Psychosocial risks have emerged as a major factor for employers when managing workplace wellbeing, according to findings from global consulting firm Gallagher.
The firm released its 2023 ‘Australian Workforce Trends Report’, which incorporates the Workplace Wellbeing Index and is based on insights from more than 2,600 full-time, part-time, and casual employees across Australia.
The research demonstrated a deterioration in workplace well-being from 2022 and highlighted the need for employers to focus more on career, connection, and psychosocial factors to improve the long-term employee experience.
Now in its second year, the Workplace Well-being Index acts as a barometer for how Australian workplaces are tracking in providing positive, safe, and effective workplaces for employees.
The 2023 Index reveals slightly less than half (48 per cent) of all employees report high well-being. This figure shows a deterioration in well-being on 2022 figures, where slightly more than half (52 per cent) of all employees reported high well-being.
Younger employees display significantly lower levels of well-being than older employees (5 per cent lower).
Taking a time out
There is an increasing trend where employees continue to work even when they feel they should take time off due to their well-being.
The research found that almost half of all employees (46 per cent) continued to work when they felt they needed time off – significantly more than the previous 12 months, where around a third (31 per cent) of employees reported this.
Such findings reveal an increased risk for organisations is being unaddressed, both in relation to increasing leave, loss of productivity, and the likelihood of work-related injury claims, particularly with poor mental health conditions at work increasing as a proportion of serious claims.
Psychological health risks have increased, rising from 6.2 per cent of all serious claims in 2014-2015 to 9.3 per cent in 2020-2021, and are one of the costliest forms of claims, posing a median cost of $55,270 per claim, compared to $13,883 for physical injuries and diseases.
When candidates consider joining a new organisation, the research found that rewards and benefits are a crucial factor (22 per cent) in their decision-making, with meaningful work (16 per cent) and a focus on safety, health, and well-being (15 per cent) also ranking highly.
In contrast, employees who have been working at their current organisation for two to three years place equal importance on remuneration, reward, and benefits (19 per cent), and career growth (17 per cent), with an equal focus on safety, health and well-being (17 per cent).
For younger employees (18-24 years), the focus on safety, health and well-being is much higher (20 per cent). It ranks above career growth (17 per cent), meaningful work (14 per cent) and remuneration (13 per cent).
Overall, the workplace benefits that are listed as important by employees include flexible working arrangements (70 per cent), professional training and development (69 per cent) and career development programs (63 per cent).
The power of listening
The research showed the importance of actively listening to employee feedback on well-being and ensuring employees are confident in their organisation’s ability to take meaningful action.
While only two-thirds of organisations (67 per cent) ask for staff feedback, only half (50 per cent) of employees are confident that any changes will be made because of their feedback on well-being.
From an organisational perspective, the research reveals that budget constraints (43 per cent), different business priorities (39 per cent) and lack of senior leadership support (34 per cent) were named as the key barriers to the implementation of well-being strategies in an organisation.
The report highlights the importance of taking a proactive approach to employee well-being. It offers practical strategies for employers to create a positive workplace culture, including fostering employee engagement, providing support for mental health, and creating a sense of community and belonging.
Poor mental health in financial industry
The financial industry is no stranger to poor mental health and well-being. At the Professional Planner Licensee Summit in December, Aware Super advice group executive Sarah Forman noted that the Hayne Royal Commission and the Covid-19 pandemic had a negative impact on the mental health of people within the financial industry.
Last year, it was expected that around 5000 advisers would exit the financial advice industry within two years due to poor mental health resulting from a burden of paperwork and tougher education standards, according to research from Phillipa Hunt and Steve Prendeville.
That same research found 53 per cent of financial services professionals have recently stated that their mental health had ‘significantly declined’. Concerningly, twenty-one per cent has thought about self-harm.
There is help and support available, however.
In April 2020, ING national sales manager of wealth and deposits Tim Hewson founded Mongrels Men, a community-based charity that seeks to improve men’s physical and mental health through sports, fitness, exercise, connection, and community.
In February, Zurich Financial Services launched the 2023 Tackle Your Feelings season with an independent evaluation by Monash University.
If you are suffering from depression, anxiety, or suicidal thoughts, or you’re worried about someone else and feel that urgent professional support is needed, contact your local doctor or one of the 24/7 crisis agencies below:
Beyond Blue: 1300 22 4636 www.beyondblue.org.au
Lifeline: 13 11 14 www.lifeline.org.au
Suicide Call Back Service: 1300 659 467 www.suicidecallbackservice.org.au
