A new study confirms what most of us want to hear: companies that value work/life balance have higher earnings.
According to the research, by training specialists Morgan Redwood, companies that prioritize work/ life balance enjoyed net earnings per employee of £32,769 – 23% more than the average for those who don’t. That’s a pretty big difference.
Management Today suggest that in the current business climate the finding raises an interesting question: to what extent is it worth cutting headcount costs if it’s going to affect the productivity of the remaining staff?
This new research suggests work/life balance is already severely under threat as companies call on their remaining staff to pick up the additional workload created by redundancies. For instance, 47% of UK businesses questioned have seen their headcount drop over the last 12 months and further reductions will follow in the coming year with the largest companies three times more likely than smaller businesses to reduce their employee levels over the next 12 months.
Morgan Redwood’s study, reported in Consultant News, includes this quote from Janice Haddon, Managing Director of Morgan Redwood: “We all instinctively know that a good work/life balance matters – but to have the actual value of it quantified is a breakthrough moment."
As companies feel financial pressure, leaders might argue that they have more pressing concerns than worker morale. But as Haddon notes: "Work/life balance is not a ‘nice to have’ when we’re in a boom time. It can have a fundamental impact on the corporate performance at all times."
Would you have guessed that work/life balance and bank balance are tied in to each other?