Beyond Salaries: The Strategic Advantage of a People-First Culture

At Spring Fair 2025, Janine Jacobs and Louisa Mordaunt, co-founders of Happy HQ, delivered a compelling framework for businesses looking to attract and retain top talent through a people-first company culture. Their insights underscored a crucial shift in workplace dynamics—one where employee experience is no longer a secondary concern but a fundamental driver of business success. 

 

 

The High Cost of Disengagement 

 

Jacobs and Mordaunt opened with a striking reality: disengaged employees cost UK businesses a staggering £15.7 billion annually. The impact of low morale extends far beyond recruitment costs and legal fees—it manifests in lost productivity, declining innovation and a weakened employer brand. Addressing workplace culture isn't just an ethical decision; it's a strategic financial move that directly influences the bottom line. 

 

 

Workplace Evolution: Understanding a Changing Workforce 

 

By 2025, a projected 90% of UK employees will feel disengaged, and one in four will actively seek new roles. Businesses unwilling to evolve risk losing valuable talent to competitors who prioritise employee experience. With Gen Z set to make up 35% of the workforce by 2033, forward-thinking organisations must rethink their approach, ensuring their cultures resonate with the expectations of a new generation. 

 

 

Culture as a Competitive Differentiator 

 

The session reinforced a fundamental truth: workplace culture isn't about surface-level perks like free snacks or Friday drinks; it's about deeply embedded values that define how a company operates. Businesses that strategically invest in their culture report an average 33% increase in profits, proving that a strong internal ecosystem translates into tangible commercial success. 

 

 

The Power of Authentic Core Values 

 

Establishing authentic core values is the foundation of a thriving culture. Jacobs and Mordaunt highlighted the importance of moving beyond generic corporate jargon—true values should reflect the organisation's identity and serve as a guiding framework for decision-making, behaviour and leadership. 

 

 

From Words to Action: Embedding Culture in Daily Operations 

 

To create a truly people-first environment, values must be more than a statement on a website—they must be woven into every aspect of a business. This means crafting value-driven job descriptions, implementing rituals that reinforce culture and ensuring leadership consistently models the behaviours they expect from their teams. 

 

 

Leadership's Role in Driving Engagement 

 

Leadership plays a pivotal role in shaping and sustaining company culture. Encouraging employee participation in defining culture goals creates a sense of ownership and alignment. The most successful organisations foster an environment where employees feel heard, valued and empowered to contribute to cultural development. 

 

 

A Culture That Evolves with Time 

 

Workplace culture is not a static entity; it must be continuously assessed and adapted to remain relevant. Regular feedback loops, open dialogue and a willingness to embrace change ensure that an organisation's culture stays aligned with both business objectives and employee expectations. 

 

 

The Business Case for a People-First Approach 

 

Investing in culture isn't just about employee satisfaction—it has a direct impact on business performance. Companies that prioritise people-first strategies benefit from higher retention rates, increased productivity and stronger brand loyalty, positioning them for long-term success in an evolving marketplace. 

 

By redefining culture as a strategic asset rather than an afterthought, businesses can future-proof their operations, creating workplaces where talent thrives and organisations flourish. As workplace expectations continue to evolve, those that embrace a people-first mindset will lead the way in attracting, retaining and empowering the workforce of the future. 

 

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