While compensation is still important to employees, company culture tops the list. This includes healthy work environments of trust, communication and honesty, where employees are given the time and flexibility to address their unique life demands. According to our survey, companies are delivering with increasing responsiveness, leading to high rates of overall satisfaction.

College Hill Custom Threads already offered unique perks like its pet-friendly policy, cold brew and kombucha on tap, and Thursday Happy Hours. But when the distributor recently asked its employees about other incentives they'd like to be offered, increased flexibility (in respect to time spent in the office and telecommuting) was the biggest want.

"They're appreciative of it," says Vice President Jen Gangwish of the added flexibility. "We're constantly evolving and we're always asking for feedback so we can keep taking the pulse of the company."

At distributorship Fully Promoted Overland Park (asi/384669) in Overland Park, KS, flexibility plays a huge role, since President/owner Jeff Moffett's three employees are working moms. "If their kids have doctor's appointments, sports, parties, they can get to them," he says. "It goes a long way." Moffett also stresses the importance of communication, and takes time to touch base with each employee one-on-one. "I ask them how they're doing, what they're finding stressful. I try to do it with compassion and tact," he says. "A nurturing, engaging, friendly workplace builds trust, and then it's easier to address issues. I welcome feedback for me too. It's a two-way street."

By investing in employees and letting them know they're valued, companies can promote qualities that lead to success and happiness at work. "We all have that need to be connected to something," says Mitch Silver, vice president of Printable Promotions. "Let employees know they're not just another cog in the machine. They want to be successful and to be part of a team that enjoys working together."