Firms can beat the recession and keep their businesses going during the tough economic climate with the help of a contented workforce, academics suggest.
Highlighting the positive impact of keeping staff happy, the two-year study showed that "engaged" employees were better performers, were more innovative and efficient in managing their workload.
This in turn can help companies be successful, while contributing to employee wellbeing, according to the Kingston University academics – who surveyed a number of private firms and public sector organisations.
Creating an open culture and allowing workers to suggest how they could work more productively helped a plastics firm involved in the research to slash costs.
Dr Kerstin Alfes, of the university's business school, said: "The most important factor in creating an engaged workforce is whether people find meaning in their job, so it's important that employers explain to staff how they are contributing to their organisation.
"Our research has clearly demonstrated the positive impact of employee engagement on both an organisation's success and on an individual's wellbeing."