Retail People Index

A snapshot into the wellbeing of the sector, powered by extensive data from our happiness dashboard, as well as our happiness health check which is delivered with WorkL.

The Retail People Index is critical reading for the industry as it provides data-driven insights into employee wellbeing, linking it to business performance, retention, and productivity. Understanding these factors is essential for retailers to stay competitive, reduce costs related to turnover and absenteeism, and create a healthier, happier, more engaged workforce.

Chris Brook-Carter, chief executive of the Retail Trust: “Our research has shown that retail colleagues typically experience a lift in wellbeing during the summer months, but this year’s findings tell a different story. Happiness levels have fallen to 58%, marking a 6% year-on-year decline and continuing the downward trend we’ve seen throughout 2025. This lack of seasonal uplift reflects the ongoing strain across the sector.

“With flight risk still above 50% and presenteeism at its highest level since reporting began, the challenge for retailers is urgent. We need to create environments where people feel supported and valued, and where they can see a future for themselves. Doing so will not only improve wellbeing but strengthen resilience at a time when our industry needs it most.

“Yet, there are positives to build on. Salary satisfaction remains strong, which is an important foundation for stability. But the data makes clear that pay alone isn’t enough. Employees are telling us that opportunity, recognition and development matter more than ever – and these factors will be critical in reversing the current trajectory.”

Laura Bond, director of AlixPartners: “This quarter’s Retail People Index highlights a pivotal moment for retail leaders to rethink their approach to employee engagement and wellbeing. With 52% of employees at risk of leaving and presenteeism at a record high, the lack of any seasonal ‘wellbeing lift’ in the data signals the need for a fundamental shift in people strategy.

“The challenges faced by older millennials, who report the lowest levels of happiness and the highest flight risk, emphasise the importance of leadership-led, tailored interventions that address areas such as career stagnation, stress, and personal growth. While salary satisfaction provides stability, pay alone cannot sustain morale or retention. By prioritising development, opportunity, and wellbeing as strategic imperatives, retail leaders can improve retention and productivity, and position their businesses to thrive in an increasingly competitive market.”

Retail People Index - Q3 2025

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