The ROI of Kindness in the Workplace

The value of kindness in the workplace is probably beyond measure, but that hasn’t stopped people from trying to measure it. While it may not be easy to quantify, the return on investment (ROI) from kindness is significant—affecting everything from employee engagement to productivity, retention, and even health outcomes. With Random Acts of Kindness Day coming up February 17th, it’s worth taking a look at the ROI of kindness:

Kindness starts at the top. A Stanford study on the psychology of kindness displayed by leadership is contagious in the workplace. Employees are highly influenced by the emotions displayed by leadership, and organizations that emphasize kindness are more likely to attract employees who value compassion and collaboration. This creates a positive feedback loop where kindness spreads throughout the organization, enhancing both morale and productivity.

Kindness doesn’t just make employees feel good—it also boosts their performance. A study by the Association of Professional Executives (APEX) in Canada found that respectful, civil teams experience:

These statistics highlight a clear link between kindness and key drivers of business success. Kindness encourages collaboration, reduces stress, and helps employees focus on the tasks that matter most, driving long-term success.

Kindness isn’t just a one-way street—it encourages employees to pay it forward. According to a joint research paper featured in the Journal of Personality and Social Psychology, employees who receive regular gratitude are more likely to put in discretionary effort, actively engaging in prosocial behaviors, such as welcoming new employees with enthusiasm and volunteering to help or fill in for colleagues without being asked. 

These behaviors improve team dynamics and contribute to a culture of collaboration and shared responsibility. When employees feel recognized and valued, they’re more likely to go above and beyond, which leads to higher organizational performance.

In addition to its effects on morale and engagement, kindness has tangible health benefits. Harvard Business Review contributor Emma Seppala found that employees who feel supported and safe in their work environment experience lower stress levels, lower blood pressure, and a stronger immune response. Kindness fosters psychological safety—a critical component of employee well-being. When employees feel secure in their relationships at work, it reduces anxiety and promotes a healthier, more resilient workforce.

The ROI of kindness isn’t just about improving employees’ day-to-day experience—it also impacts the bottom line. Organizations that invest in fostering a culture of kindness see:

In a world where employee engagement and well-being are critical to business success, kindness is a low-cost, high-return investment that pays off in many ways. 

Celebrating Random Acts of Kindness Day and actively cultivating kindness doesn’t require grand gestures—it can be as simple as offering a smile, giving a heartfelt compliment, or taking a moment to acknowledge someone’s hard work. Small acts of kindness lead to a ripple effect that can transform your workplace culture.