Organizations must focus on "Vital Middle" employees to positively impact perceptions of Organizational Performance!

?? In the future of work, employee wellbeing is a non-negotiable.

?? While employers often focus on addressing employees with a low sense of wellbeing, understandable, as these employees feel 4x less impactful in their roles compared to those with high wellbeing, they actually account for a relatively small portion of organizations.

??Employees with high wellbeing were 1.4x more confident in their organization’s performance than those with medium wellbeing

?? Employees with high wellbeing were more likely to report that their managers display behaviors that help create a positive work environment, according to a new interesting research published by Russell Reynolds Associates using data ?? from an online survey of 3,813 senior leaders and 8,753 employees across 105 countries, which was carried out between May 2, 2023, and May 18, 2023.

?Definition of Employee Wellbeing

Researchers identified three attributes that contribute to an employee’s sense of wellbeing within their organization. So Employee wellbeing is determined by whether an individual feels:

??Inspired by the people they work with;

??Included in the culture of the company; and

?? That they do not have to sacrifice who they are to be successful at the organization.

They categorized on three levels of wellbeing: Employees with high wellbeing, with medium wellbeing and those with low wellbeing.

?The "Vital Middle" employees

Researchers found that organizations have the greatest opportunity with what they call the “vital middle” the 40 % of employees who report having medium wellbeing.

And this middling sense of wellbeing has a significant effect, employees in this category feel half as impactful as those who report high wellbeing.

?Employees with high wellbeing have the highest impact

Researchers discovered that employees with high wellbeing :

• Feel that they have significant impact on their role
• Their objectives are clear
• Have access to the information that they need to make good decisions
• Have access to opportunities that will help they continue to develop professionally
• Have the right team of people around them to enable them to make good decisions.

These results underscore the importance of fostering wellbeing at the individual level. Not only does it create a healthier experience for employees, but it also enhances clarity, teamwork, and access to crucial information.

?The crucial role of managers on Employee Wellbeing

Researchers noticed that employees with high wellbeing are more likely to report that their manager honestly acknowledges both successes and failures than those with medium levels of wellbeing.

Also those with high wellbeing were also more likely to agree that their manager effectively vocalizes issues of discrimination and bias than their medium wellbeing counterparts.

These results confirmed that managers have a major impact on their employee’s wellbeing. So senior leaders should prioritize open and honest employee relationships.

? Positive impact on Organizational performance

Researchers noticed that employees with high wellbeing were 1.4x more confident in their organization’s performance than those with medium wellbeing.

It also means they are more willing to stay with their organization because those who have better experiences at work have simultaneously better expectations around their organization’s future, meaning they’re more engaged in the organization and ideally less likely to leave.

?? Finally, researchers provide recommendations below for leaders looking to make meaningful improvements to employee well-being and the success of their organizations:

?? Ensure that employee wellbeing (or related outcomes like engagement and retention) is incorporated into the objectives of senior leaders and managers.

?? Clearly communicate the organization's commitment to wellbeing by stating concrete goals and integrating them across business units.

?? Allocate resources and investments towards cultural practices that support employee wellbeing.

?? Empower employees to contribute to goals: clarify objectives and expectations for employees, ensuring clear roles and responsibilities with autonomy and flexibility where possible.

?? Purposefully and consistently recognize employee achievements.

?? Regularly assess, monitor, and prioritize organizational culture to better assess if employees feel safe enough to bring their full selves to work. Solicit ongoing feedback, proactive support programs, and a culture that values work-life balance and mental health.

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Although the relationship between wellbeing and employee performance is well known and obvious, this interesting new research demonstrates that organizations need to focus more on what they call the "Vital Middle" to transform them into high wellbeing employees and thus have a positive impact on organizational culture.

Thank you ?? Russell Reynolds Associates researchers team for these insightful findings: Thomas Handcock Beth Hawley, M.A. Gabrielle Lieberman Peter Pickus

Dave Ulrich

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