Leadership Development Blog | Importance Of Team Development

What Do We Really Mean By Having "Fun At Work"?

Written by David Paice | Oct 23, 2025

When employees claim their company is “a fun place to work,” what do they actually mean? The idea may conjure thoughts of bean bags and team karaoke – enough to horrify the average team member. Organisational psychologists define fun in far richer terms – ‘fun at work’ refers not just to events or gimmicks but to a climate that supports playfulness, social connection, and positive emotion in everyday tasks. Within this, the concept of fun has value as a contributing factor to a productive team environment and importantly, establishing psychological safety. 

Scholars such as Karl and Peluchette (2006) describe workplace fun as “any social, interpersonal, or task activity that enhances joy or amusement at work.” Later research broke that into three parts: coworker socializing, celebrations or playful activities, and manager support for fun—the crucial signal that it’s safe to laugh and be human at work (Tews, Michel, & Allen, 2014). 

More recent work has expanded the lens from activities to mindset. Petelczyc and colleagues (2018) coined the term playful work design, meaning employees inject novelty, challenge, or imagination into their own jobs—turning routine work into something that sparks energy and creativity. It’s less about organising a quiz night and more about designing joy into the way we work. 

Why does this matter? Studies consistently show that when fun is authentic and voluntary, it boosts morale, strengthens trust, and fuels creative thinking (Michel, Tews, & Allen, 2019). Positive emotion broadens our perspective and helps teams solve problems more flexibly. In contrast, “managed fun” that feels forced or out of step with workload can erode psychological safety and even increase cynicism (Bolton & Houlihan, 2009). 

For leaders, the takeaway is simple: create permission, not pressure, to have fun. Sometimes “fun” means laughter; other times it’s the quiet satisfaction of shared purpose. The common thread is emotional energy—a sense that work can be serious and enjoyable at the same time. But force it at your peril.  Pressurising your team to listen to you belt out ‘It’s Raining Men!’ on a Friday evening will hurt more than people’s eardrums.  

 


References:

Bolton, S. C., & Houlihan, M. (2009). Work matters: Critical reflections on contemporary work. Palgrave Macmillan. 
 
Karl, K. A., & Peluchette, J. V. (2006). How does workplace fun impact employee perceptions of customer service quality? Journal of Leadership & Organizational Studies, 13(2), 2-13. 
 
Michel, J. W., Tews, M. J., & Allen, D. G. (2019). Fun in the workplace: A review and expanded theoretical perspective. Human Resource Management Review, 29(1), 98-110. 
 
Petelczyc, C. A., Capezio, A., Wang, L., Restubog, S. L. D., & Aquino, K. (2018). Play at work: An integrative review and agenda for future research. Journal of Management, 44(1), 161-190. 
 
Tews, M. J., Michel, J. W., & Allen, D. G. (2014). Fun and friends: The impact of workplace fun on employee turnover. Human Relations, 67(8), 923-946.