Deloitte: Six Leader/Worker Disconnects Affecting Workplace Well-Being

Featured article for this week's Brief

Read time: 3 min

Big Idea

There are six gaps between leaders’ perception of workplace well-being and the realities that employees face that need to be addressed to improve employee well-being and sustainability, namely the perception gap, the care gap, the modeling gap, the satisfaction gap, the priority gap, and the action gap.

Top Thoughts

• The gaps that exist between how leaders perceive employee well-being and what workers actually experience lead to a "well-being paradox" where strategic investments do not translate into improved well-being.

• Post-pandemic hybrid work models highlighted the importance of workplace well-being. More emphasis is now put on prioritzing well-being rather than career advancement. Leaders should focus more on human sustainability, valuing workers as human beings and their broader impact on society.

• Six leader/worker disconnects were identified:

  • The perception gap - Leaders have inaccurate perceptions of how their employees are feeling and how well and healthy they are.

  

  • The care gap - Employees feel that co-workers care for their well-being, but do not believe that organizational leaders care.

    

  • The modeling gap - Employees are more likely to be healthy if leaders are healthy, however, employees do not believe their leaders are transparent about their own health and well-being.

    

  • The satisfaction gap - Leaders do not realize that company well-being-related benefits are misaligned with actual employee needs and that employees are dissatisfied.

    

  • The priority gap - While leaders believe that their company supports HR development, employees disagree. Employees feel human sustainability is not prioritized by leadership.

    

  • The action gap - Employee expectations for the amount of resources companies should invest in human sustainability initiatives is much higher than the rate which leaders are actually doing so.

  

• Although organizations intend to improve worker well-being, they struggle to effectively initiate these measures clearly and accountably. Policies like return-to-office mandates could worsen employee well-being.

• Leaders need to recognize and address leader/worker disconnects by shifting their focus towards more accountability, transparency, and better aligning well-being benefits with actual employee needs.

• Leaders can adopt measures like measuring and reporting well-being metrics, increasing leadership accountability, increasing transparency, empowering managers, adopting a long-term approach to human sustainability, and appointing a dedicated leader to advance these well-being initiatives.

Quick Quotes

• "In Deloitte’s 2023 Well-being at Work survey... 84% of respondents say that improving their well-being is a top priority this year—with 74% saying it’s even more important than advancing their career."

• "Amplified by the COVID-19 pandemic, the widespread adoption of new and hybrid ways of working, and the shifting priorities of new generations of workers, the conversation around workplace well-being continues to be top of mind for C-suite leaders and workers alike."

• "Leaders are beginning to recognize that work is a critical determinant of well-being and are shifting toward a more holistic approach to human sustainability: the degree to which an organization creates value for current and future workers as human beings and, more broadly, society as a whole. Organizations that embrace this concept can help their employees become healthier, more skilled, and more connected to a sense of purpose and belonging."

• "Many organizations’ worker well-being initiatives are still struggling to gain traction and don’t have clear measurements or accountability… Employee well-being has worsened across dimensions, including physical, mental, social, and financial well-being, according to our survey."

• "Our Well-being at Work survey revealed six significant disconnects between C-suite leaders’ perceptions of worker well-being and the realities workers are experiencing. These gaps may be at the heart of the well-being paradox—a fundamental reason why worker well-being continues to deteriorate despite organizations’ strategic investments."

• "Leaders should take action to bridge the gaps and realign with the reality of their workers’ well-being status, challenges, and opportunities."

Actionable Advice

1. Measure and report well-being metrics - Create clear metrics to measure well-being and make these metrics public and accessible in order to transparently track levels of employee well-being and how it is progressing.

2. Tie bonuses to human sustainability - Create a direct link between executive compensation and the achievement of human sustainability goals to establish a tangible incentive for leaders to prioritize employee well-being.

3. Increase leader transparency - Encourage leaders to openly communicate about their own well-being a promote a culture of openness, and destigmatize discussions around well-being.

4. Model behaviors - Leaders should lead by example in practicing and promoting healthy behaviors to encourage a trickle-down effect throughout the organization.

5. Empower managers - Provide managers with training and resources to understand and support employee well-being. Give them access to well-being metrics and involve them in implementing well-being initiatives.

6. Encourage long-term human sustainability - Shift company focus from short-term fixes to a long-term, holistic approach that prioritizes the physical, mental, social, and financial well-being of leaders and workers.

7. Appoint a dedicated leader - Designate a specific role or leader who will be responsible for overseeing and integrating human sustainability efforts. They should ensure that human sustainability remains a priority and is effectively integrated into the organizational culture and strategy.

Source(s)

Fisher, J., Bhatt, J. & Fields, A. Six Leader/Worker Disconnects Affecting Workplace Well-Being. [Web Article]. Deloitte. (Link)