A financially healthy company starts with the well-being of its employees

Recent research reveals how various aspects of business operations, including absenteeism, contract types, and workforce diversity, have a direct impact on company performance. A positive corporate culture that focuses on well-being and diversity will not only reduce the risk of burnout, but will also enhance financial success.Author: Edelhart Kempeneers for senTRAL

The effect of absenteeism and contract flexibility

A recent study by Securex and GraydonCreditsafe suggests that short- and long-term employee absenteeism has negative consequences on company results. This is because companies have to deal with direct costs, such as continuing to pay wages without any work performance in return, and indirect costs, such as a higher workload for other employees. Prolonged absences also result in additional expenses for replacing employees and loss of knowledge and experience, which is detrimental to the company's productivity and financial health.

Gender diversity is the key to success

One of the notable findings of the research is the significant impact of gender diversity in the workplace. Companies that strive to achieve a balanced gender distribution experience far fewer instances of long-term illness, including burnout. This will not only underscore the importance of an inclusive work environment for employee health, but also emphasize that striving for equity contributes to an organization's resilience and financial performance.

Financial health and work productivity

The research also shows that companies experiencing financial problems often face a greater risk of burnout among employees, which in turn leads to lower work productivity. This creates a vicious circle in which the company's financial position continues to deteriorate. Focusing on well-being and providing a supportive work environment not only increases employee well-being, but also has a positive impact on the bottom line.

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The importance of investing in luxury

While some factors are beyond an employer's control, such as company location or sector, the research highlights the importance of investing in employee wellbeing. Healthy, satisfied employees not only get sick less, they also feel more committed and stay with the company longer. This contributes to creating a positive corporate culture and better business results.

Important note

Although research provides valuable insights, it is important to remain critical on some points. Research indicates strong links between gender diversity, employee well-being, and companies' financial health. However, correlation is not necessarily causation. It does not address causal links between identified factors and business performance. This leaves room for alternative explanations that have not yet been explored. The focus on gender diversity and well-being can also inadvertently overshadow other important aspects of diversity and inclusion, such as cultural, age and skills diversity. Performance can include financial results, but also customer satisfaction, innovation, and other non-financial indicators. The applicability of the results may be limited due to the specific context of the companies studied, which may affect their overall validity.

A strategic focus on employee well-being, inclusivity and gender diversity can be useful elements in building a healthy and financially successful organization. By paying attention to these aspects, companies can not only reduce the risk of burnout but can also improve their overall performance. As always, prevention consultants from internal and external prevention services can play an important role by advising and supporting businesses in implementation. Effective welfare policy.

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Megan Vasquez

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