How to impact turnover by focusing on employee wellbeing
In today’s, unpredictable, dynamic, and continuously changing business world, it is employees, not the fixed or tangible assets that differentiate an organization from its competitors. Employees are the most important intangible assets for any organization, small or large. The knowledge economy of employees is the fuel for development and growth in all organizations.
Employees that leave an organization might be replaced physically, however, their skill sets and invaluable knowledge cannot be replaced by the person replacing them. This is because every individual is unique and possesses different skill-sets and experience.
Pacific Prime Dubai will take a look at the measures that organizations can take to show that workplace employee wellbeing is a priority, which can help to increase employee retention, and improve staff turnover.
What is employee wellbeing?
Employee wellbeing in simple terms is how someone feels about various aspects of their life in the workplace – their work-life balance, financial security, their relationships with senior figures and colleagues, and other activities associated with their work and responsibilities. All in all, it is about whether they feel well and happy being at the workplace they are in.
Employee wellbeing is evolving
Employee wellbeing in the workplace used to be a question of health and safety at work, in other words limiting and addressing health and safety concerns related to injuries or health problems caused by the workplace. Nowadays, wellbeing at work is a popular subject which extends beyond physiological or mental health – it is very much about optimizing the health of all employees, and not just reducing the number of employees who are diagnosed with a medical condition. Creating happiness and job satisfaction is considered to be the ultimate goal for employee wellbeing schemes by employers as the following study proves.
Employee wellbeing best practices directly impact workforce turnover
According to results from a significant survey by Mercer in 2017, in every industry, employers that offered extensive wellbeing resources and programs had an 11% lower turnover compared to those who implemented only a few employee-wellbeing practices. The results showed a surprisingly strong positive correlation between wellbeing and turnover.
In addition, the results were positive across industries too when repeated – including healthcare, services, high-tech, and retail. Businesses that typically have high turnover, like retail, services, and healthcare, and those that have low turnover, like high-tech were all surveyed.
Taking the retail industry as an example, the average turnover rate in 2016, among large employers that used the fewest wellbeing best practices was 54%. However, for other retail employers that offer their employees the most wellbeing best practices, the average turner rate was 38%. This substantial drop from 54% to 38% due to the employer offering more wellbeing best practices is a strong indication that wellbeing schemes and practices do work.
The healthcare, service, and high-tech industries also showed the same correlation and indicates the tremendous impact employee wellbeing best practices have on the average turnover rate.
3 employee wellbeing initiatives that will help boost engagement and productivity in the workplace
Employees that are mentally stressed, physically burnout, disillusioned, and marginalized will not only express lower morale but could also lead to higher employee turnover and recruitment costs.
Employers, especially the senior managers and professionals from the human resource department will want to closely monitor individuals and cater to their wellbeing needs to draw them away from the problems that come as a result of stress and low morale.
To do this, a number of best practices or schemes can be offered to employees in the workplace that will assist or resolve their problems as shown below:
1. On-site fitness programs
These fitness programs can lead to a boost in productivity and provide a mental and emotional break from the laborious commute into the office in the morning, to being sat down in front of a screen for hours on end.
2. Mindfulness Training
Mindfulness training is a proven solution to help employees relieve stress and feel balanced. Additionally, the training will help increase productivity and enable the workforce to focus on their day-to-day tasks. Mindfulness training comes in many forms, such as meditation, breathing, and yoga. These all help individuals to be more present as well as develop their efficiency.
3. Financial education (financial wellbeing programs)
Financial wellbeing is an area that employees tend to require the most help and should be prioritized as an important part of the employee experience. With reference to PWC’s employee financial wellness survey, 59% of employees cited that they had financial challenges, when asked what they feel causes them the most stress. These challenges cause more distress than their job, relationship, or health concerns combined. The major concern for employers is that when employees are stressed, they’re not as productive or engaged at work. More worryingly, they are likely to resign as a result.
This is why offering a holistic financial wellbeing program will help employees to overcome their financial challenges inside and outside of work. Well designed and implemented programs give individuals the opportunity to learn how to spend, save, plan, and borrow with confidence, and with a greater understanding too.
Speak to an advisor at Pacific Prime Dubai for more information on how to lower employee turnover
Pacific Prime Dubai endeavors to provide readers with the best material and most relevant information when it comes to employee wellbeing.
The best part of getting in touch with an advisor is that the information provided is specific to the needs of clients and is delivered with care and understanding.
On top of the solutions we provide to organizations in Dubai and across the UAE ranging from employee benefits to group health insurance, Pacific Prime Dubai also recognizes the importance of protecting individuals and their family members by offering private health insurance plans.
Pacific Prime Dubai is partnered with a number of major health insurance companies in Dubai and other Emirates in the UAE that provide medical insurance plans. Some of the insurers are mentioned below:
- Orient Insurance Company PJSC & Allianz Partners
- Al-Ain Ahlia Insurance & Aetna International
- AXA Gulf Insurance
- Oman Insurance & Bupa Global
- Zurich & Cigna Middle East Insurance
His expert view and wealth of knowledge on insurance can also be found in his blogs for China, Dubai, Hong Kong, and Singapore.
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