Promoting Employee Health and Well-Being and Organizational Performance

Overview Why Focus on Employee Health and Well-Being? The Psychologically Healthy Workplace How Employees Benefit How Organizations Benefit Multi-Level Approach Process Orientation Key Success Factors The Psychologically Healthy Workplace Program Case Examples Additional Resources

Why Focus On Employee Health and Well-Being? APA Poll Results (2007) 74% of employees indicate work is a significant source of stress. 20% of employees report calling in sick as a result of work stress.

Why Focus On Employee Health and Well-Being? Cost of Job Stress Job stress is estimated to cost U.S. industry $300 billion annually. Job stress is estimated to cost U.S. industry $300 billion a year, in terms of: Absenteeism Diminished productivity Employee turnover Direct medical, legal and insurance fees. - American Institute of Stress

Stress Affects Career Decisions From APA’s 2007 Stress in America Survey Q930. In the last five years, have you ever left a job because it was too stressful? Q935. Have you ever considered looking for a new job because your job is too stressful? Q940. Have you ever not sought or declined a new job or promotion because you thought the job would be too stressful?

Stress Threatens Workforce Productivity 55% of employees report lost productivity Employees From APA’s 2007 Stress in America Survey Lost Productivity Q945. Looking at the past month, what percentage of your work productivity while you were still at work was lost due to stress?

Successful organizations… understand the link between employee health and well-being and organizational performance. provide employees with resources to help them make behavior changes that promote good health. achieve results such as lower health care costs, higher productivity and a healthier bottom line. But some companies have responded to business challenges with creativity by taking care of their employees. These employers are creating workplaces that do more than just improve productivity – they build a strong, vibrant organizational culture that supports the company itself. In short, they build a psychologically healthy workplace.

The Psychologically Healthy Workplace A psychologically healthy workplace integrates employee goals of health and well-being and organizational goals of performance and productivity.

The Psychologically Healthy Workplace Psychologically Healthy Workplace Practices Employee Involvement Health and Safety Employee Growth and Development Work-Life Balance Employee Recognition Organizational Practices that Promote Psychological Health and Well-Being: Employee involvement – e.g., participation in decision-making, empowerment, self-managed work teams, job autonomy Health and safety – maximize physical and mental health through prevention, assessment, and treatment of potential health risks – e.g., EAP, health screenings, stress management programs, safety training Employee Growth and development – opportunities to expand knowledge, skills, and abilities, and apply competencies to new situations – e.g., on-the-job training, leadership development, continuing ed classes, internal career opportunities Work-life balance – recognize responsibilities and life outside of work – e.g., flex scheduling, child care, elder care, job security Employee Recognition – allow employees to be singled out and rewarded for their contributions – e.g., awards, honorary ceremonies, compensation packages

The Psychologically Healthy Workplace Communication is the glue that holds things together: Bottom-up communication: Helps convey needs of employees, so the organization can tailor programs and policies (Fitz-enz, 1993) Top-down communication: enhances utilization of programs (Parchman & Miller, 2003), promotes awareness of programs, and supports employee use of programs Bi-directional communication: helps drive program improvement (Fitz-enz, 2000) and plays a primary role in some programs (e.g., employee involvement) Context: There is no “one-size-fits-all” approach to creating a psychologically healthy workplace. Success is based in part on addressing the challenges unique to the particular company and tailoring programs and policies to meet specific needs. Alignment with key organizational characteristics (e.g., strategy, structure, feedback channels, culture, values, interdependencies (Fitz-enz, 1993) is essential to the effectiveness of any organizational practice (Brache, 2001)

How Employees Benefit Physical Health Mental Health Job Satisfaction Employee Morale Motivation Commitment Climate Stress Management

How Organizations Benefit Performance Productivity Hiring Selectivity Product/Service Quality Customer Service & Satisfaction Absenteeism Presenteeism Turnover Accident/Injury Rates Healthcare Costs

Multi-Level Approach Primary Interventions Secondary Interventions Address physical or social environment Secondary Interventions Help individuals make healthy lifestyle and behavior choices Tertiary Interventions Assist individuals who are experiencing ongoing problems Primary Examples: Work re-design, quality improvement teams, self-managing work teams Secondary examples: Stress management training programs, fitness programs, smoking cessation programs Tertiary examples: EAP services, counseling, rehabilitation services, health insurance benefits

Process Orientation Comprehensive Assessment Custom Tailoring Strategic Implementation Ongoing Evaluation

Key Success Factors Systems Approach Custom Tailored Tied to Mission, Values and Goals Senior Manager Commitment Employee Involvement Effective Communication Mechanisms Continuous Improvement

The Psychologically Healthy Workplace Program Awards Local Level (states, provinces and territories) PHWA American Psychological Association Best Practices Honors Information and Resources Web Site Good Company (e-newsletter, podcast and blog) Social Media 18

52 Associations in the U.S. and Canada… and Counting 19

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Evaluation and Selection Process Local PHWA Programs Main Application Organizational Practices Questionnaire Employee Questionnaire Site visit Selection of winners and presentation of awards APA’s PHWA and Best Practices Honors Nomination from pool of local winners Data analysis and judging process Legal and PR reviews

Healthwise Walking the Talk Employee Well-Being Personal health High overall satisfaction High marks for communication, work-life balance and a culture of respect Organizational Functioning Low turnover = 8% Hiring selectivity = 125-150 applicants for every job opening Satisfied long-term clients Healthy financial performance

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For More Information… Talk to the representative from your state, provincial, or territorial psychological association or visit www.phwa.org