The Ethos Weekly, Vol. 8
Funny Money Part 1: The (Really) Serious Business of Workplace Humor
Would you believe me if I told you that humor at work is a strategic tool that influences productivity and leadership effectiveness?
Some of the most successful business leaders leverage humor not as a gimmick, but as a powerful mechanism for connection, persuasion, and the ever-coveted innovation.
The research backs it up.
Harvard Business Review found that leaders who use humor are seen as 27% more motivating and their teams are 15% more engaged. Let’s re-frame that. What could you accomplish with a team that is 27% more productive and 15% more driven?
Further, MIT researchers discovered that humor-enhanced creativity exercises increased output by more than a third in product design teams.
Let’s dive into the science, the business case, and how leaders can leverage humor to drive greater impact for and with their teams.
The Science of Laughter in the Workplace
In case you didn’t catch last month’s article about The ROI on LOLs, when we laugh, our brains release three key neurotransmitters:
- Dopamine: Increases motivation, focus, and memory retention.
- Oxytocin: The “trust hormone” that strengthens social bonds.
- Endorphins: Natural stress relievers that promote a sense of ease.
From a leadership and performance standpoint, this is phenomenal. A team that laughs together remembers more, trusts each other faster, and collaborates better.
Ever wonder why some of the most effective business leaders like Richard Branson and Warren Buffett incorporate humor into their leadership styles? It’s because humor is a proven amplifier of influence and executive presence.
The Leadership Edge: How Humor Builds Influence
A Stanford Business School study concluded that humor enhances perception of competence and status… provided it lands well. Leaders who use humor (appropriately) are perceived as more approachable, competent, and visionary.
1. Humor Strengthens Trust & Likeability. According to a Wharton School of Business study, humor is a shortcut to relatability and trust. Teams working under leaders who use humor report higher morale and greater psychological safety – leading to a 23% increase in performance.
2. Humor Boosts Innovation & Problem-Solving. Psychology Today reports that laughter can help people solve problems requiring creative solutions by making it easier to think broadly and associate ideas more freely. It also goes on to cite that “on average, children laugh 400 times a day, while adults laugh about 15 times.”
3. Humor Increases Resilience & Reduces Stress. Stress in leadership is inevitable. However, leaders who integrate humor into their approach help their teams cope with pressure more effectively, reducing burnout and improving retention. A Gallup report found that workplaces that encourage humor see a 55% reduction in employee turnover rates.
The Bottom Line: Should Leaders Take Work Less Seriously?
The evidence overwhelmingly suggests that humor is, in fact, a strategic advantage for leaders to get the most out of their teams. However, business humor isn’t about being a stand-up comedian in meetings. It’s about using well-timed, authentic, and inclusive humor to foster connection, trust, and resilience.
So, should we take work a little less seriously? I say absolutely – because serious business gets done more efficiently (and more creatively) when people enjoy doing it.
If you found this helpful or insightful, please share it with someone who you’d like to see do well.
I provide ethical sales training and sales enablement packages for those who need to protect their brand and cannot afford a full-time expert. If that aligns with your needs, let’s connect.
What’s Next in The Ethos Weekly?
Vol. 9: How to Spell Sales Without the Sleaze.. and Still Close.