Family-run firms ‘have better employee engagement’

Companies that are family-owned are said to have better levels of employee engagement than other firms

According to research conducted by the University of Birmingham and the Unquoted Companies Group, staff within such businesses are generally happier.

This means that there is likely to be more loyalty shown towards the employer.

Results from the study suggested that one in five UK workers is part of a family-owned business and these people tend to put in more hours each week than staff at other organisations.

Professor of labour economics at the university Stanley Siebert believes added job security is a major reason behind the higher levels of happiness among workforces at family enterprises.

"Family businesses tend to treat employees much more transparently and consistently than other employers," he added.

A recent survey undertaken by Aviva showed that motivation levels deteriorate among workers at companies that lose large numbers of staff to sickness absence.