Stress still poses a challenge for businesses, causing increased levels of absenteeism, presenteeism and a lack of engagement. This creates additional expense and reduced profitability. This White Paper explores the reasons for this and offers practical measures that organisations can implement to decrease work related stress and increase productivity.

WhitePaper:WorkRelatedStress.

Whyisitstillaproblemandwhatcanyoudoaboutit?

PublishedJanuary2016by:HazelMcCallumMovingOnUpLimitedwww.movingonupcoaching.com

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ExecutiveSummary

This paper examines the research around work related stress and its relevance to organisations. It discusses why current measures are often ineffective and it offers a workable answer to the question of rising levels of work related stress.

Stress remains the top health issue for companies and is a major cause of sickness absence with enormous impact on UK businesses such as; low employee engagement, increased absenteeism and presenteeism, higher staff turnover, poor talent attraction and retention results in increased staff costs, reduced profits and lower staff morale.

The Government estimates the financial impact at over £1,000 per employee per annum, but effective management can reduce these costs by around 30%. With commitment, work related stress can be reduced and the benefits realised throughout organisations. Measures to reduce work related stress include: 1. FindingtheCause Consulting with employees and identifying the root causes of work related stress to enable more targeted solutions to be put in place. 2. DeliveringEffectiveStressResilienceTrainingTargeted for Boards, Senior Managers, Managers and team members and including long term, practical solutions to increase the resilience of individuals to work related stress. 3. ManagingExistingStressRelatedAbsences/ReportsEmployees absent due to work related stress may remain off work longer because of a lack of coping skills and confidence in their ability to return. A programme to increase these coping skills helps employees return to work, stay in work and contributes to the organisation meeting legal requirements. It also benefits individuals who are not absent but currently reporting difficulties with work related stress and may prevent deterioration in performance and absenteeism. 4. IncreasingEmotionalIntelligenceOrganisations with high levels of emotional intelligence show increased profitability, employee engagement and retention with individuals who can better meet the demands placed upon them. Work related stress that is well managed contributes to the overall wellbeing and and morale of employees and is sound business practice. If organisations want to compete and thrive in today’s demanding workplace they must put in place effective measures to reduce work related stress and increase resilience in their employees.

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TheProblem:WhatWe’reDoingIsn’tWorking Recent figures show:

o 211,000 new cases of work related stress (WRS) were reported to the HSE

o 400,000 people in the UK said work related stress was making them ill

o 10.8 million working days were lost due to work related stress.1 Aviva’s Work Life Report in 20132 found that over half of employees believe that stress is a problem in their workplace with a quarter identifying it as a ‘big’ issue but, only 23% think that their employer is effective at helping them to manage stress. There has been a rise in wellbeing initiatives by employers. So, why are we not seeing a reduction in WRS? Perhaps it is because the more usual measures put in place such as,

• wellbeing programmes / helplines • stress training • health initiatives

all contribute to wellbeing but these measures may not be effective for reasons set out below:

These include: 1. Employees fear they will be seen as ‘weak’ or ‘not up to the job’ if they seek help from their employers. This can lead to under, or incorrect, reporting, and absences recorded as minor illnesses rather than stress. 2. Staff may be reluctant to trust and use a helpline, fearing that the results may ‘get back’ to their managers.

3. Individuals who are already stressed remain absent because they fear returning to work and feel unable to cope with the circumstances that led them to suffer high levels of WRS in the first place. This means that absence can be prolonged, placing a burden on the organisation and delaying the recovery of the individual. This is particularly detrimental because we know that the longer the absence period the less likelihood of employees returning to work.

1www.hse.gov.uk2‘WorkingLives.A research report into employer and employee attitudes to workplace pensions, savings and benefits’ Issue 2 – February 2013 Published by Aviva

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4. The culture of the organisation may be a contributing factor. In a survey by LV= published by the Employee Benefits Group3, nearly three-quarters (70%) of respondents returned to work early when suffering from workplace stress; 35% because they were concerned about what colleagues might think; 38% because they felt guilty but 16% continued to work after being diagnosed with workplace stress. 5. Stress training may not be effective. Conventional stress awareness training is often superficial and scratches the surface of the problem; not really giving any lasting solutions. 6. There may inadequate training. Half of organisations invest in training for line managers to effectively identify and manage stress in their team but few organisations offer it for the whole workforce and fewer still provide training aimed at building personal resilience. This is despite the fact that 42% of employers believe that ‘better training on how to identify the symptoms of stress and what support to offer’ would help them tackle workplace stress.4 7. Healthy eating and other lifestyle wellbeing initiatives are valuable but transient interventions that many employees see as employers ‘paying lip service’ to their welfare.

HowDoesStressHarmOrganisations? AbsenteeismisincreasedThe average level of employee absence increased in 2015 compared with the previous year (6.9 days per employee), with stress being the most common cause of absenteeism.5 PresenteeismisontheupAlthough primarily defined as ‘employees coming to work when unwell’6 it actually goes much deeper, describing a broader range of circumstances that occur when employees are physically present, but too unwell or too stressed to perform at their peak. 7 It’s more prevalent where long working hours are the norm and operational demands take precedence over employee well-being. It is directly related to stress-related absence.

3http://www.employeebenefits.co.uk/70-return-to-work-early-with-workplace-stress/4CIPDabsencemanagementsurvey5 CIPDabsencemanagementreport20156http://en.wikipedia.org/wiki/Presenteeism7BenefitsCanadahttp://www.benefitscanada.com/benefits/health-wellness/addressing-the-presenteeism-issue-33190

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Presenteeism could be more costly to businesses than absenteeism.8 In fact, according to one director at Sunlife Financial, “It’s about four times bigger than absenteeism in terms of hours lost.” EmployeeengagementislowEmployee engagement is crucial to business success. But, in the UK, only 17% of employees are actively engaged in their work. 57% are not engaged, and 26% are actively disengaged and less likely to be productive.9 In the Global Benefits Attitudes10 survey, levels of workplace disengagement significantly increase when employees experience high levels of stress. The study of 22,347 employees across 12 countries, including the UK and US, revealed that over half of those employees who experienced high stress levels reported they were disengaged. According to Gallup, these actively disengaged employees cost the UK between £52 and £70 billion per year. They also found that organisations with engaged employees experienced higher earnings compared with their competition. StaffcostscontinuetoriseAccording to a 2013 CBI report,11 each absent employee cost their employer an average of £975 in 2012 through a combination of direct costs in sick pay, lost output and provision of cover through temporary staff or overtime. The Government implementation framework ‘No Health without Mental Health’12 puts this even higher stating that the cost of mental health to business is over £1,000 per employee per year, or almost £26bn across the UK economy. It also estimates that effective management can save organisations around 30% of these costs. StaffturnoverishighThe Association of Accounting Technicians reported that more than one in four British workers want to leave their job.13 In the current working environment employees aren't forgiving of leaders who don't do everything within their power to take care of them and their company.14

8Klachefsky,M.UnderstandingPresenteeism.http://www.standard.com/eforms/16541.pdf9StateoftheGlobalWorkplaceReport2013PublishedbyGallup 10 WorkersStillUneasyAboutFinancialSecurityandRetirementResultsfromTowersWatson’s2013/2014GlobalBenefitAttitudesSurveyByJonathanGardnerandSteveNyce11Fitforpurpose.Absenceandworkplacehealthsurvey2013.PublishedbytheCBI12Nohealthwithoutmentalhealth.ImplementationFramework’.July2012.CentreforMentalHealth,DepartmentofHealth,Mind,NHSConfederationMentalHealthNetwork,RethinkMentalIllness,TurningPoint.13https://www.aat.org.uk/news/article/quarter-british-workers-hate-their-job-and-are-considering-setting-their-own-business14StateoftheGlobalWorkplaceReport2013PublishedbyGallup

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The under thirty workforce, the so called Generation Ys, especially value work life balance and need help to develop the levels of resilience required. DecisionmakingisimpairedStress affects decisions. When stressed, we have difficulty concentrating and make short-sighted and biased judgments, inaccurately assessing the potential risks and gains associated with different courses of action. Researchers15 found that when people are put under stress they start paying more attention to positive information (the benefits) and discounting negative information (the disadvantages). This inevitably leads to poor decisions. IncreasingdemandsTwo-thirds (66%) of employers in the Aviva survey said that they need their employees to work harder than ever before. But, more than half (56%) of respondents to a survey by LV= cite unrealistic deadlines and workloads as a key trigger for stress, with long working hours (53%) and a lack of support or training (44%) following close behind. 16

TheSolution

“Anounceofpreventionisworthapoundofcure”.USstatesmanandscientistBenjaminFranklin

1. FindtheCause Stress is complex. Not all employees will experience the same stressors or have the same demands placed on them. Differing industries and workplaces have their unique challenges. Therefore, it is essential to identify the particular stressors for each situation or organisation. Although workload may be the most cited reason for stress, this could be caused, or exacerbated, by a number of things and training in these particular areas will address the difficulties faced by employees. This can be more effective than simply reviewing or attempting to reduce workloads.

15AssociationforPsychologicalScience."Stresschangeshowpeoplemakedecisions."ScienceDaily.28February2012.16http://www.employeebenefits.co.uk/70-return-to-work-early-with-workplace-stress/

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Such causes include;

• poor attention / time management, • email overload, • ineffective delegation, • poor relationships, • procedures or practices that are outmoded or hold people back, • not managing distractions, • physical environment, • ineffective communications, • excessive digital / social media use.

Consulting with employees to find the underlying causes of stress at work will reveal the most beneficial measures to take and identify the blocks to productivity. Interactive workshops will be more effective than more static measures, such as questionnaires or surveys. With expert facilitation these workshops can identify what training staff would most benefit from – allowing more accurate and economic use of resources and better targeted personal development plans. 2. StressTrainingtoIncreaseResilience Resilience is the process of adapting well in the face of adversity and significant stress – ‘bouncing back’. It involves behaviours, thoughts and actions that can be learned and developed. Effective stress resilience training helps individuals find the fine balance between too much or too little stress and maintain the right levels of stress to perform at peak. Therefore, training needs to bring about lasting changes and should incorporate the latest research to modify behaviours and increase resilience. Training for managers needs to give knowledge and confidence to manage their team, even when stressed, and to also manage themselves in challenging situations and environments. 3. ManagingExistingStressRelatedAbsences/Reports

Employees who have reported high levels of stress and are struggling to cope are more likely to be absent from work or to be present at work but not productive. The likelihood of such individuals inadvertently causing disruption is high and team morale is then often affected. Employees may be reluctant to return to work either because they have even less confidence in their ability to cope than before or they return to work too early but become acutely distressed again and the absence is repeated.

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A specialist programme designed specifically for employees already suffering from work related stress (WRS) goes above and beyond the usual therapies offered by General Practitioners and Occupational Health Providers and can address the specific causes of WRS. 4. IncreasingEmotionalIntelligence Emotional intelligence is a set of skills that increase self-awareness, self-management and management of others. There is a significant relationship between emotional intelligence, performance and leadership success.

Astudycarriedoutin1976byTheCarnegieInstituteofTechnologyintowhypeopleweresuccessfulconcludedthatupto85%offinancialsuccessisdueto

skillsinhumanengineering(theskillsofemotionalintelligence),whileonly15%isduetotechnicalknowledge.

Managers in particular need to develop these skills because, if Managers cannot manage themselves, how can they possibly help others? However, organisations should encourage all employees to develop emotional intelligence in order to improve performance. This is especially important for organisations who want to identify and develop their ‘Millennial Leaders’.

“Whenitcomestothequestionofwhetherapersonwillbecomea‘starperformer’(inthetoptenpercent)withinthatrole,orbeanoutstandingleader,

IQmaybealesspowerfulpredictorthanemotionalintelligence”.17 Howdoyouidentifytherighttrainingprovider?

Your provider should have the following qualities:

1. Willingness to test the problem – not just offer ‘off the peg’ solutions.

2. Stress resilience training that fully informs employees, including Managers, giving them the confidence to understand and tackle stress.

3. Content that includes skills development for longer term benefits, such as emotional intelligence skills, attention / time management and other interpersonal skills.

4. Training that is bespoke to the needs of participants and the business and is interactive and enjoyable.

17DanielGolemanEmotionalIntelligence:WhyitCanMatterMoreThanIQ1996

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Conclusion

To win customers — and a bigger share of the marketplace — companies must first win the hearts and minds of their employees. Talent is in short supply, so employers need to be more proactive in attracting and retaining talent and ensuring that they promote wellbeing in an authentic and effective way. In today’s job market employees expect more of their manager and their employer. They want to be developed, not only in technical skills, but in the important areas of personal development and performance skills. Targeted, effective training initiatives mean that valuable resources of money and time can be used more efficiently and economically. Employees who are more aware of the nature of stress and the particular stressors to which they are exposed in the workplace will be more resilient and better equipped to address these issues. Involving them in the solution will benefit businesses by increasing engagement and boosting productivity. Therefore, employers who are serious about addressing stress and retaining their employees would be well advised to consult with employees and address the causes, provide effective training, support individuals who are already stressed and generally raise the emotional intelligence of the organisation. Investing in employees and increasing their wellbeing means organisations will reap the benefits of increased productivity, efficiency and, thereby, healthier profits and client experiences. “Nowit’sclearthattheeconomicturmoiliscontinuingforlongerthananyofushadhopedsoitismoreimportantthanevertohelpyouremployeeslookafter

theirhealth.Companiesthatofferinitiativestokeeptheirstaffhealthysaythey’reseeingthebenefitsofdoingso.Theseinclude;improvedmorale,stafftaking

fewersickdaysandahappier,moreinnovativeworkforce.”

DrDougWrightMedicalDirector,Aviva,UKHealth

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AboutMovingOnUpMoving On Up Limited provides expert training and coaching to Board Members, Senior Managers and teams to increase resilience and improve performance across organisations. Hazel McCallum has worldwide experience in various sectors including health, construction, the Civil Service, financial sector and education both in the UK and has worked extensively across the globe. She has a special interest in stress management and practical interpersonal and performance skills and Emotional Intelligence. Her e-book ‘Managing the Stress Epidemic’ can be downloaded from the website at www.movingonupcoaching.com. Further information can be obtained by visiting www.movingonupcoaching.com or via Hazel’s LinkedIn profile at https://uk.linkedin.com/in/hazelmccallum.