Work friends are the secret to great culture

Workplace friendships are a hidden performance multiplier: Gallup data shows employees with a best friend at work are seven times more likely to be fully engaged, and KPMG research ties friendship to a 20% salary premium and higher profitability. Leaders who ignore this miss a low-cost, high-impact way to improve retention and morale.

The research also reveals that workers will take a 10% lower salary for a role that offers strong friendships, and that loneliness has doubled since 2024, with 45% feeling isolated at least sometimes. Remote workers especially value friendship for mental health, with 84% saying it matters. These numbers suggest that building social connections is as important as compensation in talent decisions.

For leaders, the practical takeaway is to create environments where repeated, informal interactions happen-shared meals, humor, small group discussions-so friendships can form organically. This reduces burnout, improves morale, and ultimately drives better business outcomes without extra headcount or budget.