I built my Vy'keen colonist a bar.
Their happiness went up, but their production immediately went down. Apparently, they're not that much different from us. And I suspect the bartender is peddling Nipnip buds on the downlow, but I'm not doing anything about it unless he embarrasses us by getting caught. Until then, I'm just going to redefine my role from "Overseer" to "Overlooker." Besides: they work hard. They deserve some fun too, don't they?
And you ought to see them get all tanked up and do The Hustle. It's comedy gold.
But don't dare to let them see you laughing at them.