Employee Well-Being and Organizational Performance

Summary

Employee well-being encompasses the physical, psychological and social health of individuals in the workplace. Organisational performance refers to the capacity of a firm to meet objectives relating to productivity, quality, innovation, profitability and employee retention. Research has consistently demonstrated a reciprocal relationship between these domains: high levels of well-being foster greater engagement, creativity and resilience, while supportive performance climates bolster satisfaction and motivation. Contemporary work environments, shaped by digital transformation, demographic shifts and global mobility, require holistic approaches that address both hedonic dimensions, such as job satisfaction and positive affect, and eudaimonic elements, including autonomy, mastery and sense of purpose. Interventions range from mental health initiatives, flexible working practices and ergonomic design to leadership development and employee empowerment strategies. Practically, integrated well-being agendas correlate with reduced absenteeism, lower turnover and sustainable competitive advantage.

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Employee Well-Being and Organizational Performance publication trend

The graph below shows the total number of articles in employee well-being and organizational performance across all publications each year (not limited to Nature Index journals).

Technical terms

Employee well-being: A multidimensional construct covering physical, psychological and social health at work.

Eudaimonic well-being: A form of well-being characterised by purpose, personal growth and self-realisation.

Hedonic well-being: A form of well-being focused on positive emotions and life satisfaction.

Burnout: A psychological syndrome involving emotional exhaustion, cynicism and reduced professional efficacy.

References

  1. Well-being and empowerment perceptions in a sudden shift to working from home. Journal of Vocational Behavior (2024).
  2. Effect of the Employees’ Mental Toughness on Organizational Commitment and Job Satisfaction: Mediating Psychological Well-Being. Administrative Sciences (2023).
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