Global research by Gallup reveals continued deterioration in mental health and employee engagement

Keywords: mental health, employee engagement, stress, loneliness

Author: Lisa Munro
Date: 12 June 2024, Worklife Digital

The deterioration of mental health worldwide has reached alarming levels, raising significant concerns about our collective well-being. United Nations Secretary-General António Guterres encapsulated this sentiment by stating, “Our world is becoming unhinged.” The findings from Gallup’s latest global research* paint a grim picture of mental health and engagement across the globe, highlighting the urgent need for effective solutions from businesses.

Rising stress and its workplace impacts

Stress levels are a critical indicator of mental health, and Gallup’s research indicates that 41% of employees worldwide experience significant stress daily. The disparity in stress levels between well-managed and poorly managed organisations is stark. Employees in companies with bad management practices (actively disengaged) are nearly 60% more likely to be stressed than those in well-managed environments. Notably, stress is reported approximately 30% more frequently among employees under bad management than among the unemployed.

Leaders are acutely aware of this issue, with a quarter reporting frequent burnout and two-thirds experiencing it at least sometimes. However, their attempts to address workplace stress often fall short. Popular interventions, such as wellbeing apps or stress management training, show limited effectiveness. A study by Oxford University finds “little evidence in support of any benefits from these interventions,” suggesting that superficial solutions do not address the root causes of workplace stress. Instead, fundamental issues like inadequate materials and equipment for job performance need urgent attention from management.

Loneliness and declining wellbeing

Loneliness is another pressing issue, with 20% of employees globally experiencing daily loneliness. This feeling is exacerbated among fully remote workers, 25% of whom report significant loneliness, compared to 16% of those working on-site. The impact of loneliness is profound, particularly among younger employees whose wellbeing saw a marked decline in 2023.

Employee engagement and its economic impact

Despite being at or near record highs, global employee engagement stagnated in 2023, and overall wellbeing declined. This stagnation has significant repercussions for organisational productivity. Gallup estimates that low employee engagement costs the global economy a staggering US$8.9 trillion, equivalent to 9% of global GDP. This economic toll underscores the importance of addressing employee engagement and wellbeing as strategic priorities for organisations worldwide.

Regional variations in engagement and wellbeing

Gallup’s research reveals significant regional disparities in employee engagement and wellbeing:

United Kingdom and Europe: The lowest levels of engagement are found here, with 72% of employees not engaged, significantly higher than the global average. Additionally, 49% are struggling, 37% experience daily stress, 15% daily anger, 17% daily sadness, and 14% daily loneliness.
United States and Canada: 51% of employees are not engaged, and 43% are struggling. Stress is high at 49%, with 17% experiencing daily anger, 21% daily sadness, and 18% daily loneliness.
Sub-Saharan Africa: Engagement is low, with 63% not engaged and 74% struggling. High levels of stress (48%), anger (25%), sadness (28%), and loneliness (26%) are prevalent.
Australia and New Zealand: Despite a high rate of ‘thriving’ workers (60%), 64% are not engaged. Stress is experienced by 48%, anger by 15%, sadness by 19%, and loneliness by 13%, the lowest level globally.

The role of managers

Managers play a pivotal role in influencing employee engagement and wellbeing. Gallup finds that 70% of the variance in team engagement can be attributed to the manager. Managers themselves, while more likely to be engaged and thriving due to higher pay and social status, also report higher levels of negative emotions like stress, anger, sadness, and loneliness. This paradox highlights the dual burden on managers: they provide emotional support to their teams while often struggling with their own mental health challenges. Consequently, any initiative to improve employee mental health must also focus on supporting managers.

Conclusion

The insights from Gallup’s research underscore a critical need for comprehensive and effective strategies to address mental health and engagement in the workplace. Superficial solutions like wellbeing apps and mindfulness training are insufficient. Instead, organisations must focus on improving management practices, ensuring employees have the resources they need, and addressing the fundamental causes of workplace stress and disengagement. By doing so, we can begin to tackle the pervasive mental health crisis and its significant impact on global productivity and wellbeing.

WorkLife Digital is a global mental-wellbeing consultancy driven by the mission to improve the sustainability of businesses. Our psychological wellbeing tool, Worklife Quotient (WL-Q), is modelled on cutting-edge scientific research and provides organisation-wide measurement and intelligence on the mental wellbeing levels and psychological resilience of staff. WL-Q also assesses the impact of organisational practices (i.e. people and culture, leadership styles, organisational purpose and values, social impact) that have a direct influence on staff wellbeing and provides strategic recommendations on addressing risks and promoting strengths.

For more information, get in touch at lisa@worklife.digital

REFERENCES

* Gallup State of the Global Workplace: 2024 Report