While happiness means different things to different people, the World Happiness Report 2025 has collated huge amounts of data to uncover global commonalities between the happiest populations.

Finland has topped the list for the eighth year running, with fellow Nordic countries Denmark, Sweden, Iceland and Norway also making the top 10. Renowned for their sense of community and strong cultural approach to wellbeing, it’s unsurprising to see these countries regularly feature highly in happiness rankings.

Interestingly, also making the top 10 were Costa Rica and Mexico, at number 6 and 10 respectively. While they don’t benefit from the same advanced infrastructures as their European counterparts, these countries still have some of the world’s happiest people. At home, Ireland scored number 15 on the list – above the United Kingdom and United States.

Here, we’ll delve deeper into the report to discover what contributes to its findings, such as social interaction and acts of kindness. We’ll then explore how business owners like you could harness these principles as a framework to improve your own wellbeing, and that of your employees.

Social interaction plays a huge role in a nation’s happiness

Over the past 10 years, the World Happiness Report has consistently shown there is a link between good social connections and happiness.

This includes helping people feel less stressed, less prone to depression, and more engaged with their communities. Conversely, isolation and loneliness are more likely to result in negative experiences and outcomes.

A new feature in the 2025 report examined the benefits of sharing meals. Those who eat with others reported higher levels of life satisfaction – across all ages, genders, cultures, countries, and regions.

Meanwhile, young adults have been facing increasing mental health challenges, with a prevalence of what the report calls “social disconnection”. Many are avoiding forming meaningful relationships or connections, and feelings of isolation and loneliness have continued even post-pandemic.

Developments in technology and communication, such as social media and AI, seem only to have increased these feelings of vulnerability.

Turning to “prosocial behaviour” – volunteering, helping strangers and donating – the report found that this helps to increase trust in others, fostering shared values and responsibility.

For those engaging in prosocial behaviour, they can feel a greater sense of purpose and meaning, often reporting feeling healthier and happier. These behaviours can also offset some of life’s stresses and challenges.

Kindness and optimism can help to boost wellbeing

The power of kindness is also explored in the report, both in terms of carrying out acts of kindness and receiving them.

Interestingly, it delves not just into the actual acts, but also the expectation of benevolence, discovering that we are often disproportionately pessimistic about others’ behaviour. This is evidenced by the report’s “dropped wallet” findings, which reveal that the proportion of wallets that are found and returned was much higher than people predicted.

Generosity is also associated with increased wellbeing globally, and this type of behaviour is on the rise. Although acts of benevolence dropped during the pandemic, the report found that by 2024, helping strangers is significantly more prevalent than in the period between 2017 and 2019, by a global average of 18%.

The report also found evidence that for individuals, both giving and receiving are beneficial, discovering that people living in “caring communities” tend to occupy both roles over their lifetime. Meanwhile, equally low levels of giving and receiving result in poor wellbeing.

What’s more, those with “caring personality traits” tended to also be kind to themselves, directly improving their wellbeing.

This was even the case for people in stressful jobs, with a compassionate nature resulting in lower stress levels and less likelihood of burnout.

4 takeaways for business owners to adopt in the workplace

The findings from the World Happiness Report always make for interesting reading. But for your own interest, there are a number of takeaways and lessons that, as a business owner, you can use to make your organisation a great place to work.

1. Eating together can boost wellbeing

How many people in your company sit and eat alone at their desk or on the go? While it might be fine on the odd occasion, this can become increasingly isolating.

Creating a communal dining area can encourage different team members to sit together during breaks and meals, giving them a casual and comfortable place to socialise as they eat. You could also offer workplace events like lunch and learn seminars, as well as socials such as picnics, buffets and meals out.

It’s a win-win situation, too. Foodles references findings from the Workplace Culture Index, which discovered that businesses investing in employee wellbeing initiatives like communal meals experience a 25% reduction in absenteeism, boosting both morale and business performance.

2. Kindness and clarity go hand in hand

As Brené Brown once said: “Clear is kind. Unclear is unkind.”

An act of kindness in the workplace goes a long way. For business owners, this could translate into avoiding the temptation of white lies and half-truths, instead offering your employees clarity and transparency – even if this means giving tough but fair feedback.

Set out your expectations, be upfront about any issues, and face challenges head on. That’s good leadership.

3. Focus on your employees’ wellbeing and productivity will follow

The report paid particular reference to the mental health of younger generations, with anxiety, loneliness and lack of social confidence leading to several issues.

Supplementing The World Happiness Report’s findings, according to People Management, 34% of 18 – 24-year-olds are struggling with their mental health, compared to 24% just a few years ago.

It can be tempting for employers to adopt a “get on with it” approach. But this is counterproductive for everyone. Disenfranchised employees are likely to leave, and if so, you’ll lose talent.

Far better to offer a good health and wellbeing policy, backed up by an Employee Assistance Programme if possible. Plus, it’s wise to engage in “soft skills” training so that you can have supportive, productive conversations and offer adjustments and interventions where they’re appropriate.

A good employer listens, learns and responds, and a grateful employee will be much more likely to be productive.

4. Be community-minded

The prosocial aspects highlighted by the report include volunteering and donating. As part of your corporate social responsibility offering, look at ways you can work within your wider community.

Could you offer team building days working on a local project? Or are there volunteering opportunities for your staff?

Try to get involved with charities in your area too, exploring different ways you can raise funds. Engaging with these acts of kindness brings huge rewards to all involved.

Get in touch to work with experienced financial planners

Creating a strategy for employee wellbeing is important. But what about your personal wellbeing?

Bespoke financial planning can help to remove the stress of retirement planning, taxation, and intergenerational wealth transfers from your shoulders. Especially if you’re a business owner with a lot on your plate.

If you’d like to find out more about working with our team, email us at clients@iqf.ie, or call 353 71 915 5560.

Please note

This article is for information only. It does not constitute advice.

It describes financial planning services that iQ Financial can offer to you. Financial planning services are not regulated by the Central Bank of Ireland.