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In today's workplace, there’s a growing recognition that employee wellbeing isn’t just a nice-to-have—it’s a crucial factor in driving performance, engagement, and long-term success. Leaders are often focused on hitting targets, driving business outcomes, and boosting profitability, but an essential element of achieving those goals is often overlooked: employee wellbeing.

The truth is, when you bridge the gap between leadership and employee wellbeing, everyone wins. A strong, well-cared-for workforce leads to better performance, lower turnover, and higher levels of innovation. In this article, we’ll explore why balancing leadership goals with a focus on employee wellbeing is the key to unlocking your team’s full potential and ensuring long-term success for your organization.

Why Employee Wellbeing Matters

Employee wellbeing encompasses more than just physical health. It includes mental, emotional, and financial wellness. When employees feel supported in all areas of their wellbeing, they are more engaged, productive, and loyal to the company.

But when these needs are ignored, it leads to burnout, disengagement, and turnover. This not only impacts individual employees but also disrupts the team’s overall productivity and the company’s ability to meet its goals. According to Gallup, businesses with engaged employees see 21% higher profitability, 17% higher productivity, and up to 41% lower absenteeism rates. Clearly, employee wellbeing is linked directly to business success.

The Leadership Dilemma: Goals vs. Wellbeing

Leaders often face a dilemma. On one hand, they have targets to hit and business outcomes to deliver. On the other hand, they know that employees are burning out or feeling overwhelmed. The common mistake some leaders make is thinking they have to choose between the two—that they must prioritize performance over people. 

However, this is a false dichotomy. The reality is that these two elements are deeply interconnected. Focusing on employee wellbeing doesn’t mean sacrificing results; it actually enhances them.

The Link Between Wellbeing and Performance

Imagine an employee who feels supported at work. They know their manager cares about their mental health, they’re provided with resources to manage stress, and they have a healthy work-life balance. This employee is more likely to show up to work ready to give their best. They’ll go above and beyond for a company that values their wellbeing because they feel valued in return.

Now, consider an employee who is stressed, overworked, and mentally drained. They may hit their targets for a while, but over time, their performance will suffer. Their motivation will decrease, and eventually, they’ll either check out mentally or leave the company entirely. 

Employee wellbeing isn’t just about keeping people happy—it’s about creating an environment where people can perform at their best, day in and day out. When leadership and wellbeing are aligned, productivity and performance naturally improve.

How to Bridge the Gap

So, how can leaders bridge the gap between driving performance and prioritizing employee wellbeing? Here are some strategies to help strike that balance:

1. Foster a Culture of Openness and Trust

One of the most important things a leader can do is create a culture where employees feel comfortable talking about their wellbeing. Leaders should regularly check in with their team members to see how they’re doing—not just in terms of their work, but also their mental and emotional state.

Employees need to feel that they can speak up if they’re feeling overwhelmed or burnt out without fear of being judged or reprimanded. By fostering a culture of openness and trust, leaders can get a better understanding of their team’s wellbeing and step in when someone needs support.

2. Set Realistic Expectations

Another key aspect of bridging the gap between leadership and employee wellbeing is setting realistic expectations. While it’s important to push employees to achieve their best, leaders need to be mindful of the pressure they’re placing on their teams. Unrealistic deadlines, constant overtime, and unmanageable workloads are recipes for burnout.

Leaders should work with their teams to set challenging yet achievable goals. This not only ensures that employees can perform at their best but also prevents burnout and disengagement.

3. Promote Work-Life Balance

Work-life balance is critical to employee wellbeing. Leaders should actively encourage employees to take time off, disconnect from work after hours, and set boundaries between their professional and personal lives.

Offering flexible working arrangements, such as remote work or flexible hours, can also help employees achieve better work-life balance. When employees have the freedom to manage their time and responsibilities in a way that works for them, they’re more likely to be productive and satisfied with their work.

4. Provide Resources for Mental Health

Mental health is a key component of employee wellbeing, yet it’s often overlooked. Leaders can play a big role in supporting mental health in the workplace by providing access to resources such as Employee Assistance Programs (EAPs), mental health days, and stress management training.

Leaders should also lead by example by normalizing conversations around mental health and demonstrating that it’s okay to prioritize self-care. When employees see that their leaders value mental health, they’re more likely to take advantage of the resources available to them.

5. Recognize and Reward Contributions

Recognition is one of the most powerful motivators in the workplace. When employees feel that their hard work is appreciated, they’re more likely to stay engaged and motivated. Leaders should regularly acknowledge and celebrate the achievements of their team members, whether it’s through formal recognition programs, shout-outs in meetings, or simple thank-you notes.

Recognition also plays a big role in employee wellbeing. Feeling valued and appreciated is a fundamental human need, and when employees know that their contributions matter, they’re more likely to feel satisfied and fulfilled in their roles.

6. Offer Development Opportunities

Employee wellbeing isn’t just about addressing immediate needs—it’s also about investing in the long-term growth and development of your team. Leaders should provide opportunities for employees to learn new skills, take on new challenges, and grow within the company.

This not only boosts employee engagement but also helps employees feel more confident and capable in their roles. When employees feel like they’re growing and progressing in their careers, they’re more likely to stay motivated and committed to the company.

7. Lead with Empathy

Finally, one of the most important things leaders can do to bridge the gap between leadership goals and employee wellbeing is to lead with empathy. Empathy means understanding and caring about the experiences and emotions of your team members. It’s about recognizing when someone is struggling and offering support, rather than simply pushing them to meet their targets.

When leaders lead with empathy, they create an environment where employees feel safe, supported, and motivated to do their best. Empathy builds trust, fosters stronger relationships, and ultimately leads to better performance and wellbeing.

Why It’s More Important Than Ever

In the wake of the COVID-19 pandemic, the importance of employee wellbeing has never been clearer. Many employees are still grappling with the long-term effects of the pandemic, including mental health challenges, burnout, and stress. As businesses recover and rebuild, it’s crucial that leaders prioritize wellbeing as a core part of their strategy.

Moreover, the shift to remote and hybrid work models has created new challenges for leaders. It’s harder to gauge how employees are doing when you’re not seeing them in the office every day. Leaders need to be proactive in checking in with their teams and finding new ways to support wellbeing in a virtual or hybrid environment.

Wrapping it Up

Balancing leadership goals with employee wellbeing isn’t just about being a compassionate leader—it’s about driving long-term success for your business. When employees feel supported, valued, and cared for, they’re more engaged, more productive, and more likely to stay with the company.

Leaders who prioritize wellbeing will not only see better performance from their teams but also foster a positive, resilient, and sustainable work environment. In the end, bridging the gap between leadership and employee wellbeing isn’t just the key to performance—it’s the key to building a successful and thriving organization.

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Tresha Moreland is a 30-year organizational effectiveness and strategic workforce planning expert. She partners with business leaders to develop workplace strategies that achieve best-in-class results. She has held key organizational leadership roles in multiple industries such as manufacturing, distribution, retail, hospitality, and healthcare. Tresha is the founder and principal consultant of HR C-Suite, LLC (www.hrcsuite.com). HR C-Suite is a results-based HR strategy resource dedicated to connecting HR with business results. She has received a master’s degree in human resource management (MS) and a master’s degree in business administration (MBA). She has also earned a Senior Professional in Human Resources (SPHR), Six Sigma Black Belt Professional (SSBBP) Certification. She is also recognized as a Fellow with the American College Healthcare Executives with a FACHE designation.

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