5 Workplace Coaching Benefits of Life Coaching for Employees

More companies understand these 5 workplace coaching benefits to address low engagement and realise their team’s full potential.

Originally published 26 August 2020. Updated 17 December 2024.

Remember Peter Gibbons from the movie Office Space? When asked about his job motivation, he famously said, “It’s not that I’m lazy, it’s that I just don’t care.”

This simple quote captures how many employees feel about their work today.

The good news? There’s a solution that’s changing workplaces for the better: life coaching for employees.

Recent studies show that over half of workers aren’t fully engaged in their jobs. This means many businesses are missing out on their team’s full potential.

But there’s hope. More companies are discovering the power of workplace coaching to turn things around.

What is Workplace Life Coaching?

Think of workplace life coaching as a personal trainer for your career and life.

Unlike traditional work training that only focuses on job skills, life coaching looks at the whole person.

A life coach helps employees with both work and personal challenges that might be holding them back.

Life coaches work one-on-one with employees in private sessions. Everything discussed stays confidential.

This means employees can speak freely about their challenges without worrying about workplace judgment.

The coach becomes a trusted partner in their personal and professional growth.

The Current State of Employee Engagement

Workplaces have changed dramatically in recent years. According to Gallup’s latest research, only 32% of employees feel truly engaged at work.

This low engagement costs businesses billions of dollars each year in lost productivity.

Leading companies like Google, LinkedIn, and Microsoft have already discovered the secret weapon: workplace life coaching.

They offer coaching programs to help their employees thrive both at work and in life.

The results? Happier, more productive teams and better business outcomes.

Benefit 1: Increased Productivity and Engagement

Unlike traditional workplace coaching, employee life coaching deals with the individual as a whole, not just in the context of the organisation.

Some workers may have underlying personal issues they would never disclose to a manager, but may be detrimentally affecting their performance.

Coach-client confidentiality is an important component of effective coaching. It’s vital that the client feels free to open up about matters of concern to them, and to do so without judgement or fear of reprimand.

It’s also imperative that the employee knows the coach is on their side, and any plans that are put in place are for their personal benefit.

The foundations of the coaching process usually begin with clarity around the employee’s values and priorities.

When these are identified, it makes it easier to understand how their work fits into their sense of purpose and identity, and encourages them to think about pursuing work areas that excite them.

This translates to more engagement and fulfilment.

When employees work with a life coach, they discover what truly motivates them.

Coaches help people connect their personal values with their work. This connection is like finding the missing piece of a puzzle – suddenly, everything fits better together.

An International Coach Federation (ICF) Global Coaching Client Study conducted independently by PricewaterhouseCoopers found that:

“80% of people who receive coaching report increased self-confidence, and over 70% benefit from improved work performance, relationships, and more effective communication skills.”

When people feel confident and engaged, they:

• Take on bigger challenges
• Share more ideas
• Solve problems more creatively
• Get more done in less time

Benefit 2: Enhanced Personal Responsibility

Life coaching encourages you to take responsibility for your own life, and to be accountable for your actions and behaviours.

A good coach is able to impart practical skills around setting goals and building sustainable systems.

Coaches don’t tend to “give advice” to their clients, but rather create plans together that move the employee towards what they want in life and work.

Coaches work with clients on an individual basis, so are able to identify and target specific areas of self-development such as communication skills, emotional intelligence, leadership, conflict resolution, confidence and time management.

Initially, the employee is accountable to the coach, as there’ll be agreed actions to complete or homework to do on a regular basis.

But the ultimate aim of coaching is for the employee to be accountable to themselves, and to embed a greater sense of focus and direction in their life.

The magic happens when employees start taking charge of their own growth.

Coaches teach practical skills like:

• Setting achievable goals
• Building positive habits
• Managing time better
• Making better decisions
• Following through on commitments

Benefit 3: Improved Attendance and Wellbeing

Third in our list of workplace coaching benefits is better attendance and wellbeing.

Happy, healthy employees take fewer sick days. It’s that simple.

Life coaching helps people create better work-life balance and manage stress.

When employees learn to take care of themselves, they show up ready to do their best work.

If you’re in a low physical or mental state, you tend to take more days off.

On the other hand, if you’re feeling generally healthy and energised, you’re much more likely to go to work.

Life coaching can involve looking at your overall lifestyle, and creating sustainable systems that optimise your health and wellbeing.

This may include discussion around factors such as eating and drinking habits, exercise, play, hobbies and relationships. Things that would not be appropriate for a manager to discuss with an employee.

A good coach can help you to understand that self-care is a priority if you want to be successful and effective in your life and career.

And if you’re generally happy, healthy and have a good life balance, you tend to be more resilient and less prone to illness.

Coaching sessions often cover important life areas like:

• Stress management
• Healthy habits
• Work-life balance
• Energy management
• Personal relationships

Studies show that employees who receive coaching take up to 20% fewer sick days than those who don’t.

Benefit 4: Better Workplace Relationships

Fourth in our list of workplace coaching benefits is better workplace relationships. Here’s how coaching helps address issues around workplace relationships.

Without getting involved in office politics or interfering with reporting structures, coaches can help the employee to improve their communication skills to enhance workplace harmony.

This consists of working on such things as active listening, speaking with confidence, body language, building empathy or improving social skills.

Open and honest communication between colleagues builds trust, leads to greater understanding, and a pleasant working environment.

These improved communication skills lead to:

• Stronger team relationships
• Less workplace drama
• Better customer service
• More effective meetings
• Smoother project collaboration

Benefit 5: Financial Returns for the Business

Number 5 in our list of 5 workplace coaching benefits is the quantifiable financial return for the business.

The other benefits of workplace coaching listed above are wonderful to have, but for many business owners it’s profit that really counts.

With that in mind, will offering life coaching services to your employees have a positive effect on the bottom line? The answer is most probably yes.

The ICF/PwC study mentioned above concluded that 86% of companies surveyed reported that they at least recouped their coaching investment and more.

In addition, a 2019 LSE Business Review meta-analysis of 339 studies accumulated by Gallup involving over 1.8 million people and 82,000 business units, found that higher employee wellbeing is associated with higher productivity and company performance.

In the concluding remarks it was noted that although there is a need for more research in order to make a clear business case, the study “is suggestive of a strong, positive correlation between employee wellbeing, productivity and firm performance.”

How to Start a Workplace Coaching Program

Starting a coaching program doesn’t have to be complicated. Here’s a simple way to begin:

1. Set clear goals for your program
2. Choose the right coach or coaching company
3. Start with a small pilot group
4. Gather feedback and measure results
5. Expand the program based on success

Common Challenges and Solutions

Getting Everyone On Board

Some employees might be sceptical about coaching.

The solution?

Share success stories and make participation voluntary.

When people see their coworkers benefiting, they’ll want to join in.

Managing Time

Finding time for coaching can be tricky. Try scheduling regular sessions and treating them as important as any other meeting.

Many coaches now offer flexible scheduling and virtual sessions.

Program Sustainability

To keep your coaching program strong:

• Build it into your company culture
• Keep tracking and sharing results
• Adjust the program based on feedback
• Train internal coaches to support the program
• Create a dedicated budget for coaching

Looking to the Future

Workplace life coaching for employees isn’t just a trend – it’s becoming essential for modern businesses.

As work continues to evolve, having supported, engaged employees matters more than ever.

Ready to transform your workplace with life coaching? The benefits are clear:

• More engaged employees
• Better productivity
• Improved attendance
• Stronger teams
• Real financial returns

Providing life coaching for employees can be a powerful and cost-effective way to help your business thrive through increased engagement, motivation and productivity, in addition to building a more harmonious work culture.

Your employees want to care about their work. Life coaching helps them find that connection and unlock their full potential.

When you invest in your people’s growth, everyone wins.

Frequently Asked Questions

How much does workplace coaching cost?
Costs vary, but most programs range from $200-500 per employee per month. Many companies start with key team members and expand over time.

How long until we see results?
Most businesses notice improvements within a few weeks to 3 months. Some benefits, like better communication, often show up even sooner.

Can coaching work for remote teams?
Yes! Many coaches now work virtually, making it easy to support remote employees.

How do we measure success?
By tracking metrics such as:

• Employee engagement scores
• Productivity measures
• Attendance rates
• Employee satisfaction
• Team performance
• Revenue per employee

Ready to learn more about bringing life coaching to your workplace? Contact me to discover how I can help your team thrive.