Hi, you could use case_when. It would be something like this. To make it easier for everyone, you should provide a reproducible example next time.
library(dplyr)
sleepdata_complete <- mutate(sleepdata_complete,
qualslp = as.factor(qualslp),
qualslp2 = case_when(qualslp %in% c("V Poor", "Poor", "Fair") ~ "Low",
TRUE ~ "High")) %>%
mutate(qualslp2 = factor(qualslp2, levels = c("Low", "High")))