Humor in the workplace: A tool for engagement & productivity
Performance is crucial for companies to grow and succeed, but so is employee morale. After leading my organization, ProofHub, for several years now, I have noticed one thing: humor is an often-overlooked lever for engagement and productivity.
I remember a tense product launch where pressure was mounting and tempers were high until one team member broke the tension with a perfectly timed meme in the chat. What followed wasn’t just laughter, but a reset in energy and collaboration. The team rallied, the launch succeeded, and that moment became an unforgettable part of our culture.
Also, many new joinees are reserved on their first day, shying from conversations. A humorous moment or a joke helps ease tension and warms them to their new surroundings. Humor, when used with intention, breaks down silos, boosts creativity, and transforms stress into momentum.
After all, what powers all these companies is humans. And sometimes, being human means laughing together. I’ll talk about humor in the workplace next, its benefits, and how you can ensure a happy and lively workplace.
What does humor in the workplace look like?
Humor in the workplace doesn’t mean that you turn the office into a stand-up comedy club and cause distractions for everyone. Instead, there should be a lively and light-hearted atmosphere that bonds everyone and helps create a positive connection among employees.
According to a Gallup study, employees who laugh with coworkers are 23% more likely to feel engaged at work.
It’s the inside jokes that bond cross-functional teams, the clever icebreakers that kickstart meetings, or the celebratory gifs that make wins feel personal.
But let’s be clear, there’s a fine line between inclusive humor and tone-deaf remarks.
In a diverse workplace, humor must be rooted in respect. What’s funny to one person might be offensive to another.
As a leader, you must set the tone: no jokes that punch down, stereotype, or divide. Humor should uplift, not isolate. When used thoughtfully, it becomes a shared language for every employee regardless of their roles, cultures, and titles.
The power of humor in leadership
When it comes to leadership, your personality matters a lot. No one likes working for a strict and authoritarian boss with whom they even fear talking.
Some of the most resilient, high-performing teams I’ve led weren’t defined by long hours or rigid processes. They were defined by camaraderie, trust, and yes, humor. Laughter, when led from the top, creates psychological safety. It tells your team: “It’s okay to be human here.”
A study by Harvard Business Review found that leaders who incorporate humor are perceived as 27% more motivating. Also, leaders who actively use humor are 30% more competent and more likely to foster innovative thinking.
Let me tell you about one time when this played out in real-time.
During a stressful end-of-year push in 2023, my marketing and product teams were on edge. I could have added more pressure on them to meet deadlines and stress them out, but instead, I went for an approach with humor as its base.
I called everyone in for a meeting, and instead of burdening them with responsibilities, I proceeded with a light roast of myself to ease everyone’s mood. Then, everyone broke out in laughter when I played a superfunny meme slideshow.
The result was absolutely amazing!!
The tension broke. Energy surged. People leaned in. That single moment shifted the tone of the moment, and we finished ahead of schedule. Humor, when used correctly, is not a distraction; rather, it is a catalyst for performance. It gives people permission to breathe, connect, and show up with their full selves.
How humor enhances engagement & productivity at the workplace
“A sign you have a positive workplace culture is laughter. You can work hard and still laugh and enjoy your work day more.” — Sam Glenn
Humor adds that much-needed excitement and vibrant energy to an otherwise silent office. When everyone sits at their desk staring lifelessly into the computer screen, things can get really boring and dull.
A funny joke or a comical situation can lift the mood of everyone and put a smile on their face. When employees have fun at the office, they are motivated to show up to work every morning.
Next, I’ll discuss how humor helps increase the productivity and engagement of employees at the workplace.
Boosts psychological safety
Humor signals that it’s okay to bring your whole self to work. When leaders model light-heartedness, it eliminates employees’ fears of speaking up. I’ve watched team members go from silent observers to active contributors after experiencing meetings where laughter was encouraged.
This openness creates a psychologically safe environment, where employees feel confident challenging ideas and owning up to mistakes. It promotes out-of-the-box thinking, driving both engagement and smarter decisions across the board.
Reduces stress and burnout
Deadlines, back-to-back meetings, and mounting expectations can weigh heavily on morale. Humor helps teams reset. I’ve walked into tense conference rooms and dropped a humorous observation or a self-deprecating story, and watched stress visibly melt away.
Science backs this: laughter reduces cortisol and increases dopamine, improving focus and emotional resilience. A culture that allows people to laugh through challenges allows employees to thrive in tough situations.
Improves team communication
Humor opens the door for honest, clear communication. It softens the delivery of tough feedback and encourages transparency. I once had a junior engineer introduce a bold redesign idea with a joke about how we’d “finally retire our prehistoric interface.”
Everyone laughed and listened. That idea went into production. Thus, humor breaks down the rigid barriers of hierarchy, encouraging more ideas, questions, and solutions to flow freely and effectively across the team.
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Boosts team cohesion
Laughter is a social glue. A shared joke, a meme thread, or a running office gag fosters a sense of belonging. Recently, two departments that barely ever interacted started collaborating after a playful inter-team prank war during Halloween.
The ripple effect? Faster communication, stronger trust, and improved cross-functional output. Humor accelerates rapport-building, reducing friction and turning “silos” into seamless, aligned teams ready to solve challenges together.
Gives a human touch to leadership
When leaders use humor, they move from being distant figures to approachable allies for employees. A good-natured laugh shows confidence without ego. Early in my tenure as CEO, I opened a strategy session with a parody of my own LinkedIn posts.
The team cracked up laughing, and the rest of the session was the most energized we’d had in months. Relatable leaders foster loyalty and higher discretionary effort. People work harder and care more for the organization.
Enhances the team’s creativity
A playful environment sparks creative thinking. When people aren’t afraid to be wrong or to be funny, they’re more likely to experiment and innovate. I remember brainstorming sessions where silly suggestions turned into million-dollar features for our software.
Humor encourages cognitive flexibility, helping teams connect disparate ideas and explore unconventional solutions. The more relaxed the atmosphere, the more likely people are to voice creative and innovative ideas that lead to breakthroughs.
Drives engagement metrics
The numbers don’t lie. Research data consistently links humor to higher employee engagement. People who find joy and happiness at work are more likely to stay, contribute, and speak positively about their workplace.
At our company, teams that embraced humor in their daily rituals stand-ups, chat banter, and even code comments, reported a boost in engagement scores. Happiness, humor, and productivity are not mutually exclusive; they reinforce one another.
Makes the workplace enjoyable
Let’s face it, people stay where they’re happy. An office culture that values humor transforms the daily grind into something people look forward to. When your office becomes a place where laughter echoes regularly, you see it in everything: fewer sick days, higher collaboration, and a general sense of “we’re in this together.”
We once made Friday team check-ins a game-show format, and productivity levels went up. If your employees find the workplace boring and dull, chances are high that they’ll leave soon. People who enjoy where they work better. It’s that simple.
Avoiding negative and offensive humor in the workplace
Humor is meant to put a smile on the employees’ faces and uplift their mood. Under no circumstances or situations should humor undermine them. Most companies today feature a rich and diverse collection of cultures, religions, identities, and beliefs.
As a result, the margin for misjudged humor is razor-thin.
What one person finds hilarious, another may find deeply offensive or alienating. As leaders, it’s our responsibility to draw a firm line between healthy humor and insensitive banter.
Offensive humor often hides behind phrases like “just joking” or “don’t be so sensitive.” But let’s be clear, these are red flags. Here are some examples of humor to actively avoid:
- Stereotyping jokes (racial, gender-based, cultural)
- Mocking accents, attire, or customs
- Self-deprecating humor that targets others by implication
- Humor at the expense of someone’s role or performance
- Jokes about religion, disability, or mental health
Conclusion
What makes a team great isn’t just the hours they clock or the goals they hit; it’s the spirit they share. Humor fosters that spirit. It’s the inside jokes, the joyful Fridays, and the leaders who aren’t afraid to be human.
When used well, humor builds bridges, unlocks creativity, and energizes teams. I’ve seen firsthand how a well-timed laugh can turn pressure into progress.
As leaders, it is in our hands to set this tone and environment at the workplace. Because when we build companies that allow people to laugh, we build companies that people want to grow with. And that’s the ultimate competitive advantage.
However, it is important to keep in mind that humor must come from a place of respect, never at the cost of others. If we want to build a workplace where people bring their best, let’s also create a safe space for them to smile while doing it.
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