In this blog, we will cover:
• Why is managing wellbeing different for small businesses,
• Legal requirements and obligations,
• The risks of not getting it right,
• Wellbeing related Policies,
• What should small businesses be doing,
• Low cost initiatives that small businesses can put into place.
We often hear about what large businesses and corporates are doing to manage and look after the wellbeing of their employees. We don’t often hear about what small businesses do and their challenges.
Often when we talk to our small business clients, they express concern that they are not doing anything or not doing enough to manage the wellbeing of their employees, however, when we look at what they are doing, they are in fact being proactive and have initiatives in place – they are just framing it or calling it ‘Wellbeing’.
Why is it different for small businesses?
A focus on the health and wellbeing of employees should be at the heart of all businesses; regardless of their size, but there are some differences for small businesses: –
• More Impact – small businesses feel the impact of managing wellbeing more, the time spent and the impact of employee absence. Small businesses have to juggle more with less.
• Less Resources – small businesses have less people and less time. They generally have one person doing one job (rather than a department) or even one person doing multiple jobs, therefore reduced wellbeing or absence of a person is felt across the business, especially where colleagues have to cover for their absence.
• Less Opportunities – small business find it harder to identify opportunities to improve wellbeing.
• Less Finances – small businesses have less or more limited finances, and certainly less money that can or is used on wellbeing initiatives.
• Less access to support – small businesses will not have in house support available, such as an occupational health or an HR department.
• More Flexibility – however, small businesses can be more flexible and offer more personal initiatives.
Legal requirements and obligations
When considering wellbeing, it is important to understand and know the legal and costly side of not managing wellbeing at all or incorrectly in the business.
Failure to manage wellbeing in the business or even poorly managing it, can often lead to an unnecessary escalation of an issue, and in turn could lead to mental health issues.
46% of UK employers said they’ve seen an increase in the number of employees experiencing mental health issues. These issues greatly impact small businesses.
Let’s take 2 examples: –
Example 1 – an employee feels stressed. This could be work related or related to something outside of work. It is not dealt with in the workplace and the employee is not supported (or doesn’t feel supported). The matter escalates to them going off sick and then progresses to long term sickness absence. At this point, there is a breakdown in the employment relationship and potentially other mental health symptoms develop.
Example 2 – a female employee is going through the Menopause and is struggling with some symptoms. She may feel uncomfortable about raising it with her manager – the company culture is it is not spoken about it. Her performance is suffering as a result, and she has sickness absence. She is spoken to about both her performance and her absence – and even threatened with disciplinary. She goes off sick with stress and it escalates.
Neither of the above examples need to happen if wellbeing of employees is managed correctly.
Disability Discrimination
Disability is a protected characteristic under the Equality Act 2010.
Disability is defined as:
• an impairment that is either mental or physical;
• the impairment affects the person’s ability to carry out normal day-to-day activities;
• the adverse effect is substantial; and
• the adverse effect is long term.
To break down some of the words used in the definition :
- ‘normal’ is anything that is not abnormal.
- ‘day-to-day activities’ are things most people do on a regular or daily basis (not just work related) and can include washing, dressing, watching TV and shopping.
- ‘Substantial’ means more than minor or trivial.
- ‘long term’ is defined as :
• has lasted for at least 12 months;
• is likely to last for at least 12 months; or
• is likely to last for the rest of their life.)
Reasonable Adjustments
Under the Equality Act 2010, employers have a legal duty to make reasonable adjustments to assist disabled employees.
Reasonable adjustments are put into place to enable a disabled person to continue in their job without being at a disadvantage compared to others.
What is ‘reasonable’ will depend on the individual circumstances of the team member, their role and the business.
Adjustments should be considered on a case-by-case basis, but factors you might consider include:
• The effectiveness of the adjustment in preventing the disadvantage
• The practicability of making the adjustment
• The extent to which making the adjustment would impact on service delivery
• Financial and other costs
• The potential impact on other colleagues
To put the cost of not looking after employee wellbeing into perspective, disability discrimination awards in a tribunal can be uncapped. In 2022/23 the largest award was a staggering £1.7m and the average award was £45K.
The risks of not looking after your employees
There are huge risks of not looking after the wellbeing of your employees and not just in terms of litigation.
The cost of absence to a business was 35.2 million days lost in 2022/23. 24 million of those days was due to stress, anxiety and depression.
What are the other risks of not looking after staff?
• A decrease in productivity
• A decrease of staff morale
• Affect business reputation – in terms of absent staff, not meeting customer demand and also not being an employer people want to work for
• Issues with attraction and retention of staff
These risks will be felt by all businesses but especially by small businesses.
What should small businesses be doing
It’s not just about offering free dental or optical treatment (although that does help). Here are some things small businesses should be doing:-
• There must be a top down commitment to wellbeing in the business.
• Create a workplace which is good for mental health – wellbeing is a state of happiness, so make the workplace comfortable, where employees feel safe.
• Train and equip managers to be managers. A lack of line manager skills and confidence is the top challenge for employee wellbeing. ‘Management style’ remains among the top causes of stress related absence.
• Stop the unhealthy practice of employees continuing to work when they are unwell – known as ‘presenteeism’.
• Look at the job itself – ensure staff understand their role, look at the job design and expectations and watch out for under fulfilled people or burnout.
• Ensure your staff feel supported and fulfilled at work in their jobs.
• Know your business data – it is really important to know your turnover and sickness rates. This will give you a picture of what is going on in the business.
• Monitor sickness absence and understand the causes.
• Hold return to work interviews – talk about why they were off and how they feel now.
• Work with an occupational health company – small businesses don’t have OH in the business so find one to work with if you need reports or in house assessments carried out.
• Ensure you provide the correct equipment and training.
• Carry out Display Screen Equipment Assessments – this will ensure your employees are working in the correct way at their workstations avoiding any musculoskeletal problems.
• Develop a culture where your people can talk freely about how they feel or what they are experiencing, whether that is feeling of overwhelm, going through the menopause or having financial problems.
• Listen to what your employees want and how they feel. You can hold open meetings or carry out staff surveys.
• Ensure staff takes their breaks and holidays – this is required by law.
• Include gender-specific health, such as menopause and menstruation support.
• We are an aging workforce, so if you have a multi-generational workforce, consider wellbeing initiatives that suits all ages.
Wellbeing related Policies
There are a number of health and wellbeing related policies.
Large businesses and corporates may have a suite of individual well-being related policies, however, for small businesses that is not necessary. Often small businesses will incorporate them all under one policy.
Policies don’t have to be 100 pages long. Ensure they are user friendly and informative, and don’t sit on a shelf gathering dust.
Keep them up to date and reviewed on a regular basis.
One policy which small businesses should invest in is Managing Sickness Absence.
Low cost initiatives that small businesses can put into place
There is no one size fits all – it is what suits your business and workforce.
They don’t have to be expensive or complicated to implement.
Here are some examples for small businesses:
• Check in with your employees and hold regular 121s
• Let your employees have a voice – employees feel engaged and happy when they can contribute to the business.
• Consider how you could offer flexible working that suits home and work life of your employees – and of course the business.
• Invest in your staff – train and develop them.
• Encourage activity, such as a walk at lunch time but don’t make it mandatory. Not all employees will want or can do this.
• Consider enhancing sick pay. This doesn’t have to be a lot.
• Offer Duvet days – a useful day when an employee is not ill but not feeling up to working.
• Celebrate birthdays – this could be with a card, cakes or a day off on the birthday
• Show appreciation and recognition, externally and internally. Thank employees, praise them and, with their consent, put out social media posts about their good work.
• Have workplace champions or mentors for key health areas, such as mental health first aiders or menopause champions.
• Consider offering a counselling service or investing in an employee assistance programme. They are not as expensive as you think and many offer remote GP and counselling sessions.
• Organise visits from health experts such occupational health, massages or Reiki sessions.
• We all love our pets. They have a way of relaxing people so you could consider bring your pet (dog) to work day. However, check first with those who have an allergy or are afraid of dogs.
• Create a welcoming and comfortable working environment – windows, airy, have greenery and maybe music (if appropriate).
• Organise team social activities but remember not all employees will want to attend and they shouldn’t feel obligated to.
• Be family friendly – encourage employees to attend their children’s school plays or sport days.
• Know where to signpost staff to who need support or where to obtain it from.
Hill HR are experts supporting small businesses so if you need support with wellbeing in your business, or any other HR matter, then please contact us.
#wellbeing #workplacewellbeing #employeewellbeing
