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Looming ‘wellness crisis’ could lead to ‘quiet quitting’ spike, report warns

By Zarah Torrazo
19 April 2023 | 12 minute read
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A new report showed Australian employees are suffering financially, physically, and mentally, and warned that a “wellbeing crisis” could be looming on the horizon. 

Gartner’s Global Talent Monitor Survey, which included responses from 992 Australians, found that overall employee wellness fell to 34.5 per cent in the fourth quarter of 2022. 

The report noted that this concerning trend has continued into 2023, with financial, physical, and mental wellness declining to their lowest levels in more than two years. 

Surveyed employees reported that their financial and physical wellness are now at a record low of 22.5 per cent and 25.3 per cent, respectively.

Aaron McEwan, the vice president of research and advisory at Gartner HR practice, suggests that the decline aligns with the fourth wave of the COVID-19. 

The country’s fourth Omicron wave ended in late February after lasting around 19 weeks, which is significantly longer than the previous waves that lasted around 12 weeks, according to the Health Department.

He noted that the latest wave was characterised by “psychological trauma and economic injury”, which is now manifesting among employees. 

In addition to health concerns due to the pandemic, Mr McEwan highlighted that Australians are also negatively affected by additional financial stress. 

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“It’s not just about increased workload or burnout, Australians are battling high interest rates and the fastest growing annual increase in the cost of living since 1990. They’re likely to do the bare minimum this year, with many telling themselves there’s more to life than work,” he explained.

Given all these factors, Mr McEwan predicts a spike in the trend of “quiet quitting” among staff . 

The workplace concept, which gained popularity in the social media platform TikTok in 2022, denounces the subscription to the “hustle culture” and advocates for completing one’s minimum work requirements without going above and beyond or bringing work home after hours. 

“They’re likely to do the bare minimum this year, with many telling themselves there’s more to life than work,” Mr McEwan said.

So, what could make employees leave or stay?

The report also noted that Australians’ business confidence has continued its downward trajectory, from 50 per cent in the first quarter of 2022 to 44.5 per cent during the last three months of the same year. 

Compared to the start of 2022, employees have become less confident about the number of jobs open on the market, as perceptions of job availability declined by 0.4 per cent in the fourth quarter. The report also showed a 1.6 per cent decrease in active job search behavior.  

“As confidence in the economic outlook declines, weary workers are likely to stay put, and organisations could instead see a rise in quiet quitting as workers only put in minimum effort rather than going above and beyond,” said Mr McEwan. 

But what could make employees leave their organisation? The report ranked the top drivers of attrition among Australian employees as manager quality, respect, and people management. 

Compensation, location, work/life balance, recognition, co-worker quality, health benefits, and ethics were also named as important factors.

Meanwhile, the report showed that the top factors that attract employees to other employers include location, work/life balance, respect, compensation, vacation, co-worker quality, stability, recognition, ethics, and alignment of job interests.

With manager quality and respect named as the top reasons to leave a job, Mr McEwan believes we are in the midst of a “new human-centric workplace era”, which is “set to disrupt life and work for the long term”.

“Good leaders know people can’t run marathons all the time. Instead, organisations should focus on small sprints, flexible working conditions, and providing access to meaningful wellbeing and psychological support,” he concluded. 

Recent studies and reports have shone a spotlight on the rise of burnout among Australian workers, particularly in the wake of the pandemic.

A recent report from the University of Melbourne and YouGov showed burnout was on the rise, with around 50 per cent of “prime aged” workers aged between 18 and 54 reported feeling exhausted at work. 

In February, a separate study published by Future Forum showed burnout among employees has reached a record high, with almost one in three Australian workers reported experiencing the condition. 

With burnout becoming a persisting problem in the workplace, several studies have also called for organisations to adopt several measures to combat the issue, including adopting a more flexible work setup. 

Earlier this month, the Empowering Women in the Hybrid Workplace Report commissioned by IWG showed 53 per cent of women believe hybrid working has had a positive impact on breaking the glass ceiling.  

Another report from the IWG also showed that hybrid working arrangements have drastically improved the overall health of employees, as well as their professional performance.

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