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Employee Well Being Linked to Improved Organizational Performance

Employers who understand the link between employee well being and organizational performance are best positioned for success in the economic recovery, according to the American Psychological Association. In presenting its annual Psychologically Healthy Workplace Awards, the APA recognized five organizations for their comprehensive efforts to promote employee health and well being, while enhancing organizational performance.

These five organizations reported an average turnover rate of just 9 percent in 2009 – significantly less than the national average of 41 percent estimated by the U.S. Dept. of Labor’s Bureau of Labor Statistics. Surveys completed by the winning organizations show that only 30 percent of employees reported experiencing chronic work stress, compared to 41 percent nationally, and 73 percent of employees reported being satisfied with their jobs, compared to only 65 percent nationally.

“Creating a psychologically healthy workplace takes a firm commitment in the best of times,” said David W. Ballard, PsyD, MBA, APA’s assistant executive director for marketing and business development. “Employers that maintain a strong commitment to employee well being even under difficult circumstances will have a distinct competitive advantage in their ability to attract and retain the very best staff. The five award winners have implemented programs and policies that reap rewards for both employee and employer alike.”

The recognized employers were Leaders Bank (Ill.), Advanced Solutions (BC, Canada), American Cast Iron Pipe Co. (Ala.), Tallahassee Memorial HealthCare (Fla.), and Toronto Police Service (Ontario). an>

American Cast Iron Pipe reports positive health outcomes, including more than 320 employees who have quit smoking, approximately 1,200 who have begun an exercise program, and more than 600 who have lowered their blood pressure to within normal limits.

At Tallahassee Memorial HealthCare, employees have made significant strides in morale, job satisfaction and work efficiency. At Leaders Bank, since the rollout of its wellness program, sick day utilization has decreased with employees now using an average of only 1.4 sick days per year.

And at the Toronto Police Service, improvements in equipment and training provided to uniformed employees have led to a decline in the average number of days lost due to workplace injury, keeping officers on the job and contributing to their families and communities.

Psychologically healthy workplace practices fall into five categories: employee involvement; health and safety; employee growth and development; work-life balance and employee recognition. Employee participation in decision making, skills training and leadership development, flexible work arrangements, and programs promoting healthy lifestyle and behavior choices are just a few of the practices that contribute to a psychologically healthy workplace. FSM

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