Happy Companies make more $; what about happy families?

There is clear evidence now that companies who rate high in employee satisfaction and happiness are also more profitable.  Every year Fortune magazine publishes a list of the "100 Best Companies to Work For", and up until now people have treated it as "Well that's nice. So what?"  

In 2005 Jerome Dodson started an investment fund, Parnassus Funds, to invest in companies that rated high in the "100 Best Companies" list.  The results were mind-blowing:

To Dodson—and Moskowitz’s—delight, the Parnassus Workplace Fund proved immediately, enormously, and enduringly successful. Since the fund’s inception (April 2005-January 2013) it’s had a 9.63% annualized return. This compares to the S&P Index which has earned just 5.58% during the same period. “Our fund has had returns over 4% better than the S&P Index every year,” Dodson noted. “Eight years later, the performance of the fund confirms what I’ve always believed. Treating people well and authentically respecting them does lead to far better business performance. We proved it works.”

So how does this relate to domestic helpers? You don't need to be a rocket scientist to figure this out. Employees who feel respected and valued, who are treated well - produce more. Employees who are constantly driven and treated poorly don't perform well. When the employees perform poorly the companies perform poorly.  If you want to have a highly efficient home, then focus on creating a happy work environment where people can develop their potential, enjoy a certain amount of freedom and where they will feel valued. Clear job expectations, adequate rest and food, a fair wage with opportunities to earn bonuses, and above all - appreciation and kindness - go a long way to ensuring that a workplace is a "best practices workplace". Clearly, it is in our self interest as employers to treat our employees well. 

For more on this topic read the article on fastcompany.com