Retail worker wellbeing improves as manager support strengthens, but frontline challenges remain 

Retail workers’ wellbeing has improved for the first time in a year, with stronger relationships between managers and employees helping to reverse a sustained decline in workforce health. 

The latest Retail People Index, published by the Retail Trust in partnership with AlixPartners, found overall wellbeing scores increased from 57 to 62 out of 100 during the first quarter of 2026. The improvement follows a difficult 2025, when employee wellbeing continued to deteriorate across the retail sector. 

The findings also point to positive business outcomes. The proportion of retail employees considered likely to leave their jobs fell by 9 per cent between January and March, while presenteeism – employees attending work despite being physically or mentally unwell, declined by 11 per cent. 

The improvement coincided with the strongest manager-employee relationships recorded in 18 months, reinforcing growing evidence that line managers play a critical role in supporting workforce health and wellbeing. 

However, the research suggests significant inequalities remain between frontline and office-based employees. 

Nearly half (49 per cent) of distribution centre workers and 47 per cent of store employees were identified as being at risk of leaving their jobs, compared with 36 per cent of head office staff. Four in 10 employees working in stores and distribution centres also reported attending work while physically or mentally unwell, compared with 30 per cent of colleagues based in head offices. 

The Retail Trust said frontline workers continue to face particular pressures, including job insecurity, rising living costs and increasing levels of customer abuse. 

Chris Brook-Carter, chief executive of the Retail Trust, said the findings demonstrate the value of investing in leadership. 

He said: “Retail workers are still battling job insecurity, high living costs and too many incidents of crime and abuse, and this is impacting those working on the frontline of retail the most, but the help they are receiving from their employers appears to have improved this year. 

“This rise in overall wellbeing and relationships between managers and staff is testament to a renewed investment in leaders and the impact this can have on everyone’s ability to turn up to work feeling happier, healthier and more productive. Retail employers must now build on this great work by ensuring those in stores and distribution centres get even more targeted support to turn around still worryingly low levels of wellbeing.” 

Laura Bond, director at AlixPartners, said the findings show that wellbeing should be viewed as a strategic business issue, rather than solely an HR concern. 

“It is encouraging to see that retailer investment in employee wellbeing is starting to pay off,” she said. 

“There is, however, still some way to go, as evidenced by the persistent gap between frontline and head office wellbeing scores. Workplace wellbeing is often framed solely as a people issue, yet the data in this report continues to highlight clear risks to overall business performance. Organisations that recognise and act on this will hold a distinct advantage.” 

The Retail People Index is based on responses from more than 1,300 retail employees who completed the Retail Trust’s online wellbeing assessment, measuring factors including mental and physical health, relationships with managers, workplace anxiety, recognition and feelings of fulfilment at work.