As we look back on 2024 and ahead to 2025, workplace wellbeing remains a pivotal focus for organizations worldwide. From the evolving dynamics of hybrid working to the rise of AI and its impact on mental health, businesses are navigating a complex landscape of challenges and opportunities. Stress and burnout remain at the forefront, particularly for managers, while psychological safety and flexibility have become non-negotiable for thriving teams. What lessons have we learned, and how can companies prepare for what’s next? Performance psychologist Suzie Mossman Monk explores the trends shaping the future of work and wellbeing.
Hybrid working: The ongoing balancing act
We have explored the topic of Hybrid working in previous conversations and it has remained a hot topic throughout 2024. There are a number of hybrid work trends that have become apparent this year but the general consensus (both within Clarasys and from our clients) is that a combination of working from home and being in the office is the sweet spot for most people. However, the challenge comes when we try to maximise both of these options.
For instance, many people value the flexibility of a hybrid model but can enforcing set days that people must be in the office erode its benefits? On the flip side, a key benefit to being in the office is to engage with your colleagues or clients face to face - does this become redundant if you aren’t all in on the same day and therefore spend your day in the office stuck on calls? Forcing people to be in for ‘x’ no. days per week also doesn’t seem to be the answer. Often this leads to resentment and a lack of engagement from employees with 6 in 10 employees in the US stating they would look for other work if flexibility was reduced. So what should your company do?
At Clarasys we employ a ‘do what works for the team’ mindset. There are no set days you need to be in across the firm, but a lot of our teams will aim to be on client site together a couple of times per week and will align with key stakeholders too. The idea is to show people a real benefit to being in the office. An acknowledgment that it might cost more and lead to less sleep, but the benefits should be clear to see. E.g. if we’re all in the office together it means we can solve a problem more effectively, so let’s grab a free lunch together and finish early. Or the opportunity to have a coffee and speak to your line manager in a more relaxed capacity to help strengthen these relationships and reduce anxiety. Our recommendation would be to ensure teams coordinate in-office days for collaboration and clear value of on-site work is well communicated and agreed upon.
I think we will continue to see a rise in workers returning to the office throughout 2025 - but it will be interesting to see how firms look to balance the flexibility they give their employees whilst acknowledging the benefits of getting people together face-to-face.
Addressing burnout and wellbeing challenges
Stress and burnout also remained prevalent throughout 2024, with a particular focus being on those who manage others. A new report from meQuilibrium shows that more than a third of managers report feeling burned out with nearly a quarter considering quitting their job within the next six months.
Although managers themselves might be feeling the strain, it’s clear that they play a crucial role in the mental health and wellbeing of those who work within their teams. This makes sense given the high proportion of time we spend at work - but what does this look like in practice? The answer lies in how psychologically safe team members feel - are they fearful of repercussions if they make a mistake? Can they bring their true selves to work? Is the team able to challenge each other in a respectful but meaningful way?
Managers who support the wellbeing of their team can reduce risk of burnout for those individuals by more than 50% - but who is looking out for those at the top? Businesses should focus on ensuring that managers within their organizations are well supported - both from a role perspective but also in regards to their mental health and wellbeing. Upskilling those in leadership positions on how to manage stress, identify the early signs of burnout and encouraging them to take adequate leave is a good place to start.
AI’s impact on workplace wellbeing and what to do about it
We’ve all just about got back on track post Covid so it should be smooth sailing from here right…? Enter AI… The pace of change we have seen in this space throughout 2024 is only going to continue into next year and we can’t underestimate the impact that is going to have on people. In September we ran an event to discuss ‘Putting People & Change at the Heart of AI Projects’ - below are some key concerns that arose during that session:
- People are worried about their jobs: either due to AI replacing the need for a ‘human’ or concerns that they will be left behind if they struggle to understand how to use AI effectively
- Fears over data security: where AI may not feel secure or a lack of understanding around how to use AI safely leading to worries around data breaches
- Lack of clarity from leadership: where, when, and how the organization is planning on using AI, or how it will impact them
Organizations should therefore look to alleviate these fears and specifically address the concerns of their employees through:
- Involving employees in AI solutions as much as possible. Engage users to understand their needs and get their input into any proposed use of AI moving forward
- Upskill employees as early and quickly as possible. This will help to reduce fears of ‘being left behind’, as well as improve productivity and efficiency across the firm
- Be upfront about AI intentions. Don’t avoid the issue or try to hide that AI is going to be important. Bring people on the journey and engage in transparent communication where possible.
In addition, building a culture of psychological safety will help reduce the negative impact that AI could have on the wellbeing of employees. Fostering a space where people feel able and willing to speak up and challenge the status quo should allow employees to raise concerns more quickly and reduce the stress and uncertainty that can be associated with AI implementation.
What’s next for workplace wellbeing in 2025?
Organizations should be actively thinking about their hybrid and flexible workplace strategy. It no longer feels sufficient to ‘go with the flow’ but a blanket return to the office may not align to the needs of the workforce as we move into 2025. Employers should consider what they are trying to achieve by having people in the office, and work with their people to create a solution that balances individual needs with the needs of the firm.
Managers again are going to be feeling the weight of their roles and therefore additional support should be in place to support this group. As AI becomes a more potent element of our work over the next year, it would align that those managing others will also be crucial in supporting this move. Leadership should ensure they are being open and transparent with this group in particular about the future of AI and make sure they feel equipped and supported to roll out these changes to their teams.
These reflections have come from the work, events and conversations we have had with our own teams as well as our clients - how do they reflect what you are seeing within our own organization? We would love to hear more about how you are managing these challenges or how we might be able to support you as we move into a new year.