Retail People Index

 

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A snapshot into the wellbeing of the sector, powered by extensive data from our happiness dashboard, as well as our happiness assessment 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 previously shown retail workers tend to be at their happiest going into the summer, once the busy winter is well behind them, but ongoing insecurities around jobs, finances and the political climate are continuing to take their toll on people working in retail.

“The rising employment costs announced in last year’s budget are placing huge economic pressures on the sector and we’re seeing this felt most severely by those working in management roles right now. They are the ones having to hold often under-resourced and unhappy teams together, and our findings suggest they feel inadequately supported for doing so.

“The financial pressures impacting the retail sector are largely outside of employers’ control, but there is an urgent need to address the particular burden this is now having on managers and to prevent the knock-on effect it will also have on their teams. Providing more training and support for leaders to look after themselves and those working for them is crucial if we are to prevent a further decline in morale, higher turnover and greater instability at a time when resilience is more important than ever.”

Laura Bond, director of AlixPartners, said: “This quarter’s Retail People Index reveals urgent challenges for retailers. With 54% of employees looking to leave their roles – the highest flight risk since our tracking began – and wellbeing scores dropping to 59%, below the critical 60% threshold, it’s clear that employees are struggling. Presenteeism rates have soared to 44%, the highest level seen in 18 months, while manager-employee relationships have deteriorated and reached a 24-month low.

“The seasonal spring wellbeing “bounce-back” is absent this year, and managers, traditionally the most resilient group, have seen an 11% decline in happiness year-on-year. Retailers must fundamentally shift their workplace culture to address these deeper issues, investing in manager support, overall morale, and staff wellbeing. Failing to do so risks continued talent loss, weakened service, and operational strain in an already challenging market.”

The index will also delve into flight risk, and wellbeing and presenteeism indicators to highlight the further potential impact disengaged colleagues have on a business.

Retail People Index - September 2025

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See the Index over time below: