How workplace change is affecting wellbeing risk
Aspects of the UK workplace are unrecognisable from two years ago, from how organisations operate and how their work is designed, to where employees actually do their jobs. These shifts are becoming more marked, and are informed by changes in technology, skills needs and performance targets.
The REBA/AXA Health Employee Wellbeing Research 2022 found that almost seven in 10 (69%) of respondents say that the tension between a shortage of certain skills and the business’s needs is an increasing risk to wellbeing at their organisation. Research from the CIPD shows that after two years of unprecedented pressure, the health and social care sector is experiencing a dearth of professionals, while supply-chain problems caused by the Covid-19 pandemic and Brexit have been exacerbated by a scarcity of skills in the manufacturing sector.
Hospitality, despite suffering huge losses due to Covid-19 restrictions, is also struggling to recruit, as are industries such as transport and storage. Research from the Retail Trust suggests that among other risks, skills shortages in the retail sector mean that the vast majority of line managers are reporting an increase in mental health issues in their staff and are struggling to support them.
Just over two-thirds of our respondents (67%) say that these organisational transformations are increasing wellbeing risk at their organisations. A study from consultants EY found that the pandemic has led to a surge in business change of all kinds – whether expansions or mergers, restructures or closures – with even those businesses described as surviving the pandemic accelerating their transformation agenda, while those businesses that are thriving are speeding up change.
There is a mixed picture of wellbeing in relation to changes in work design, differing working arrangements and increased digitalisation. In each case, more respondents are experiencing greater potential risks, but a sizeable minority regard each of these shifts as reducing risk. We are still in a state of flux, and the impact of the huge move to hybrid working that resulted from Covid-19 restrictions has not yet fully played out. Neither staff nor their employers have completely got to grips with the huge shift in working arrangements, from simple fixes such as the provision of suitable equipment in remote locations through to the potential advantages and issues due to personal circumstances and living conditions. These shifts are also affecting line managers in the role they play as well as in their own mental wellbeing.
The level of risk around the use of insecure contract arrangements, rising automation in the workplace; negative work experiences due to characteristics such as gender, race/ethnicity, sexuality, age and disability have not changed for about two-thirds of employers, with a fairly even split between those experiencing an increase or a reduction in risk in each of these areas. That said, there appears to be a small rise in respondents indicating that the use of insecure contracts is reducing risk to wellbeing (16%). And, despite the huge growth of the gig economy in the UK, which is expected to comprise 7.25 million people in 20227 and the associated concerns about job security, only 11% of employers regard the use of insecure contract arrangements as a growing risk to employee wellbeing.
Anecdotally, our respondents also say that concerns about government policies and uncertainty, as well as presenteeism are also risks to employee wellbeing.
Wellbeing risk and business strategy
Compared with businesses with no wellbeing strategy (or those with disparate benefits), our research shows those organisations whose approach is linked to the overall business strategy are a little more likely to be immune to tensions between performance targets and wellbeing objectives. Our research found that organisations that link business goals and wellbeing strategy are less likely to experience tensions between performance targets and wellbeing objectives. This compares with less than half (47%) with a wellbeing strategy that is integrated with business strategy.
Although the percentages are small, it is notable that those whose wellbeing and business strategies are closely integrated are also less likely to report risks due to rising automation (16% versus 25%), negative workplace experiences linked to protected characteristics (8% versus 22%) and the use of insecure contract arrangements (8% versus 16%).
Making the link between risk factors and benefits offering
Some employers already provide, or expect to provide, benefits that help manage the risks to employee wellbeing from significant business and work changes. For example, over three-quarters (76%) already offer support for stress and burnout and 18% plan to in the next two years. Seventy per cent offer help for clinical psychological conditions such as depression and anxiety and 15% will do so in the coming two years. Employee assistance programmes are almost universal, with 96% of respondents offering them; a high proportion also provide face-to-face counselling (79%).
However, it is the predicted growth in services such as coaching and the increased focus on neurodiversity support that is most notable, along with the continued growth of mental wellbeing apps (which often provide coaching-type support). Around one-quarter of our respondents plan to introduce mental wellbeing coaching and work-life balance coaching (26%), putting these second and third to the fastest growing area of mental wellbeing – support for neurodiversity. Nearly half of respondents (43%) intend to focus on this over the coming two years.
Download the full Employee Wellbeing Research 2022.
Supplied by REBA Associate Member, AXA Health
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