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THE FUTURE of WORK and DIGITAL WELLBEING Protecting Employees in a Covid-19-Shaped World

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THE FUTURE of WORK and DIGITAL WELLBEING Protecting Employees in a Covid-19-Shaped World THE FUTURE OF WORK AND DIGITAL WELLBEING Protecting employees in a Covid-19-shaped world Supported by 1 CONTENTS Executive summary 2 SECTION 3 – What should companies be doing to support their employees? 32 SECTION 1 – How is digitalisation Removing stigmas about accessing support 33 impacting how we work? 4 Turning policies into practice 33 What will the future of work look like? 4 Creating digital solutions to digital challenges 35 ‘Work from anywhere’ 5 Increased communication 6 SECTION 4 – Conclusion 36 Global teams 7 SECTION 5 – Country profiles 37 How digitalisation is changing Canada 37 different industries 8 France 42 Marine 9 Singapore 46 Manufacturing 11 United Arab Emirates 52 Finance 14 United Kingdom 57 Oil and Gas 15 Healthcare 17 APPENDIX – Methodology Note SECTION 2 – Are these changes a good on Survey 62 thing for employee wellbeing? 19 How is digitalisation benefitting employees? 19 Inclusion 19 Diversity 20 Increased productivity 22 Physical health benefits 22 What are the risks? 23 Work-home conflicts 23 Difficulties in communication 25 Exacerbating inequalities 26 Physical health risks 28 Digitalisation and mental wellbeing 29 Digitalisation and stress 29 Digitalisation and isolation 31 © The Economist Intelligence Unit Limited 2020 The future of work and digital wellbeing 2 EXECUTIVE SUMMARY Covid-19 has accelerated existing trends towards digitalisation. This shift has the potential to improve people’s working lives by giving them more flexibility in where, when and how they work. However, it also threatens wellbeing through increased isolation and stress. Covid-19 has accelerated trends towards Companies need to actively manage these greater digitalisation in how we work digital transitions to ensure they maximise During the pandemic, people globally had to employee wellbeing benefits and minimise start working remotely, increasing their use of the risks digital communications and virtual collaboration. More flexibility in where, when and how we Most sectors now face a challenge to upskill work should be good for wellbeing. It is linked to their workforce with the digital capabilities higher productivity, better diversity and inclusion needed to succeed as industries shift. and more active lifestyles. In the Oil and Gas and Marine sectors, However, companies need to manage risks digitalisation presents the opportunity around increased stress and isolation and to address key challenges around exacerbating existing social inequalities. sustainability, diversity and inclusion. This requires business leaders and people In Finance and Healthcare, digital tools free managers to take action at every level of up employee time to offer their ustomersc their operations and patients a more human experience. Business leaders should lead by example In Manufacturing, a new focus on to foster a culture where employees feel technological skills creates a new way for comfortable to talk about their challenges and companies to engage with younger workers. access the support on offer. Some countries are managing transitions Human resources and people managers need better than others: only 58% of respondents to make sure policies provide a foundation from in France working from home during Covid-19 which teams and individuals can design their felt sufficiently supported by their employer, own work-from-home systems. compared to over three quarters in the UAE. Employers should make sure they are up-to- date on digital tools to help tackle some of the challenges around technological transitions. They will have to adapt existing practices to work in a predominantly online environment. By putting employees’ mental and physical wellbeing at the heart of any digital transformation, business leaders can access a range of commercial benefits while improving staff satisfaction. In a post-Covid-19 world, or one where the virus remains part of our lives, this employee-centric approach will be essential for helping businesses attract, retain and get the most out of their workforce. © The Economist Intelligence Unit Limited 2020 The future of work and digital wellbeing 3 PREFACE This report summarises the key findings of a research programme developed by the Economist Intelligence Unit (EIU) with support from Allianz Partners. The report is based on an extensive literature Alan Felstead, Research Professor review and a comprehensive interview programme at Cardiff University conducted by the EIU between June and August Dr Aakash Ganju, Co-Founder and CEO 2020. In total,14 experts were interviewed of Saathealth representing academia, businesses and wellbeing specialists. The white paper also draws from the Dr Shelton Goode, Chief Executive Officer findings of a survey conducted by the EIU in July and President of Icarus Consulting 2020 on ‘the future of work post the Covid-19 Dr Ella Hafermalz, Assistant Professor at the pandemic’ – speaking to respondents from Canada, KIN Center for Digital Innovation France, Singapore, the United Arab Emirates and United Kingdom. Professor Paul de Leeuw, Director of the Robert Gordon University Energy Transition Institute The EIU bears sole responsibility for the content of this report. The findings and views expressed Sara Maude, Workplace Wellbeing Specialist do not necessarily reflect the views of the partners Dr Almuth McDowall, Professor of Organisational and experts. The report was produced by a team Psychology at the University of London of EIU researchers, writers, editors, and graphic Eliot Sherman, Assistant Professor of designers, including: Organisational Behaviour at the London Project Team Business School Katherine Stewart, Project Director Laurel Smith-Doerr, Professor of Sociology at the Beth Warne, Project Manager University of Massachusetts at Amherst Aayushi Idda Sharma, Lead Analyst Monideepa Tarafdar, Professor of Information Systems, Lancaster University Jan Copeman, Copy Editor Michael Whitmore, Research Leader at Additional Research Support from: RAND Europe John Bartlett, Zeina Dowidar, Lyse Mauvias Andrew Young, Financial Services Talent & and Quito Tsui Organisation Lead at Accenture Graphics and Report Design by Navig8 For more information, please contact Beth Warne, Experts Public Policy, the Economist Intelligence Unit ([email protected]) and Estelle Taylor, Head of Kristine Dery, Research Scientist at MIT Communications for International Health, Allianz Sloan School of Management in the Centre for Partners ([email protected]) Information Systems Research Ashley E. Nixon, Associate Professor of Human Resource Management and Organizational Behavior at Willamette University © The Economist Intelligence Unit Limited 2020 The future of work and digital wellbeing 4 SECTION 1 How is digitalisation impacting how we work? Digitalisation – the increased use of digital 1.1 What will the future of work look like? and online tools in business operations – is Over the last three decades, advances in transforming how we work. The rise of online technology have changed the nature of work. The connectivity gives people the option to work rise of the internet has created a new economic from anywhere, be contacted at any time system that emphasises intangible economic and build teams with colleagues across the assets and is less spatially bound.1 This shift has world. These three trends, which were already had a knock-on effect on how we work. Increasing transforming different sectors, have accelerated connectivity has enabled three broad changes: significantly since the outbreak of Covid-19. i. Allowed people to work from outside their offices This transition to a more digitalised way of working – ‘work from anywhere’ irrevocably impacts people’s experience of their job – in both positive and negative ways. Employers ii. Increased how frequently and at what hours need to make sure there are systems in place a person is contactable for work purposes – to maximise the benefits of digitalisation while ‘increased communication’ helping their workforce minimise associated risks. iii. Opened the possibility to staff a team This is particularly true during the pandemic: the with people based around the world – increased rate of change means many companies ‘global teams’ need to develop new strategies, policies and tools To be ready for the future of work, especially in to safeguard and support employee wellbeing in a 2020, companies need to understand how these rapidly changing environment. shifts are impacting their operations and what In this paper, the Economist Intelligence Unit drivers are accelerating these changes. (EIU) sets out how companies can approach digitalisation in a way that keeps employee wellbeing at the centre. First, we deep-dive into the trends outlined above (work from anywhere, increased communications and global teams) and their drivers across different sectors. Secondly, we look at the benefits and risks they bring to employee wellbeing. Finally, we lay out the next steps business and human resource (HR) leaders need to consider to ensure their workforce feels supported and remains productive as these changes unfold. 1 Felstead, A. & Henseke, G. (2017). Assessing the growth of remote working and its consequences for effort, well-being and work-life balance. New Technology, Work and Employment, 32(3), pp. 195–212. © The Economist Intelligence Unit Limited 2020 The future of work and digital wellbeing 5 1.1.1 ‘Work from anywhere’ In the last two decades, one of the most obvious ways technology has changed how people work is Technology has through facilitating
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