David W. Ballard, PsyD, MBA
Creating a healthy, high-performing organization takes a firm commitment even in the best of times, and as the recession hit full swing, many organizations had to make some difficult decisions. In a 2011 survey conducted by the American Psychological Association, 64 percent of working Americans reported that their employers had taken read more
steps such as putting a freeze on hiring or wages, laying off staff, reducing work hours, benefits or pay, requiring unpaid days off or increasing work hours because of the weak economy.
Employers who understand the link between employee well-being and organizational performance strived to maintain a work environment characterized by openness, fairness, trust, and respect, even when difficult actions were required. In short, they created a psychologically healthy workplace. These employers are positioned for success in the economic recovery and will have a distinct competitive advantage in their ability to attract and retain the very best employees.
The Psychologically Healthy Workplace
Although there is no “one-size-fits-all” approach to creating a psychologically healthy workplace, the practices that promote employee well-being and organizational performance can be grouped into five categories: employee involvement; health and safety; employee growth and development; work-life balance; and employee recognition.
Efforts to increase employee involvement empower workers, involve them in decision-making and give them increased job autonomy. Employee involvement programs can boost job satisfaction, employee morale and commitment to the organization, as well as increase productivity, reduce turnover and absenteeism and enhance the quality of products and services.
Health and safety initiatives improve the physical and mental health of employees through the prevention, assessment and treatment of potential health risks and problems, and by encouraging and supporting healthy lifestyle and behavior choices. Health and safety efforts include a wide variety of workplace practices that can help employees improve their physical and mental health, reduce health risks, and manage stress effectively. By investing in the health and safety of their employees, organizations may benefit from greater productivity and reductions in healthcare costs, absenteeism, and accident/injury rates.
Opportunities for growth and development help employees expand their knowledge, skills, and abilities and apply the competencies they have gained to new situations. The opportunity to gain new skills and experiences can increase employee motivation and job satisfaction and help workers more effectively manage job stress. This can translate into positive gains for the organization by enhancing organizational effectiveness and improving work quality, as well as by helping the organization attract and retain outstanding employees.
Programs and policies that facilitate work-life balance generally fall into two categories: flexible work arrangements and resources to help employees manage their non-work demands. Conflict between work and other life responsibilities can diminish the quality of both work and home life for employees, which in turn can affect organizational outcomes such as productivity, absenteeism and turnover. Efforts to help employees improve work-life balance can improve morale, increase job satisfaction and strengthen employees' commitment to the organization. Additionally, the organization may reap benefits in terms of increased productivity and reduction in absenteeism and employee turnover.
Employee recognition efforts reward employees both individually and collectively for their contributions to the organization. Recognition can take various forms: formal and informal, monetary and non-monetary. By acknowledging employee efforts and making them feel valued and appreciated, organizations can increase employee satisfaction, morale and self-esteem. Additionally, the organization itself may benefit from greater employee engagement and productivity, lower turnover and the ability to attract and retain top-quality employees.
Toward a Systems Approach to Well-being and Performance
It is important to note that the success of any workplace effort is based, in part, on addressing the challenges unique to the particular organization and tailoring programs and policies to meet its specific needs. Workplace practices do not exist in isolation and creating a healthy workplace culture goes well beyond a wellness program or health promotion initiative. Each workplace practice functions in relation to other programs and policies the organization has in place, as well as to internal and external environmental factors. The complex nature of these relationships highlights the importance of taking a comprehensive approach to employee health management.
High performance and sustainable business results require attention to the relationships among employee, organization, customer and community. As we move forward in the new world of work, forward-thinking organizations are striving to produce the best possible outcomes for all of the stakeholders involved. These employers are reevaluating work practices, providing resources that support employee well-being and applying new technologies that help shift work from somewhere we go from 9 to 5 to something we do that is meaningful and creates value. By promoting and supporting a psychologically healthy culture, employers are creating a work environment where both employees and the organization can thrive.
About The Author
David Ballard, PsyD, MBA, currently serves as Assistant Executive Director for Corporate Relations and Business Strategy for the American Psychological Association (APA). In this capacity, David designs and directs efforts related to health and well-being in the workplace, educates the business community about the value of psychological services, works to enhance psychology’s position in the health care marketplace, and provides research and development and strategic consultation to help psychologists build, manage, market, and diversify their practices. David also spearheads the APA Practice Directorate’s Psychologically Healthy Workplace Award, a national program designed to recognize organizations that make a commitment to programs and policies that foster employee health and well-being while enhancing organizational performance.
David received his PsyD in Clinical Psychology and his MBA in Health and Medical Services Administration from Widener University and completed concentrations in organizational and forensic psychology.
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