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 fourth Retail People Index of 2025 presents a complex picture for the sector as we close the year. Wellbeing has continued its gentle decline quarter by quarter in 2025, breaking the seasonal pattern we’ve seen in previous years. While the shifts remain modest, the absence of any meaningful uplift raises an important question: are happiness levels starting to plateau at a lower baseline for retail workers?

“At the same time, flight risk has once again risen as seasonal pressures peaked, reaching 56% in Q4. What stands out most this quarter is who is most at risk. Men are now significantly more likely to be considering leaving their roles than women – a reversal of previous trends that suggests new and emerging pressures are at play.

“Presenteeism remains stubbornly high, particularly within distribution teams, who continue to feel the strain at the sharp end of retail in Q4. Yet there is progress worth recognising. Presenteeism in distribution is down year on year, and colleagues report feeling more valued and supported. Encouragingly, relationships with managers remain strong across the sector – offering retailers a real opportunity to build resilience, rebuild engagement and turn early green shoots into lasting change.”

Laura Bond, director of AlixPartners: “Retail leaders are operating in a tough environment where employee sentiment remains fragile. With wellbeing having declined last year across the industry, a sustained focus on the employee experience is essential. While numbers are falling, retail is still a people business, and it is encouraging that more organisations are starting to recognise this and prioritise meaningful action.

“There are already signs of progress in the retail distribution sector, in which we’ve seen a year on year reduction in presenteeism. This is a significant indicator that practical interventions around culture, development and recognition can have real impact and shows that when employees feel valued, performance and wellbeing strengthen.

“For the wider retail industry, the priority is consistency and follow through. Equipping managers to build trust-based, rewarding relationships with their teams will be critical to embedding progress.”

Retail People Index - Q4 2025

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