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Article
4 minute read 21 June 2022


WHY REPORTING WORKPLACE WELL-BEING METRICS IS A GOOD IDEA


PEOPLE WANT TO IMPROVE WELL-BEING AT WORK, BUT FIRST THEY NEED TO KNOW WHERE IT
STANDS. 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
   
 * 
 * 


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WHY REPORTING WORKPLACE WELL-BEING METRICS IS A GOOD IDEA

by
   
 * Colleen Bordeaux
   
 * Jen Fisher
   
 * Anh Nguyen Phillips

 * 
 *  * 
    * 
    * 

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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
 * 

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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.

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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


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