The Employee Well-Being Crisis: How Can Leaders Tackle the Problem Effectively?
The Employee Well-Being Crisis: How Can Leaders Tackle the Problem Effectively?
Written by: Paula Antalffy | 3-4 minute read
Over the past few years, with the COVID-19 pandemic, the ‘Great Resignation’ and the increasing talent shortage, workplace well-being has moved to the forefront of many people’s mind. Phrases such as burnout, workplace fatigue and job dissatisfaction have become a part of the day-to-day vocabulary and comms of businesses and employers.
However, according to Delottie’s second employee well-being survey, this shift in conversation seems to be making little difference to the experiences of employees.
For the survey, Deloitte collaborated with the independent research firm Workplace Intelligence to survey 3,150 C-suite executives, managers, and employees across the United States, the United Kingdom, Canada, and Australia.
Alarmingly, the results of the survey show many employees are still struggling with unacceptably low levels of well-being. In-fact, most employees reported that their health and well-being has either worsened or stayed the same in the last year.
This lack of ability to improve employee well-being can be attributed to a number of complex factors. These include:
A disconnect between C-suite intentions and employee perception
Lack of support for manager autonomy
Workplace stresses getting in the way of well-being improvements
Difficulty finding guidelines and frameworks for measuring and reporting well-being
The well-being crisis is also affecting all levels of organisations, from C-suite, to managers and employees. While many leaders are attempting to take accountability for workforce wellbeing - the workers simply don’t see these efforts.
To ensure long-term business success, high employee retention and successful hiring of great talent, companies need to look beyond day-to-day benefits to boost workplace wellbeing and prioritise human sustainability - a long-term, collective well-being of individuals, organisations, climate and society.
Employee Well-being: A Clear Disconnect
The struggle of improving workplace wellbeing is not born out of complacency from employers. In-fact, Deloitte’s report found high levels of motivation from C-suite executives to improve the wellbeing of their team members.
What’s more, C-suite also indicated that they believe their employee well-being has improved - with more than ¾ reporting increasing employee wellbeing.
However the stats around self-reported employee wellbeing, do not reflect these efforts:
Less than two-thirds of workers say their physical and mental well-being are “excellent” or “good” (63% and 58%, respectively)
Only 45% rate their social well-being positively
Just 35% rate their financial well-being positively
Less than ⅓ of employees say their health has improved.
This disconnect is alarming. For executives and managers, these statistics should be a wake-up call to rethink their own perceptions of employee satisfaction. Furthermore it should provide an opportunity to reevaluate their current policies around workplace well-being.
Aside from physical, financial and social wellbeing, employees reported frequently feeling negative emotions and fatigue.
Around half said that they are ‘always’ or ‘often’ exhausted (52%), stressed (49%) overwhelmed (43%), irritable (34%), lonely (33%), depressed (32%), and even angry (27%). These emotions are also felt by managers and executives. Deloitte’s survey revealed that they are as likely or in some cases more likely than their employees, to report these feelings.
So what is causing the struggle?
The motivation to improve wellbeing goes beyond executives. Indeed, this same sentiment is also reflected by employees with 84% reporting that improving their wellbeing is a top priority this year and 74% suggesting that this is even more important than advancing their career.
So what is stopping them from achieving their goals?
80% of employees report that they are facing key work-based obstacles, which are stopping them from achieving their wellbeing goals.
These challenges include:
A struggle to disconnect from work - reported by 74%
Inability to take time off work - only 52% saying they ‘always’ or ‘often’ use all their vacation time
A lack of exercise - with just 48% indicating that they move every day
What’s more, only around one out of three employees feel their job has a positive impact on their physical (33%), mental (32%), and social (31%) well-being.
Employees are also becoming increasingly frustrated with their inability to put their well-being first. The survey found a notable increase in the percentage of respondents reporting that they’re considering taking a job with another company that would better support their well-being.
This sentiment is also reflected by executives. Results revealed that 60% of employees and 75% of the C-suite say they’re seriously considering quitting, versus 57% and 69% last year, respectively. Two-thirds of managers (64%) are also contemplating changing jobs in search of better well-being.
The Solution?
All these statistics around employee well-being and the struggle of executives and managers to make a difference can be frustrating for business owners. Especially for those, who truly have their team’s best interests at heart.
So what is the solution?
Deloitte suggests that employers need to begin shifting to a more long-term view when it comes to employee welfare. They must avoid quick-fix benefits, instead putting time, energy, and resources into the right places. Businesses need to begin looking at employee well-being holistically, and as a key metric of success, rather than a ‘fun add-on’ for their team.
To achieve this, they have outlined 3 key steps which will help improve employee well-being effectively. You can find out more about each of these steps below.
Empower managers to support workplace wellbeing
The responsibility for the day-to-day management and improvement of employee wellbeing falls on line managers, as they are the first point of contact for employees.
Employees agree that the responsibility for their wellbeing falls on managers, with nearly all employees (94%) and managers (96%) believing managers should have at least some responsibility for their well being.
However, while both managers and employees agree on their responsibilities around employee well-being, managers often lack the tools they need to effectively support their team member’s wellbeing.
Deloitte’s survey found that managers report worrying low levels of both day-to-day and wider support.
This includes:
Just 54% checking in with their employees about how they are doing
A mere 38% encouraging their employees to use their company benefits
Only 26% leading team well-being activities or challenges
There were also similarly low levels of support reported around workload management, encouragement to take breaks or time off, and more.
This lack of care is also felt by employees. In fact, nearly a third of employees said they don’t feel supported by their managers. Furthermore, only 35% say they have a clear picture of how well their manager takes care of their own well-being.
73% of managers agree with the sentiment that they should be modelling healthy behaviours for their team members. When asked what is stopping them - 70% reported organisational barriers such as company policies. In fact, only 42% of managers say they feel “completely” empowered and capable of helping their company achieve its well-being commitments.
When looking into manager well-being, it quickly becomes clear that like employees and C-suite executives, managers too feel frustrated, burned out and stressed in their role. According to a survey conducted by Gallup, managers have taken a greater mental health hit than employees, during the pandemic, and the shift to hybrid working. (https://hbr.org/2022/08/keeping-hybrid-employees-engaged)
So, how can employers move past this?
For business owners looking to empower the well-being in each level of their team, looking into clearer policies around manager support is important.
These steps include:
Offering the right tools and training
Helping ensure that policies around workloads align with well-being behaviours
Shifting towards a culture of greater transparency
Aiding managers in delivering the impact their are capable of
Establishing protocols and playbooks to help aid managers
Hold executives and the organisation accountable
Executives agree that more work needs to be done to aid employee well being. Deloitte’s survey found that 85% say they intend to become more responsible for the workforce’s wellbeing within the next year or two. A further 72% also believe their bonuses should be directly tied to workforce well-being.
Two thirds of executives (66%) are also reporting that their company is already practising this level of accountability - with a further 23% also adding that they plan to do so in the future.
However, when it comes to actually putting these plans into practice, the Deloitte survey tells a different story with 78% of executives feeling that their company can’t maintain an acceptable level of workforce well-being.
One solution, suggested by experts as a way to put employee well-being at the forefront of business owners’ minds is to begin sharing well-being metrics publicly. This idea is also supported by executives, with 85% suggesting that their organisation's well-being metrics should be made publicly available.
What’s more, executives also want more internal transparency, with 76% agreeing that well-being should be measured and monitored and 83% saying it should be discussed at board level.
Publicly reporting well-being statistics is a great opportunity for businesses to become more transparent with their employees and the general public. Reporting these statistics, would hold businesses more accountable for the wellbeing of their team.
Again, these ideas are supported by executives - with 83% believing that sharing those metrics publicly would build trust with employees and a further 82% suggesting that sharing this information could help with attracting talent.
However, while executives seem to be onboard with more reporting of well-being statistics, the reality is much less encouraging. Deloitte’s survey found that only around half of the leader surveys actually report their well-being metrics publicly. What’s more, only 39% of employees say their employer has made public well-being commitments, 44% are certain their company has not done this, and 17% aren’t sure. This is in direct contrast to the reported 84% shared by C-suite executives.
This inconsistency in employee experience versus executive commitment, highlights a pressing need for leaders to be more forthcoming about their goals when it comes to employee well-being.
Deloitte argues that reporting well-being metrics is a great first step for any businesses looking to become more transparent. What’s more, communicating with existing and potential employees across social platforms, internal channels or meeting and forums, will create a more open dialog around the topic of workplace health and happiness.
Closing this awareness gap, between perceived well-being and the reality experienced by employees, will greatly boost talent pipelines. Executives agree with this sentiment, with 87% reporting that potential employees would be more likely to take a job with a company if its leaders have made public commitments around workforce well-being.
Aside from committing to publicly reporting findings, executives can take smaller day-to-day steps to empower employee wellbeing, by taking their own wellbeing more seriously. In fact, many C-suite executives believe they are already doing this: 72% say they “always” or “often” share information about their own well-being with their employee.
However, once again this highlights a key gap in employee and executive experience, with just 16% of employees reporting that they see this level of transparency with their leaders.
This once again clearly shows that executives need to become more decisive in their public commitments around employee well-being.
When asked why employers are uncertain about making these commitments, reasons for their hesitation included:
34% awaiting government advice/frameworks to guide their commitments.
30% believe the goals they could realistically accomplish are trivial, and it would be embarrassing to make public commitments around them.
23% are afraid their company’s reputation would suffer if they don’t achieve their goals
Other reasons included: a lack of resources to effectively monitor their commitment, not seeing others in the industry doing the same and not getting buy-ins from their leaders and managers.
Deloitte’s survey also revealed an interesting connection between commitment to well-being and age. The results found that 91% of Generation Z and millennial executives have made public well-being commitments for their organisations, versus 74% of Generation X leaders and just 31% of baby boomer leaders.
STEP 3: Embrace a broader movement towards human stability
Delottie suggests that the final step to empowering employee well-being is examining an organisation's wider impact on society. More specifically the research suggests that businesses looking to truly commit to the welfare of their employees, must look into how they can work towards human sustainability.
Human sustainability is the creation of value for current and future workers, as well as more broadly for human beings and society. A commitment to human sustainability means employers committing to helping their team become more healthy, skilled, and connected to a sense of purpose and belonging.
According to Delottie’s survey, 89% of companies believe they are advancing human sustainability in some capacity. However, once again a glaring difference in executive and employee perception is shown, with just 41% of employees agreeing with this sentiment.
To get a better understanding of why this is happening we need to examine potential hurdles. The survey reports that 94% of C-suite executives feel they could use help with better understanding and executing policies which boost human sustainability.
When asked what this help might look like executives cited a variety of resources:
51% say it would be beneficial for their efforts to be aligned with the United Nations SustainableDevelopment Goals Environmental, Social, and Governance standards. (LINK TO OTHER ARTICLE)
45% would welcome an executive training program focused on human sustainability
41% believe internal experts and a further 39% believe external experts would be helpful
38% would like to see examples of how other companies are focusing on sustainability.
The broader movement towards human sustainability also encompasses a wider change in attitude towards the definition of human success. Today, some countries are beginning new economics based around quality of life for citizens in harmony with the environment - rather than based on monetary success through gross domestic product.
One quarter of respondents believe that more countries should embrace this concept. Indeed, the majority of C-suite respondents suggest that a focus on human sustainability and well-being could determine their next career move or even choice of which country they live in. A further 82% also said they would be more likely to join a company that is advancing human sustainability, 73% would accept this in return for a pay cut and 84% would prefer to live in a country that embraces a well-being economy.
A new solution to the well-being problem?
Deloitte’s survey clearly highlights that the employee well-being crisis is not going away anytime soon. It also reveals a clear and concerning disconnect between executive commitment to workforce wellbeing and employee perception of these efforts.
Businesses need to do more in order to guarantee the well-being of their team, at all levels, or risk losing great talent to competitors who are tackling the issue more effectively.
For employers who aren’t willing to tackle this problem head-on, a myriad of problems loom on the horizon. These include risks of team burnout, increased levels of workplace stress and a general struggle to hire and retain great team members. Furthermore, businesses may even begin facing issues around their reputation, if they do not come forward with public statements about employee wellbeing.
While it is understandable why business owners are uncertain about how to tackle these very human issues, they have an opportunity to make this work more simple, by collaborating with trusted partners who can help fill in the gaps.
Similarly to other modern workplace issues, innovative businesses are creating exciting solutions to tackle the problems surrounding employee well-being. One example of this is MyDay app, created by an ambitious start-up looking to make the day-to-day realities and monitoring of employee well-being easier.
MyDay’s integrated social features allow employees to take their well being seriously, and create support networks both internally and with a wider network of businesses. The app also gives employers concrete metrics which help monitor the success of their efforts to boost well-being. This can help executives and managers close the knowledge gap between their perception of employee wellbeing and its reality.
The app also looks to take a company’s commitment to employee wellbeing to the next level, offering verified global impact projects and high integrity carbon credits, to reward employees putting their wellbeing and sense of community with their team first. This can help businesses take critical steps towards human sustainability goals.
For businesses looking to put employee well-being first, and striving to hold themselves accountable in meeting their goals, the MyDay app offers a great out of box solution.
You can learn more about the my day app, by booking a call with our team today!
If you would like to learn more about MyDay and how our platform can support the health and wellbeing of your workforce, reach out to schedule time for a call.
Other Blogs
