I recently interviewed a new team at an underperforming business. I asked them what they would need to do to move the needle. They sort of looked at each other and laughed. I probed.
“We can’t go to our Managers for support. They mock us, and often just make things worse. We know we could do things better. We talk about it all the time. But it’s not worth making waves. We’re just trying to get by.”
Know what’s funny? That’s almost exactly what their managers said about upper management, just in a different way.
And upper management? They just “want people to “do their jobs” or they’ll hire someone else who can.”
So that’s what they get. People who could do their jobs… IF they were supported.
Bad workplace culture drains businesses of people and profits.
A SHRM study shows that 20% of employees leave their jobs due to toxic culture, and EY reports that 1 in 10 plans to quit this year for similar reasons.
Another survey by APA revealed that:
- 15% of Americans describe their workplace as somewhat toxic.
- 59% agree that employers perceive their workplace culture as healthier than it actually is.
- 39% worry that disclosing a mental health condition to their employer could jeopardize their career.
Why it matters: When people aren’t supported in their work, they have a shelf-life, and the organization sustains expensive, morale-killng turnover. Again and again.
Research from MIT Sloan Management Review shows that toxic culture is the strongest predictor of employee turnover, making employees 10 times more likely to leave than even low compensation. High turnover takes a toll, especially in lost productivity, recruitment, and training costs.
Meanwhile, organizations with high employee engagement report a 23% boost in profitability and a 10% reduction in turnover, according to Gallup.
shows that toxic culture is the strongest predictor of employee turnover, making employees 10 times more likely to leave than even low compensation. High turnover takes a toll, especially in lost productivity, recruitment, and training costs.
Meanwhile, organizations with high employee engagement report a 23% boost in profitability and a 10% reduction in turnover, according to Gallup.
How Does Your Workplace Culture Measure Up?
Curious about how your workplace culture stacks up? Take our quick quiz to see where your organization excels and where there’s room for improvement. Get insights into the strengths and gaps in your culture and discover actionable steps to create a workplace where people want to stay and thrive.
What’s the Secret Sauce Behind Great Culture?
Every year, Great Places to Work ranks the best workplaces worldwide, recognizing companies where employees truly thrive. These companies aren’t just checking boxes; they’re fostering environments that promote trust, connection, and growth.
Then there are companies where Glassdoor reviews tell a different story:
- “Understaffed, underpaid, worked us off the clock.”
- “Senior managers walk around with their heads buried in the sand.”
- “Looks at employees as disposable people.”
So what are the companies with outstanding culture doing differently? How are these organizations able to foster trust, connection, and engagement in a way that no other company does?
1. Well-being and Safety
Psychological and physical safety are foundational. Employees need to feel their health and well-being are prioritized, and they should be able to voice concerns without fear of retaliation. This includes creating benefits and support systems that help employees focus on their work instead of worrying about tomorrow.
2. Trust and Respect
Building trust goes beyond policy. It requires empathy and understanding. Respecting individual needs and work-life balance, offering flexible schedules, remote or hybrid options, and honoring diverse communication styles show employees that they are more than just a cog in the system. This kind of respect can transform engagement.
3. Inclusion
Inclusion means involving employees in decisions, not just listening to their voices but valuing their ideas. Simple actions like asking, “What do you think?” and creating transparency around company goals and individual growth pathways make employees feel part of something bigger. When employees know where the company is headed and can see a future for themselves in it, loyalty grows.
4. Purpose and Growth
While stability matters, employees also want to feel that their contributions are valued and their time isn’t wasted. Recognizing their work and investing in their growth fosters loyalty. American Express, for instance, is renowned for its emphasis on professional development, which drives both engagement and retention.
Ask Someone at Work: What don’t we talk about enough around here?
(Credit: Chris White, TedX Atlanta)
Bookmarks
Here are the best articles, surveys, and resources we have come across this month:
World Mental Health Day: How leaders can prioritize well-being in the workplace: October 10th was World Mental Health Day. This year’s theme: ‘Mental Health at Work’. Here’s what we currently know about mental health and how it affects the workplace.
Adam Grant on boosting workplace happiness and engagement: Organizational psychologist and NYT bestseller Adam Grant appeared on CBS Mornings to share his tips for increasing engagement and employee satisfaction in the workplace.
Women in the Workplace 2024: The 10th-anniversary report: McKinsey and LeanIn.Org examine a decade of data on women’s progress in corporate America. The report reveals that, despite gains in leadership representation, many women—especially women of color—still face significant barriers.
More Resources
📚 E-Book: Why EQ Matters; Emotional Living in the Professional World
💻 Webinar: Strategies for Effective Communication in the Workplace (Replay)
📞 Free Consultation: Workplace Dynamics Consultation with Celesta