News Spotlight

The cost-benefit of WFH for women. New research finds that WFH impacts women differently depending on where they are in their careers — boosting output for senior workers but impairing training for junior workers (Harvard Business Review).

Hybrid hot desking declines. While hot desking — where workers choose desks on arrival — took off during the pandemic, many firms are returning to permanent desks to help workers feel more comfortable and in control (Bloomberg).

Workers turn down promotions. Burnout is an increasing reality for many employees, and some workers are declining promotions or even trying to move down the career ladder in search of a better work-life balance (Fast Company).

Stat of the Week

A new study estimates that, by 2032, 5 million STEM jobs will need to be filled by Gen Z adults. With 6% of Gen Z currently working in STEM, and an additional 22% working toward a college degree in these fields, it’s anticipated that 5.4 million Gen Z workers will likely meet — and even exceed — these demands.

With the future of work likely to require a new array of tech, sustainability, and AI skills, these projections are promising. Gen Z’s appetite for STEM work could yield major advancements in the future of science and technology. To help the labor force keep pace with rapidly developing technology, academic institutions and policymakers need to ensure that Gen Z students and workers have access to the education and training they need.

Deep Dive Article

Why Organizations Should Prioritize “Human Sustainability”

The concept of sustainability has evolved significantly over time, reflecting changes in societal values, environmental awareness, economic conditions, and global challenges. The emergence of modern sustainability began in the 1960s and 1970s, spurred by events like the publication of Rachel Carson's "Silent Spring" (1962) and the first Earth Day in 1970. This era marked a shift towards recognizing the interconnectedness of environmental, social, and economic issues.

In the 1990s and early 2000s, sustainability gained momentum as a guiding principle for businesses, governments, and civil society. International agreements such as the Kyoto Protocol (1997) and the Millennium Development Goals (2000) underscored the importance of addressing environmental and social challenges on a global scale.

The 2015 Paris Agreement on climate change and the adoption of the United Nations Sustainable Development Goals (SDGs) in the same year further underscored the urgency of sustainability as a global imperative.

Today, sustainability has evolved to encompass broader concerns such as climate change adaptation, circular economy principles, social equity and justice, ethical business practices, and resilience in the face of global challenges.

In the context of the workplace, we often see the term “corporate social responsibility” used to refer to business practices where companies integrate social and environmental concerns in their operations. More recently, however, we’ve seen a number of organizations adopting ESG frameworks. ESG stands for environmental, social, and governance, and refers to a set of standards used to measure an organization’s environmental and social impact.

As we contemplate the broader history of sustainability, it’s clear that some progress has been made. But although we’ve come a long way, organizations may be ignoring the social or “human” aspect of sustainability — especially as it pertains to their own workforce. This idea is supported by eye-opening new research from my company, Workplace Intelligence, conducted in partnership with Deloitte.

For the past three years, we’ve surveyed 3,150 employees, managers, and C-suite executives in our annual Well-being at Work survey. This year, we found that workforce well-being remains relatively unchanged since we began surveying employees in 2022, with just 56% of workers reporting that their overall well-being is “excellent” or “good.”

Another finding we continue to see year-over-year? It seems most leaders have no idea how much their people are struggling. Only around 1 out of 3 workers say their physical (34%), mental (32%), financial (35%) and social (31%) well-being improved last year. However, at least 7 out of 10 executives believe these well-being dimensions improved for their employees.

Leaders also have an entirely different perspective on how work is affecting people across all aspects of their personal and professional lives. Around 90% of executives believe that working for their company has a positive effect on employee well-being, skills development, career advancement, inclusion and belonging, and their sense of purpose and meaning. However, just 60% (or fewer) of employees agree.

So, where does “human sustainability” fit into this bleak picture? What does this concept even mean? And most importantly, how can organizations leverage the tenets of human sustainability to do well by their workers while still remaining profitable?

In today’s article, I’ll explore these topics and more — let’s take a look.

What is “human sustainability”?

Deloitte defines human sustainability as “the degree to which an organization creates value for people as human beings, leaving them with greater health and well-being, stronger skills and greater employability, good jobs, opportunities for advancement, progress toward equity, increased belonging, and heightened connection to purpose.”

Intuitively, we know that prioritizing human sustainability is simply the right thing to do. But our study, along with decades of other research on this topic, confirms that helping employees thrive is also good for the bottom line. More than 8 out of 10 executives we surveyed say a stronger commitment to creating a positive human impact would increase their ability to attract new talent (82%), appeal to customers / clients (81%), and boost their profitability (81%).

How can leaders move the needle on human sustainability?

To achieve the potential benefits for both their business and their people, leaders should consider the following steps:

1. Put metrics and goals in place. In our study, we asked the C-suite whether their company assesses the key areas of workforce well-being, skills development, career stability, and advancement, employees’ sense of purpose and meaning, DE&I, and the overall societal impact of their organization. Fewer than 2 out of 3 executives said they currently have metrics in place, highlighting an important area of opportunity.

An even lower number of leaders reported that their company has made public commitments tied to human outcomes. Setting goals is key — not only does it enable greater accountability, but it also ensures that all relevant stakeholders have visibility into an organization’s actions. Fortunately, 82% of executives agree that companies should be required to publicly report their human sustainability metrics.

2. Tie compensation and bonuses to making a positive human impact. The majority of executives (82%) agree they need to be more accountable for advancing human sustainability. While this is certainly promising, becoming more accountable is easier said than done — especially when other business demands need to be prioritized.

One way to increase executives’ accountability is to align their compensation with goals tied to human outcomes. Most of the leaders we surveyed say they’d welcome this approach, and it’s not just executives who are on board. 88% of the C-suite, 83% of managers, and 76% of workers say they’d prefer for at least 25% of their compensation to be tied to human sustainability metrics.

3. Take action to address worker issues. Of course, the most important step leaders can take to advance human sustainability is to address some of the challenges their own workers are facing. But leaders should avoid tackling these issues only via bolt-on programs or benefits. Case in point: over half of workers (52%) say simply paying them fairly would go a long way toward improving their well-being.

Outside of higher pay, some of the other ways employees would like their companies to support them include giving them more time during the workday to learn new skills, offering greater flexibility, and providing better well-being and learning benefits. Workers also say they’d welcome more career guidance.

A better path forward

Shifting to an approach that prioritizes human sustainability won’t be easy, but it offers benefits for workers and businesses alike. As Jen Fisher, retired managing director at Deloitte US, aptly describes: “There is an incredible momentum building for organizations to make meaningful change. But leaders should move away from a legacy mindset that centers on extracting value from people and instead embrace the concept of human sustainability, which can support the long-term, collective well-being of individuals, organizations and society.”

Thanks for reading — be sure to join the conversation on LinkedIn and let me know your thoughts on my company’s new research with Deloitte.

Quote of the Week

“If you can’t fly, then run; if you can’t run, then walk; if you can’t walk, then crawl, but whatever you do, you have to keep moving forward.”
​Martin Luther King Jr.