Morale reflects the training and experience of units: Very Green, Green, Disciplined, Hardened, Veteran, Commando, and Elite. A unit receives a +12.5% combat bonus for each morale level. Elite units receive an additional move each turn.
Native life forms have life cycles rather then morale.
A unit victorious in combat will often receive a morale upgrade (the lower its morale level, the more likely an upgrade).
A unit with a ‘+’ sign after its morale, possesses a combat bonus from being in a base with a Children’s Crèche.
See also Morale (Advanced).