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TRANSPARENCY THROUGH PUBLIC DISCLOSURE IS A GOOD PLACE TO START. COLLEEN BORDEAUX United States × COLLEEN BORDEAUX Colleen Bordeaux, Deloitte Consulting LLP, is a senior manager with Deloitte Consulting’s Human Capital practice. She is a leader in Future of Work and Well-Being within the firm’s Health Care practice, and advises providers, health plans, and organizations in the well-being sector. Bordeaux has more than 10 years of experience in innovation growth strategy development, operating model design, organization and role design, and leadership alignment and engagement. She is based in Chicago. * cobordeaux@deloitte.com JEN FISHER United States × JEN FISHER US CHIEF WELL-BEING OFFICER | DELOITTE SERVICES LP Jen Fisher is the chief well-being officer in the United States at Deloitte Services LP and drives the strategy and innovation around work-life, health, and wellness to empower Deloitte’s people to be well so they can perform at their best in both their professional and personal lives. * workwell@deloitte.com * +1 305 808 2410 * * ANH NGUYEN PHILLIPS United States × ANH NGUYEN PHILLIPS DIRECTOR | DELOITTE TOUCHE TOHMATSU LIMITED Anh is a researcher, author, and former management consultant who has dedicated her career to exploring the interplay between technology and humanity. She is co-author of numerous articles and reports, as well as three books: The Technology Fallacy, a data-driven look at the centrality of culture to digital transformation; Work Better Together (June 2021); and The Transformation Myth (Sept 2021). Her work has been cited in leading publications such as the Wall Street Journal, MIT Sloan Management Review, Forbes, Fortune, and CIO Magazine. As the research director for Deloitte’s Global CEO Program, Anh directs research teams that help executives and other leaders navigate a changing world. Prior to her research roles, Anh spent over 10 years leading business and technology teams in implementing CRM and order management solutions for clients. Specialties include: Future of Work, Digital Business and Transformation, Digital Culture, Digital Talent and Leadership, Social Business, Thought Leadership Strategy, CRM, Order Management. * anhphillips@deloitte.com * +1 404 631 3172 * * * * * * * × SHARE ARTICLE HIGHLIGHTS See something interesting? Simply select text and choose how to share it: * Email a customized link that shows your highlighted text. * Copy a customized link that shows your highlighted text. * Copy your highlighted text. Share by email ✓ Link copied to clipboard * * Opens in new window WHY REPORTING WORKPLACE WELL-BEING METRICS IS A GOOD IDEA by * Colleen Bordeaux * Jen Fisher * Anh Nguyen Phillips * * * * * × SHARE ARTICLE HIGHLIGHTS See something interesting? Simply select text and choose how to share it: * Email a customized link that shows your highlighted text. * Copy a customized link that shows your highlighted text. * Copy your highlighted text. Share by email ✓ Link copied to clipboard ISSUE 30 | SUMMER 2022 | FEATURED ARTICLE EXPLORE THE MAGAZINE Spurred by lingering fallout from the pandemic, financial pressures, and other factors, stress in the workplace continues to rise. A 2022 Deloitte cross-industry study confirms the scope of the problem: Only 59% of surveyed employees said that their well-being was good or excellent, and the most-cited factors acting against well-being across both employees and C-suite executives were a heavy workload or a stressful job (30%) and not having enough time because of long work hours (27%). This could spell trouble for employers. When worker well-being (defined holistically to include physical, mental, financial, and social aspects) suffers, productivity often declines and health care costs frequently rise. Presenteeism, which costs US employers US$150 billion a year in lost productivity,1 can escalate. And that’s not all. Some four million workers have been voluntarily leaving their jobs each month in the United States alone—a ballooning exodus that has been termed the “Great Resignation”—and a lack of well-being is a leading suspect.2 A Randstad study found that 56% of employees age 18–24 say they would quit a job that prevented them from enjoying their lives; 38% of those 55–67 agreed.3 Learn more * Go straight to smart. Get the Deloitte Insights app * Learn about Deloitte’s services * Explore Deloitte Insights Magazine, issue 30 * Opens in new window The upside of well-being is just as compelling. People want to work for organizations where workers thrive. Fifty-nine percent of employees in the Deloitte study said they would seriously consider taking a job with a company that offers better well-being benefits than their current employer. High employee well-being can make an organization more attractive to customers and investors as well. The challenge, though, is that it’s hard to know whether worker well-being—actual well-being, not just employers’ investment in it—is high or low. While some organizations track program and benefit usage or survey employees about their stress levels, these typical metrics don’t get to the heart of what’s essential to any organization where workers thrive: a culture that supports well-being. Today, people learn about how a particular organization’s workers experience well-being largely through word of mouth—Glassdoor, Vault, conversations with friends and family. But this information is often subjective, influenced by factors such as recent workplace events, listener expectations, and even a person’s mood. But what if organizations publicly reported metrics on their workforce’s well-being? The desire for this is evident, as are the potential benefits. In the Deloitte survey, 55% of the employees and 77% of the C-suite executives believed that companies should be required to publicly report workforce well-being metrics. What’s more, a majority of both employees and C-suite executives said they would trust their company more if it publicly reported on well-being, and that they would be more likely to take a job with a company that did so. Publicly disclosing metrics on worker well-being may seem radical, but it has a precedent: the evolution of environmental, social, and governance (ESG) reporting. As ESG has become more of a priority among customers, investors, and workers, companies responded by creating and publicly disclosing ESG metrics. These metrics eventually became so important that regulators in many geographies, including the United States, the European Union, South Africa, Australia, and China, now mandate their disclosure.4 Governing bodies have also been working to standardize ESG metrics and reporting frameworks, which would allow stakeholders to reliably compare organizations’ ESG performance. The same could happen with well-being as public interest grows. Well-being touches every worker and their families, and many want something done about it. Recent media coverage has put well-being squarely in the public eye, elevating it as an important societal concern. The Great Resignation has sent employers scrambling to use every available lever, well-being prime among them, to attract and retain workers. For all these reasons, organizations have much to gain from metrics that can help them better understand worker well-being and communicate about it to their stakeholders. Well-being metrics don’t have to be “squishy” or based wholly on self-reporting, though self-reported data would likely be a crucial input. Along with gauging workforce sentiment with surveys and interviews, organizations can measure observable proxies that assess well-being in an empirical way. For example, organizations could track the percentage of workers who use their entire time-off benefit, the amount of overtime people put in, or the volume of work-related emails sent on weekends. Attrition rates could shed light on the quality of workers’ relationships with their supervisors. Organizations operating in company-provided facilities can use frameworks such as the WELL Building Standard to gauge workers’ likely physical well-being at work.5 They could also analyze insurance claims to understand whether workers are seeking more or less medical attention over time. Combining metrics like these with explorations of workers’ lived experience would likely help leaders develop a nuanced, actionable understanding of well-being across the organization. Download Share × SHARE IMAGE * * * OR COPY LINK Copy Organizations can benefit from sharing well-being metrics internally as well as externally. People at all levels want to feel they can be open about their well-being, especially as it relates to their work. Transparency among the C-suite is especially important. In the 2022 Deloitte study, 72% of the workers at organizations whose executives were transparent about well-being rated their own well-being as above average, compared with just 57% of workers at organizations with less-transparent executives. It remains to be seen if well-being reporting will follow in ESG’s footsteps. But the growing recognition of well-being’s importance may mean that the process is already underway. Reporting on well-being could be the next evolution in disclosure—with the prospect of benefiting workers, employers, and society as a whole. ENDNOTES 1. BusinessPundit, “How much do absenteeism and presenteeism cost your business?,” July 10, 2020. View in Article 2. US Bureau of Labor Statistics, “Job openings and labor turnover survey news release,” May 3, 2022. View in Article 3. Randstad, Workmonitor 2022, 2022. View in Article 4. Ryan Nelson, “Examining the state of worldwide mandatory ESG disclosures,” Conservice ESG, November 16, 2021. View in Article 5. International WELL Building Institute website, accessed June 2, 2022. View in Article ACKNOWLEDGMENTS Many thanks to Junko Kaji and Amy Fields for their generous contributions to this article. Cover image by: Matt Lennert TOPICS IN THIS ARTICLE * Talent, * Human Capital, * Environmental, Social, & Governance US HUMAN CAPITAL Deloitte’s Human Capital services leverage research, analytics, and industry insights to help design and execute critical programs from business-driven HR to innovative talent, leadership, and change programs. Learn more JEN FISHER US Chief Well-being Officer | Deloitte Services LP workwell@deloitte.com +1 305 808 2410 RELATED CONTENT INTEGRATING TECH AND WELL-BEING Article 1 year ago DESIGNING WORK FOR WELL-BEING Article 2 years ago TECHNOLOGIES THAT TOUCH YOU Article 2 years ago WELL-BEING Article 4 years ago EXPLORE DELOITTE INSIGHTS MAGAZINE, ISSUE 30 COLLABORATIVE ADVANTAGE: ACTIVATING THE POWER OF MANY Article 1 week ago THE IMPORTANCE OF SHARING SUCCESS—AND STRESS—METRICS Article 1 week ago EMPLOYEE HEALTH CONTRIBUTES TO ORGANIZATIONAL HEALTH Article 1 week ago SMART CITIES, SMARTER PUBLIC HEALTH Article 1 week ago THINKING ABOUT INVESTING IN THE METAVERSE? 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