work now compared to 5 years ago, while 47% feel more disconnected from their colleagues now compared to 5 years ago, according to a previous Ricoh report.

How to foster workplace friendships

Companies appear overwhelmingly confident in their employeesโ€™ ability to form friendships in the workplace, with a strong majority (77%) believing it is easy for employees to do so and a third (30%) saying it is very easy, according to Expressโ€™ two surveys: one among 505 Canadian hiring decision-makers conducted Nov. 11 to 26, 2024 and another among 505 adults ages 18 and older conducted Nov. 21 to Dec. 6, 2024.

More than three-quarters of companies (82%) say they actively encourage employees to develop friendships in a variety of ways:

  • lunch events (46%)
  • encouraging meetings among peers/those at the same job level (34%)
  • hosting company retreats/get-togethers (32%)
  • mentorship programs (30%)
  • happy hours (27%)

"In today's dynamic work environment, fostering genuine friendships among employees is not just a nice-to-have, but a strategic imperative,โ€ says Bill Stoller, Express Employment International CEO. โ€œThese connections enhance morale, boost productivity and significantly improve retention rates. By creating a culture where friendships can flourish, companies are investing in their most valuable asset: their people."

Employers are hitting the mark in some of the ways job seekers believe their companies can foster friendships. Job seekers are open to different methods for companies to encourage friendship building in the workplace, including:

  • lunch events (42%)
  • encouraging meetings among peers/those of the same job level (40%)
  • hosting happy hours (29%)
  • hosting company retreats/get-togethers (28%)
  • affinity/social groups (28%)
  • mentorship programs (27%)
  • encouraging group volunteer days (24%)

For employers, being proactive in fostering friendship among workers is important, as not everyone makes friends easily, says Joe Hart, President and CEO of Dale Carnegie, a professional development platform.

โ€œSupporting these workers means investing in personal development. Whether theyโ€™re learning Communication and People Skills or How to Win Friends in Business, personal development can help people come out of their shells and make more coworker friends.

โ€œHaving friends at work is critical to success and engagement. Nurture your own friendships and encourage others to make friends at work. When you do, your company will benefit.โ€