With all the events that have taken place over the past years, not only our physical health may have has suffered, but also our mental health. Starting with the transition from working in an office to working at home, the inability to see close friends, or even go outside – we continue to bear the consequences of these events, and this affects both our daily lives and our work.
According to many experts, it is very significant to support not only physical but also mental health. Research by the Chartered Institute of Personnel and Development (CIPD) states that the latest official data shows that in the years 2019 and 2020, 32.5 million working days were lost due to work-related ill health, of which nearly 18 million were due to stress, anxiety, and depression. Our reactions to stress, level of efficiency, and productivity at work can be tracked by the state of our well-being. On one hand, when well-being is reached, we feel a sense of accomplishment, solve problems faster, cope with problems more easily, set goals and achieve them. And on the other, when we achieve burnout or have psychological problems, it affects our quality of life and, in particular, our ability to work. Thus, the efficiency of work can decrease and in doing so, it can affect the company’s performance. So, a new and important stage in the development of caring for its people in the corporate sector is the awareness not only for the sake of benefits but also a comprehensive approach to caring for the employees’ well-being.
Luckily, caring for mental health in an organization is becoming the new standard for work life. The days when overwork, no personal life and labour exploitation were accepted as ‘normal’ are long gone, as these directly account for a degradation of employee well-being and companies are now prioritising a much healthier balance. In this article, we have gathered information on how this transforms the whole business beyond the obvious.
Higher performance levels
When a company cares about the well-being of its employees, they feel more connected, their physical health improves, and therefore their well-being improves. This also includes employee recognition and feedback on work performed. One of Harvard’s research projects suggests that an increase in well-being gives, on average, an increase in productivity of about 10%. Another study from Oxford showed that happy workers are 13% more effective. These aspects contribute to a higher level of employee engagement; therefore, the work will be done more efficiently. And ultimately, it increases the results and profitability of the company.
Companies that pay attention to employee well-being achieve better results, increase customer loyalty and are more likely to achieve repurchases of their services. Personal problems affect the way we communicate with others, so if this can be a reason for an employee to mishandle a customer, it very much interferes with the customer experience.
Researchers at Harvard have concluded that customer satisfaction and loyalty are a direct result of employee satisfaction and employee productivity. They came up with the so-called ‘service-profit chain’ where it is shown that profit and growth are stimulated primarily by customer loyalty which can be obtained from customer satisfaction. Satisfaction depends on the value and quality of the services the company provides, and the value is created by satisfied, loyal, and productive employees.
Improved employer branding and low staff turnover
When a company cares about the well-being of its employees, respects, and maintains a work-life balance, and broadcasts it in the marketplace, there is a better chance of attracting qualified candidates and retaining current employees for a longer term.
A 2021 study by the Center for Mental Health UK found that mental health problems at work cost the UK economy GBP 34.9 billion last year – that means GBP 1,300 per worker. The studies from the same organizations show that GBP 10.6 billion was lost due to sickness absence and GBP 21.2 billion because of reduced productivity at work. Therefore, ensuring the welfare of employees will help companies reduce the revenue loss and the personal expenses of employees, who are absent due to well-being-related issues.
How Accace aces with employee well-being
At Accace, we believe that a healthy company culture brings success to businesses and society. Looking at companies through relationships and culture provides incentives to develop not only humanly, but also economically. We truly believe that people are the foundation of everything. In establishments that also hold these values, every idea is welcomed, and mistakes are perceived as a basis for growth, thus making every employee feel needed and valued.
Over the past years we have developed multiple projects, tools and products that help not only our clients’, but also our very own employees. With these innovations our ultimate goal is to contribute to a better work-life balance and maximize the quality of working place and conditions we provide.
Our service portfolio covers:
- Market entry
- Tax advisory and tax compliance services: Tax registration and refunds | Non-residents and Global mobility | Personal income tax | Advisory online portal
- Legal advisory: Corporate law | R&D | Banking and finance | Insolvency, restructuring and bankruptcy | Intellectual property | GDPR | Compliance programs | Labour law | Commercial and civil law | Other legal services
- Accounting and reporting services | Accounting Portal
- Payroll and HR administration services | Payroll portal
- Transaction advisory: Due diligence | Mergers and acquisitions
- Transfer pricing services
- Corporate and secretarial services: Company establishment | Domiciliation services | Representation services | Full range corporate secretarial support
- Online consulting
- Ready service packages