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From Good to Great: 6 HR Practices that Drive a Happy and Engaging Work Culture

Posted by Kanika Sinha

December 1, 2023

A company’s culture is intangible and needs to be built over time.

Statistics reveal that employees prioritize a healthy work environment. A 2021 Jobvite Job Seeker Nation Report found that over 85% of job seekers consider organizational culture crucial when applying for a position. Besides, a 2022 MIT Sloan Management Review study indicated toxic corporate culture as the leading cause of attrition.

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Organizations must understand the importance of having an engaging culture. A cohesive and positive work culture attracts the best talent, fosters employee engagement and satisfaction, and boosts retention. It acts as the linchpin for success, shaping the company’s identity. 

While the top management shapes the culture, the company’s HR is responsible for creating an environment that allows employees to shine.

Here is a 6-step guide for the HR team to create a happy and productive work culture.

1. Build a welcoming environment

With employees spending most of their time at work, creating a welcoming environment is essential. HR professionals should establish a foundation rooted in core values and acceptable behaviors to set the tone for healthy interactions and a great culture.

2. Establish an open-door policy 

HR personnel should set up an open-door policy encouraging and welcoming employees to discuss ideas and make suggestions. This approach fosters an open, communicative, collaborative, and positive workplace environment.

3. Set up mentorship programs

A mentorship culture supports professional growth, empowering employees to take on tasks confidently. HR should design mentoring programs that assist employees’ personal development while meeting employer expectations. Further, they should continuously evaluate the program’s effectiveness and make necessary adjustments.

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4. Offer professional development opportunities

Allowing employees to gain new skills and advance their careers can help employers solidify their culture. Besides, investing in career development programs can help them combat the skills shortage and attract top-notch candidates.

HR should ensure employees have access to professional development opportunities. Further, HR teams should work closely with other departments to ensure that training programs focus on the skills and knowledge that will help generate better outcomes.

5. Support work-life balance

One of the essential components of a great company culture is a healthy work-life balance program that exhibits care and compassion for its employees. The HR team should devise a comprehensive employee benefits program with generous PTO, paid volunteer hours, and flexible schedules. Additionally, they should provide resources and implement programs to support the mental health and well-being of the employees. 

6. Facilitate team-building activities

HR plays a vital role in fostering effective teamwork in organizations. They should develop policies and strategies that support a culture of collaboration and teamwork. Additionally, they should create opportunities for employees to get to know each other at and out of work. 

The final word

Cultivating a happy workplace culture takes effort and dedication, but the rewards are worth it. And the cost of not doing so, particularly in today’s competitive labor market, can be significant. 

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Want to know more about setting up HR for startups? Since 2006, Escalon has helped thousands of startups get off the ground with our back-office solutions for accounting, bookkeeping, taxes, HR, payroll, insurance, and recruiting — and we can help yours, too. Talk to an expert today. 

This material has been prepared for informational purposes only. Escalon and its affiliates are not providing tax, legal or accounting advice in this article. If you would like to engage with Escalon, please contact us here.


Kanika Sinha
Kanika Sinha

Kanika is an enthusiastic content writer who craves to push the boundaries and explore uncharted territories. With her exceptional writing skills and in-depth knowledge of business-to-business dynamics, she creates compelling narratives that help businesses achieve tangible ROI. When not hunched over the keyboard, you can find her sweating it out in the gym, or indulging in a marathon of adorable movies with her young son.

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