Employee well-being trends: A look ahead

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December 14, 2023 - Throughout 2023, organizations have grappled with growth constraints and financial setbacks. Economists predict that in 2024, the US unemployment rate will slowly rise to 4.2 percent on average, from 3.7 percent as of November 2023. This year, the tech industry alone witnessed over 240,000 layoffs, marking a 50 percent increase compared to 2022. This is expected to continue into 2024.

Heightened job insecurity leads to an array of workforce mental and psychological health challenges, including increased stress, reduced engagement, and burnout. To mitigate these risks, organizations are learning to strike a balance between business success and ensuring the well-being of employees. Flexible working and return-to-office policies, transparent communication, and retention schemes are some of the ways businesses are taking care of the workforce.

Going into January 2024, prioritizing a commitment to worker needs will help build and maintain a productive, healthy workforce. Areas to address include the following.

Mental health management

The American Psychological Association’s (APA) 2023 Work in America Survey has revealed that 92 percent of workers feel that it’s very (52 percent) or somewhat (40 percent) important to them to work for an organization that provides support for employee mental health.

Work-related stress is leading to 31 percent of workers feeling emotionally exhausted and 18 percent experiencing feelings of ineffectiveness at their jobs. Organizations that advocate for an open dialogue on mental health and encourage team member check-ins can support employees experiencing these emotions and help prevent burnout.

Lack of support is contributing to poor mental health in the workplace, with 30 percent of workers experiencing this due to their identity, race, or background. Active listening and communication from the top down can help foster a culture of trust where, regardless of background, workers feel safe to voice their views.

Evaluating psychological safety risks

Psychological safety has become a growing concern within high-pressure industries such as construction, and the suicide rate within the sector is now four times higher than in the general population.

Currently, only 29 percent of those surveyed in the APA’s survey report being offered an employee assistance program. The healthcare, education, and manufacturing industries also present workplace conditions that lead to high stress. Some of the most common employee workplace stressors are related to:

• High or unreasonable workplace demands.
• Lack of control or autonomy in their work.
• Lack of support, encouragement, or recognition.
• Challenged relationships or conflict with managers or peers.
• Unclear roles or responsibilities.
• Organizational change without clear communication.

These stressors are not isolated to the aforementioned industries; we have all experienced them in one form or another.

Take action

Assessing psychosocial risks in the workplace and adopting measures to manage elevated risks will serve to manage stress and improve productivity, retention, and quality while reducing costs and absenteeism. Ways to assess and mitigate risks include:

• Beginning with an engagement survey to identify the risks and the most affected groups.
• Creating programs and organizational controls that address or mitigate those risks while soliciting stakeholder feedback on their effectiveness.
• Supplementing the programs and controls with training and communication to employees on company efforts to improve workplace conditions and reduce stressors.
• In some cases, additional resources may be needed to support the most vulnerable groups or individuals.

Celebrate successes

Employee engagement should be routine to measure the effectiveness of any program efforts and new issues that may arise. Celebrate improvement and successes with employees, and promote a culture of trust and well-being.

Moving into 2024, it’s important for organizations to prioritize the well-being of employees to help drive business growth. Managing mental health, assessing psychological risks, and fostering positive employee-manager relationships are crucial factors in retaining talent and creating a productive workforce.

For more from our health and safety experts, read Future of work: A transformative era for EHS by Xavier Alcaraz and Is your well-being strategy making an impact? by Jennifer Dobb. For the latest news from BSI’s experts on health, safety, and well-being; supply chain; EHS; and digital trust, visit BSI’s Experts Corner.