Why Pet-Friendly Policies Are a Competitive Advantage

The gap between what employees value and what companies provide shows up in hard numbers. A joint survey of HR teams we ran with the Human Animal Bond Research Institute found that 65% of HR professionals acknowledge the importance of pet benefits, but only 19% actually raise the issue with leadership. That silence creates real costs in three areas most executives already worry about. 

There's a direct hit to employee satisfaction. 64% of Canadian employees indicated they’re more likely to feel loyalty toward a pet-friendly company. In today's environment, where entire engagement strategies are built to move the needle by a single point or two, a meaningful benefit can be a competitive edge few can afford to ignore. 

Recruitment and retention can also become unnecessarily difficult. Pet policies are becoming table stakes for workers. 82% of HR leaders say they help attract and retain talent, and 48% of Canadian pet owners would consider leaving their job to work for a more pet-friendly company. In Canada, Gen Z employees are especially more likely to feel loyalty towards a dog-friendly company. If you don't offer pet-inclusive benefits, you're essentially self-selecting out of the next generation of talent. 

A wellness and productivity advantage 

Forward-looking companies are starting to see pet-friendly policies as more than just a recruiting perk. The wellness impact alone is hard to ignore. 45% of Canadian pet owners believe dogs in the office improve workplace morale, while 28% say it boosts communication.

Those same dynamics can translate into fewer sick days, higher productivity, and lower healthcare costs. Our survey with HABRI found that HR leaders are catching on: 81% say pets improve employee mental health, and 68% see a clear boost in morale. That's more than a nice-to-have. It signals that pet-friendly policies help unlock the best performance from the very talent companies are trying hardest to keep. 

The implementation strategies that work 

The teams thriving at the edge of competitiveness are the ones that adapt with intention. For HR leaders, the starting point is simple: look at your benefits strategy through a pet-inclusion lens. That doesn't mean building an on-site dog park tomorrow. It can start with a few modest but meaningful steps — exploring pet insurance, creating flexible leave policies for pet care, or supporting remote and hybrid arrangements that acknowledge employees' responsibilities at home. 

The lesson from early adopters is that these programs often pay for themselves through higher satisfaction, better retention, and the message that leadership understands employees' lives. In a tight labor market, that empathy is more than a cultural value. It's a competitive advantage. 

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