Imagine a workplace where rewards and well-being are not just perks but the cornerstone for employees’ success. The current year has been a testimony to the transformation of physical and mental well-being – from an afterthought to an imperative in the central strategies of companies. A report on “The future of workplace wellbeing: trends to watch in 2024,” sheds light on the growing significance of holistic employee well-being. The findings unveil critical wellness trends in the workplace, highlighting the need to encompass holistic well-being in strategic planning.
The power of workplace well-being in driving growth and success
Approximately 33% of senior leaders and HR managers prioritise physical well-being above other dimensions of employee wellness, underscoring the direct link between physical health and productivity. When setting well-being priorities, optimising existing programs is a key focus among HR managers. This finding aligns with the pillars of People Matters TRWC 2024 which focus on tailoring well-being programs for individual and business success.
Describing well-being as a business imperative, the report presents a rhetoric around employers’ investments in well-being programs and the differing expectations of employees. A three-pronged approach is suggested to bridge the gap between their perceptions and desired outcomes:
Conversing with employees about their expectations and aspirations
Understanding the thriving areas of the organisation
Defining actionable tactics to improve the employee experience
The Wellness Divide: Awareness vs Implementation
The status of wellness programs reflects varying levels of implementation. Around 44% of companies provide access to financial coaches and online tools, while a mere 14% are not currently offering any financial wellness programs and have no plans to implement them. This data highlights that while many companies show increasing awareness of holistic wellness, a relevant portion has yet to realise the significance of and integrate such programs into their business strategy.
How does Workplace Well-being look for Gen Z?
The report also painted a grim picture as more than two-thirds of Gen Z employees called their financial situation “fair” or “worse.” Over half of them reported feeling extreme levels of anxiety, beyond their control. It indicated a cyclical pattern between mental health concerns and financial fluctuations for this generation, suggesting organisations address the notion of well-being, holistically.
The linkage between financial and mental health is underscored in the report, revealing the massive impact financial stress can have on mental well-being. Several studies show that the probability of developing mental health issues is three times higher in people with debt. Further, the report highlights the distressing reality of financial strain as one of the major factors for suicide attempts and ideation.
The Ripple Effects on Business when Employees Struggle
According to the report, several undesirable outcomes follow when employees are unwell – from low productivity to higher absenteeism, increased turnover, more on-the-job accidents, and higher healthcare costs, among other consequences. Financial well-being is highlighted as an imperative, given that it influences the effectiveness and productivity of organisations. Consequently, enhanced risk management and ROI can be delivered on the benefits program.
Evolving Total Rewards for Enhanced Engagement
The report outlines the key trends in global total rewards for the current year, underlining the balance between value delivered to employees and the cost of benefits. To enhance employee participation, organisations are looking to simplify their total rewards program eligibility, metrics, design, and administration. There is also a shift towards blending rewards and unique performance incentives into performance management systems to foster collaboration and augment employee experience. Further, digitising efforts towards wellness programs and aligning them with Environmental, Social and Governance (ESG) agendas are among notable trends this year.
These wellness trends mirror the focus of People Matters TRWC 2024 – tailoring integrated, sustainable, and cost-effective reward strategies that drive the path towards enhanced engagement and organisational success. Register here to time-travel into the future and build for it today.