EMPLOYEE WELL-BEING PROGRAMME FOR PWC

Critical Academic Discussion

2025
 EXECUTIVE SUMMARY

This Critical Academic Discussion explores how global trends and the integration of
personal and professional lives impact work environments, with a focus on employee
satisfaction, productivity, and well-being as per Client's - Price Waterhouse Coopers -request,
with orientation to experienced organisational stress.
Key findings highlight the impact of workplace bullying, diversity challenges, and stressors
like high workloads and inadequate support, with effective leadership and supportive
environments crucial for stress mitigation. Frameworks such as AMO model or Theory of
Reasoned Action stress balancing psychological safety, accountability, and inclusivity. Case
studies show participative leadership fosters collaboration and reduces absenteeism.
Interventions include individual strategies (e.g., mindfulness) and organisational measures
(e.g., flexible working, health promotion). Holistic approaches and human-centric system
designs, such as SEIPS and Multiple Resource Theory, are essential for enhancing
performance and well-being. The Health and Safety at Work Act 1974 underpins workplace
wellbeing, ensuring organisations create sustainable, supportive environments and decreased
retention.

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 CONTENT

Literature Review 4
References 10
Appendixes 14

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 Critical Academic Discussion

At the Client's (PWC) request, a review of current theories and practices is conducted
to explore how global trends and the increasing integration of personal and professional lives
impact work environments. The focus is on examining the effects of these shifts on employee
satisfaction, productivity, and overall wellbeing. The specific aim of the following analysis is
to address organisational stress, which by World Health Organisation (2023) is described as a
feeling of concern or mental strain that arises as a reaction to difficult circumstances. It is a
normal behavioural reaction designed to help us deal with difficulties and threats in life.
While stress is something everyone encounters to some extent, the way we handle it
significantly affects our overall health and well-being (World Health Organisation, 2023).
To begin with, from the macro perspective, companies invest significant efforts in
improving employee wellbeing, but these efforts often fall short as they overlook
interpersonal risk factors like workplace bullying (Gupta, R., 2013).
Workplace bullying, an intentional and repetitive form of aggression, adversely
affects employee happiness, encompassing mental health and subjective wellbeing
(Gupta, R., 2013). Bullying manifests in verbal or physical attacks, social exclusion,
ridicule, demeaning tasks, and gossip (Koonin, M., and Green, T., 2005; Leymann, H.,
1996).
Diversity is at risk to be mistreated when Group identity centrality influences
reactions and behaviours (Fletcher, L., and Everly, B. A., 2021) and Status
differentiation impacts group interactions (van Dijk, H., Engen, M. L., 2013) on meso
level.
Theory of Reasoned Action (TRA, Ajzen and Fishbein, 1980) explains that behaviour
is driven by intentions, which are influenced by perspective on actions and social
expectations: these factors determine the likelihood of behaviour by linking beliefs,
intentions, and actions (Fishbein, M., and Yzer, M. C., 2003). This micro perspective may be
interconnected with a term of Subjective wellbeing (SWB) which is, however, typically
regarded as a hedonic concept rather than a eudaimonic one (Deci and Ryan, 2008; Huta and
Waterman, 2014). Subjective wellbeing is considered to involve subjective happiness, life
satisfaction, positive affect, and a range of later theories aimed at identifying the most
influential determinants (Diener, E.,1984), however, research continues.

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 As the possible issues within a group on a meso level were previously mentioned,
Morgan, G., and Pulignano, V. (2020) posit Solidarity as a factor that must embrace diverse
groups, transcend traditional capitalist structures and challenge historical exclusions to create
inclusive frameworks for social cooperation and justice. Their case study in a bank
underscores how participative leadership, which values inclusivity and solidarity, can
transform workplace culture and drive both ethical and financial success. The manager’s
humanistic approach prioritised collaboration, inclusion, and employee well-being, fostering
a sense of community among employees and customers by strengthening team cohesion,
reduced hidden costs like absenteeism, and improved organisational sustainability.
Institutionalised solidarity depends on shared material conditions, organisational structures
enabling collective action, and institutional frameworks for stability, such as welfare systems
and labour laws (Morgan, G., and Pulignano, V., 2020). On the other hand, the absence of
external solidarity - due to competition with other groups - highlights its limitations as a
universal concept (Albert, Lazzari Dodeler, and Ohin, 2022).
However, inclusion is defined as employees perceiving that their unique contributions
are valued, and their full participation is encouraged. True inclusion addresses two key needs:
belongingness (feeling part of the group) and uniqueness (recognition of individual
characteristics) (Shore, L. M., et al., 2011). While diversity encompasses the demographic
variations within a group, including both visible attributes (such as gender and race) and less
apparent ones (such as cognitive traits and educational background) (Nishii, L. H., 2013;
Roberson, Q. M., 2006), inclusion focuses on creating environments where employees feel
valued and engaged. Achieving inclusion requires balancing diversity with practices that
ensure employees’ involvement in both formal and informal organisational processes (Mor
Barak M. E., 2015).
McDowall, A., and Lindsay, A. (2014) suggest taking intentional steps to prioritise
work-life balance (avoiding being overly consumed by work); treating work-life balance as a
worthwhile challenge; being well-organized (using time efficiently and effectively);
establishing and respecting personal boundaries. Authors also correlate Work-life balance
with remaining adaptable and open to changes in how time is managed, making self-care a
priority by adopting healthier lifestyle habits and working collaboratively and negotiating
effectively with others as well as clearly defining and communicating one’s limits regarding
what is achievable. However, many behaviours involve shifting one’s perspective rather than
making drastic changes to work or home life. (McDowall, Lindsay, 2014).

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 However, until work-life balance achieved, and great team performance is reached,
stress continues to play a huge role in subjective wellbeing and manifests due to the
following Bhui, K., et al. (2016) factors:

The overarching theme including sector-specific differences reflects the interplay

between organisational structures, job demands, and personal circumstances in shaping
employee stress levels (Bhui, K., et al., 2016).
The demands-control-support model puts emphasis on the interaction of
demands (e.g., time pressure, workload), control (e.g., autonomy, skill discretion), and
social support in shaping health outcomes (Lundqvist, D., 2022). Considering mentioned
factors, the negative mixture of them for some of workers can cause Boredom, which is
not caused by a lack of activity but arises when none of the available options seem
appealing. Fisher, C.D. (1993) describes it as a distinct emotional state resulting from
unsatisfactory levels of stimulation, leading to increased neural arousal as the brain seeks
variety (Mann, S., 2007). Employers must recognise boredom's impact on retention,
engagement, and health, giving it equal prominence to workplace stress to maintain a
motivated and skilled workforce (Mann, 1999).
McCarthy et al. (2016) emphasise that allowing employees to recover from work-
related anxiety is essential to prevent the depletion of their resources, which often leads to

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emotional exhaustion and diminished job performance. Regardless of their exhaustion level,
consistent work performance from employees remains a key goal of organisations,
highlighting the need to understand the mechanisms behind it (McCarthy, 2016).
Regarding performance, psychological safety serves as a mechanism for leveraging
diverse skills and achieving organisational objectives in complex and challenging contexts
(Edmondson and Bransby, 2023). To accomplish high emotional security and accountability,
leaders need to set clear performance and accountability expectations while remaining open
to receiving and addressing difficult or negative feedback. Research shows that effective team
leaders can balance recognising excellence, addressing poor outcomes, and accepting the
mistakes that come with teamwork and learning (Edmondson, A. C., 2012).
Considering further skills of workers, predicting human performance in routine and
rare, complex events requires models that consider three types of behaviour which can be
skill-based (automatic actions), rule-based (familiar strategies), and knowledge-based
(problem-solving and planning) (Rasmussen, J., 1983).
The Multiple Resource Theory (Wickens, C. 2008) is directed to work system design
and with its 4-D model explains how different cognitive resources are used during
multitasking, helping predict workload and system design. Tasks that use distinct resources
interfere less, improving performance. Research validates the model’s predictions,
particularly for dual-task overload. The model is valuable for optimising multitask
environments and preventing performance breakdowns (Wickens, C. 2008). However,
previously Rasmussen, J. (1983) concentrated on designing interfaces to align with human
mental functions, strategies, and preferences rather than system-centric requirements. He
included modelling knowledge-based performance in unfamiliar situations and addressing
interactions across skill-, rule-, and knowledge-based levels (Rasmussen, J., 1983).
Technologies must be usable and understandable, allowing humans to know when and how to
trust them. Machines should enhance human capabilities, and vice versa (Hoffman, 2018). Dr
Hoffman suggests focus on designing ethical, practical technologies that improve human-
machine interaction and societal outcomes. The scholar stressed the need for grounded,
ethical, and collaborative approaches to automation for meaningful societal benefits
(Clements, A., 2018). However, it is advised to avoid misleading jargon and technological
hype to prevent disillusionment and funding cuts, as seen during previous "AI Winters"
(Hoffman, 2018).
According to the Health and Safety at Work Act of 1974, there is an obligation to take
all feasible and realistic measures for health protection, safety, and worker-wellbeing while

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performing duties in a workplace. The regulations are designed to ensure that workplaces are
suitable for the entire workforce and any individuals in the community who may be impacted
by workplace activities (for more Workplace Wellbeing legislation approaches see Glossary).
Therefore, the SEIPS model, where Human Factors and Ergonomics (HFE) principles
are engrained, and its dual focus on enhancing employee wellness and system productivity
(Dul J., et al., 2012) underscores importance in designing work systems that provide benefits
to both individuals and organisations. Effective system redesigns should aim to improve
outcomes for end-users, such as safety and quality, while also addressing the well-being and
occupational safety of the workforce (Carayon P. et al., 2014).
Although interruptions may cause stress or distract attention, systems that provide
flexibility and control enable workers to handle such disruptions more effectively (Rivera-
Rodriguez, et al., 2010; Carayon P. et al., 2014).
While Bhargav et al. (2023) recommend development of psychotherapeutic and
lifestyle interventions targeting the modes associated with anxiety, Cooper, C., and Leiter, M.
(Eds.) (2017) advocate for a holistic approach to wellbeing that incorporates primary,
secondary, and tertiary interventions. This three-tiered framework emphasises proactive
prevention, skill-building for resilience, and support for recovery, ensuring that wellbeing
is addressed comprehensively across all levels of need (Cooper, C., and Leiter, M., 2017).
Interventions suggested by Bhui, K., et al., (2016) revolve around understanding
workplace stress and its management. The emphasis is put on tailoring interventions to
different workplace contexts for better stress management. Individual (personal)
Interventions include exercise, healthy eating, mindfulness, and maintaining work-life
balance. These also include Psychological Interventions such as Counselling (face-to-face,
telephone, internet) or Educational Interventions: Skills training (e.g., organisational
management, assertiveness).
Organisational Interventions generally seen as more effective due to their primary focus
on reducing environmental stressors:
 Management Practices: Supportive, communicative leadership,
feedback mechanisms, frequent meetings.
 Team Culture: Dialogue, group discussions, noticeboards.
 Working Structure: Flexibility, balanced hours, planned shifts.
 Environment: Relaxation spaces, health promotion initiatives (e.g.,
gyms, exercise programs).
 Education: Training and career development opportunities.

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  Organisational culture and management style are pivotal in stress
reduction (Bhui, K., et al., 2016).
Employees tend to abandon communities or remain uncommitted if not perceived
tangible gains or promising reciprocation in their relationship with the employer (Hassan, R.,
et al., 2020). AMO model is widely adopted in HRM and based on social exchange theory
(SET, Blau, P.M., 1964) to explore connection between people management and productivity
outcomes, manifesting productivity (P) as an outcome of ability (A), motivation (M), and
opportunity (O). Therefore, group HR practices are applied in a form of three performance
dimensions: training to enhance ability, incentives to boost motivation, and opportunities like
self-directed teams to encourage participation (Kellner, A., et al., 2019).
***
In conclusion, integrating holistic interventions and adherence to legal frameworks like
the Health and Safety at Work Act 1974 (1974) or Equality Act (2010) ensures sustainable
performance. By prioritising psychological safety, inclusivity, and effective leadership, PWC
can mitigate the negative impacts of stress while decreasing retention issues.

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 Appendixes

Glossary

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