1. INTRODUCTION

In today’s evolving field of Human Resources (HR), the importance of employee’s well-being and mental health initiatives has become increasingly prominent. As companies adapt to better understand the holistic needs of their workforce, incorporating thorough well-being into human resources strategies is not just a passing fad but a vital strategic necessity.

In the past, when addressing employee satisfaction, companies primarily emphasized health benefits. However, the concept of employee’s well-being has expanded to encompass more than just physical health. It aims to boost the overall health and happiness of all staff members. This broader perspective acknowledges that employee well-being involves not only physical health but also other facets of wellness. Essentially, nature of job, expectations, and office culture affect entire health and happiness which belongs to them. In simpler terms, the notion of “employee well-being” has evolved beyond merely providing medical care to employees. Employers now recognize the diverse factors that impact employee happiness and health, striving to cultivate a workplace that fosters both. The mental, physical, emotional, and financial well-being of employees is included in the concept of employee well-being. Numerous things, including their interactions with co-workers, their ability to make decisions, and their availability of tools and resources, have an impact on it. Additionally, employee happiness is affected by factors like work hours, compensation, and workplace safety.

2. THE CONCEPT OF EMPLOYEE WELL-BEING

The concept, conceptualisation, and measurement of employee well-being have all been studied by numerous academics from a range of fields. A review of the literature finds that there are three types of wellbeing: 1) psychological (looking at how satisfied workers are with work procedures and practices); 2) physical (looking at the health consequences of stress and accidents); and 3) social (looking at the number and calibre of social networks at work and how equitable and fair employees feel about their workplace) (Grant et al., 2007). Abraham Maslow’s theory suggests that employee well-being is achieved when fundamental needs are met, ranging from basic physiological needs to self-actualization. This hierarchy implies that employers should address various levels of employee needs to ensure overall well-being. Diener and Biswas-Diener (2008) define well-being in terms of subjective well-being (SWB), It includes feeling content with life, having good moods, and not having bad moods. Their research highlights the importance of psychological factors and personal perceptions in overall well-being. Deci and Ryan’s Self-Determination theory (1985) focuses on three basic psychological needs – autonomy, competence, and relatedness. Employee well-being is enhanced when these needs are satisfied, promoting intrinsic motivation and personal growth. Ryff and Keyes (1995) in their models of psychological well being includes six aspects:‘autonomy, environmental mastery, personal growth, positive relations with others, purpose in life, and self-acceptance’. This holistic approach emphasizes the need for balance across various aspects of life for true well-being.

3. OBJECTIVES OF THE STUDY:

· To know the multifaceted nature of employee’s wellbeing practices in the organisation.

· To understand the impact of employee’s wellbeing practices in the organisational performance.

· To understand the leadership role in fostering the positive employee wellbeing practices.

4. METHODOLOGY:

The current study is a theoretical reflection built on current procedures related to the aforementioned subject that unite current, extensive literatures in the concept’s examination and investigation. Therefore, the article is based on literature-based analysis. Hence, based on Secondary data.

5. EMPLOYEE WELL-BEING PRACTICES:

Organisations implement employee’s wellness initiatives in an effort to cultivate a prosperous and healthy workforce. These practices cover a broad spectrum of behaviours, guidline, and events aimed at promoting the mental, emotional, and physical health of workers. Organisations should customise these programs to meet the unique requirements and difficulties of their people, as they can take many different shapes. Well-being initiatives are diverse, reflecting the recognition that employee welfare encompasses physical, mental, and emotional aspects. Comprehensive strategies include flexible work setups, health programs, and promoting open discussions about mental health. Prioritizing these initiatives isn’t just strategic; It involves creating conditions that allow workers to flourish on a personal and professional level. This shift moving towards a comprehensive view of well-being highlights the forward-thinking nature of modern working area, emphasizing the importance of employee welfare in organizational goals (Bartels, Peterson and Reina, 2019, Raj, 2020).

Physical Health:

· Access to healthcare and wellness programs.

· Ergonomics and safety of the workplace.

· Encouragement of physical activity (e.g., gym memberships, wellness challenges).

· Healthy food options.

Mental Health:

· Access to mental health resources and support (e.g., counseling, mental health days).

· Workload management to prevent burnout.

· Stress reduction initiatives (e.g., mindfulness programs, stress management workshops.

Emotional Well-Being:

· Positive Workplace Culture and Supportive Leadership.

· Recognition and Appreciation of Employees’ Contributions.

· Opportunities for personal and professional growth.

Social Well-Being:

· Positive Interpersonal Relationships and Team Dynamics.

· Inclusivity and diversity initiatives.

· Opportunities for Social Interaction (e.g., team-building activities, social events).

Financial Well-Being:

· Fair and competitive compensation.

· Financial education and planning resources.

· Benefits that support financial stability (e.g., retirement plans, bonuses).

6. LITERATURE REVIEW:

6.1 Employee Well Being and Life Satisfaction:

“Life satisfaction, according to Enkvist and colleagues (2012), is a person’s cognitive evaluation of their own existence”. Veenhoven (2012) claims that the phrases “contentment” and “life satisfaction” are interchangeable and commonly used to describe overall happiness. According to Dockery (2003), happiness, well-being, and life satisfaction are comparable ideas. Even though life satisfaction and happiness are frequently employed to gauge quality of life in the literature, they are essentially distinct from one another and are components of well being (Saperia et al., 2018). Fresh use of life satisfaction facts is often to assess the perceived the standard of living within a nation or certain socioeconomic class.

6.2 Employee Well Being and Interpersonal Relationship:

Fine (1986) emphasized the significance of interpersonal relationships for both individuals and organizations. He noted that such relationships aid employees in performing their duties, alleviate stress, and enhance cooperation and synergy. Employees who have good friendships tend to feel more at ease in their workplace. “Additionally, Riordan and Griffeth (1995) and Lyubomirsky and Ross (1997) proposed that interpersonal relationships can impact employees’ attitudes toward their job, job intentions, performance, absenteeism, turnover, and organizational citizenship behavior”.

6.3 Employee Well Being and Self Affirmation:

The ‘self-affirmation theory’ proposed by Steele (1988) and elaborated on by Aronson et al. (1999), suggests that individuals strive to uphold their sense of self-integrity, akin to a feeling of overall effectiveness. This concept is closely tied to personal wellbeing (Howell, 2017). Furthermore, the theory posits that employees are consistently driven to preserve their integrity. When faced with negative feedback from superiors, this integrity can be compromised, leading to potential impacts on employee morale and performance.

6.4 Employee Well Being and Happiness:

In positive psychology, the words “employee happiness” and “well-being” are frequently correlative (Diener, 1984). Happiness is defined by Veenhoven (2012) as having both subjective wellness and life satisfaction. Happiness can be understood in multiple ways, to put it simply. It is subjective in the first place, reflecting people’s self-perceptions. Second, it’s relative and based on how others’ positive and negative emotional balances compare. Thirdly, it entails a broad evaluation of one’s personal circumstances. Wright (2006) claims that because employee wellbeing is not dependent on a particular set of circumstances, it is different from work satisfaction. Subjective wellbeing (SWB) and psychological wellbeing are the two broad orientations into which overall happiness can be divided (PWB).

6.5 Employee Well Being and Job Satisfaction:

“Job satisfaction is a crucial notion in organizational behavior (Indarti et al., 2017) and is one of the most commonly researched aspects of employees well-being (Koopman et al., 2016)”. It encompasses not just a person’s contentment with their specific job but also their overall satisfaction with the organizational environment (Baptiste, 2008). Job satisfaction is intimately related to working circumstances and is defined as a good emotional response resulting from work experiences and the fulfilment acquired from one’s job (Edgar et al., 2017). “Workers must be content with their pay, the physical workspace, their degree of authority, responsibility, and autonomy, as well as their general sense of empowerment in their positions (Baptiste, 2008)”.

Job satisfaction is a intricate idea greatly influenced by an individual’s reaction and mood ‘(Hosie et al., 2012)’. It consists of two aspects: built-in and built out traits of a job. Superficial pleasure comes from artificial factors such as salary, management policies, work environment, and job security. Intrinsic satisfaction involves personal feelings of fulfillment derived from opportunities for personal achievement and growth (Markovits et al., 2014).

6.6 Employee Well Being and Performance:

A key component of organisational success is employee performance (Aguinis et al., 2011). Work and organisational psychologists are interested in this idea and are making an effort to comprehend and examine it (Meijerink et al., 2021). Employee performance is evaluated according to standards that are essential to the success of the company, including sales and productivity, or the accomplishment of particular objectives (Charbonnier-Voirin and Roussel, 2012). It includes worker activities and behaviours that are under their control and in line with company objectives (Jiang et al., 2012). By appropriately carrying out their responsibilities as specified by their employers and in their individual job descriptions, employees efficiently carry out their employment (Ribeiro et al., 2018).

The concept of professional achievements is complex and intricate. Task performance and organisational citizenship behaviour are important components of individual performance, according to Meijerink et al. (2021). Task performance is related to actions that support the technological core of the organisation and are specified in a job description (Alfes et al., 2012). It includes the abilities and information that workers require in order to carry out their jobs properly (Bish and Kabanoff, 2014). According to Edgar et al. (2017), these behaviours are role-specific, based on the job description, and quantifiable.

7. PROBLEM STATEMENT:

7.1 Lack of Clear Relationship Between Well-Being and Performance:

Although studies indicate a favourable association between employee well-being and organizational performance, inconsistencies in measurement and assessment hinder the establishment of a definitive link. Organizations require a structured framework to evaluate the effectiveness of well-being initiatives in driving performance outcomes such as efficiency, innovation, and financial success.

7.2 Challenges in Measuring Employee Well-Being:

‘Employee well-being is a complex concept that includes work-life balance, job satisfaction, mental health, and physical health’. The subjective nature of well-being makes it difficult to develop standardised metrics, which leads to variations in research findings and practical implementations.

7.3 Workplace Dynamics and Changing Expectations:

The modern workplace is evolving with technological advancements, hybrid work models, and shifting employee expectations. Traditional well-being frameworks may not adequately address the emerging challenges posed by digital transformation, remote work, and burnout. A reassessment of well-being policies is crucial to ensure alignment with contemporary organizational needs.

7.4 Employee Well-Being Requires a Holistic Approach:

Organizations often implement fragmented well-being initiatives that lack integration into the overall corporate strategy. A holistic approach that considers psychological, physical, and social well-being is essential for fostering a high-performance work environment.

8 Impact Of Employees Well Being Practices on the Organisational Performance

8.1 Increased Productivity:

Grawitch, Gottschalk, and Munz (2006) suggest that well being practices contribute to enhanced productivity by fostering a positive work environment. This environment promote originality, collaboration, and efficiency among employees.

· Healthy Workforce: Employees who are physically and mentally healthy tend to be more productive. Well-being practices like fitness programs, mental health support, and stress management can lead to higher energy levels and better focus, improving overall productivity.

· Reduced Absenteeism: When organizations prioritize well-being, employees are less likely to take sick leave, reducing absenteeism. This continuity in the workforce helps maintain productivity levels.

8.2 Enhanced Employee Engagement:

Khan (1990) identified psychological safety, availability, and meaningfulness-factors directly influenced by the well-being practices as critical to employee’s engagement. According to Schaufeli, Bakker and Salanova (2006), engaged employees exhibit higherl evels of vigor, commitment, and focus on their work, all of which are nurtured by comprehensive well being program.

· Motivation and Morale: Workers are more engaged and driven when they believe that their employer values their well-being. This engagement often translates into better work performance and a willingness to surpass limits.

· Commitment to the Firm: Well-being initiatives can foster a sense of loyalty and commitment, as employees feel their employer genuinely cares about their health and happiness.

8.3 Improved Retention Rates:

Griffeth, hom, and Gartner (2000) highlights that well-being practices, such as stress management program and work-life balance initiatives, reduce employee’s turnover intention by improving their overall job satisfaction and organisational commitment.

· Reduced Turnover: Employers who make investments in their workers’ welfare typically see decreased employee turnover. Employers who encourage employees’ work life balance and wellness are more probably to have loyal employees, which lowers the expense of hiring and onboarding new employees.

· Attraction of Talent: Companies known for their well-being practices are often more attractive to potential employees, helping to bring in top talent.

8.4 Financial Performance:

Berry, Mirabito, and Baun (2010) highlighted that for every dollar spent on well-being program, companies can save multiple dollars in healthcare costs and productivity gains. Cascio (2000) showed that reduced turnover directly improves financial performance by lowering the costs associated with recruitment, training, and lost productivity.

· Cost Savings: Healthier employees mean lower healthcare costs for the organization. Additionally, Significant cost reductions might result from lower turnover and absenteeism.

· Increased Revenue: Higher productivity, better employee engagement, and retention can lead to improved performance, which ultimately drives revenue growth.

8.5 Organizational Resilience:

Lengnick-Hall, Beck, and Lengnick-Hall (2011) suggested that strong organisation are characterized by their ability to leverage human resource effectively, and well-being practices are central to this capability.

· Adaptability: Organizations that focus on employee well-being are often more resilient in the face of challenges. A supported workforce can adapt more quickly to changes and maintain performance levels during difficult times.

· Sustainable Growth: Prioritizing well-being contributes to long-term sustainability by ensuring that employees are not burnt out and can maintain high performance over time.

9. LEADERSHIP’S ROLE FOSTERING SUPPORTING ENVIRONMENT.

A significance of guidance in cultivating a work atmosphere which values employees’ welfare is being crucial. In today’s vibrant work culture, proficient leaders are essential for creating a conducive setting that encourages the entire health – ‘physical, mental, and emotional’ – of individual groups. Referred study delves into various facets of leadership’s contribution to nurturing a conducive environment, such as establishing a leadership ethos centered on well-being, fostering transparent communication channels, and actively supporting mental health projects (Cvenkel, 2020; Hannah et al., 2020).

The tradition of leadership creates the environment of whole company. Leaders who scheduled employee well- being send a clear note that staff well-being is essential to efficacy of the company. Making a leadership culture that scheduled requires a number of crucial elements, including: Good leaders lead by example; they put their own wellbeing, stress reduction, and a healthy work-life balance first. Leaders who put their health first demonstrate to their workforce that health is a personal belief as much as a company goal. Integrating well-being into the organization's guiding principles is crucial. By emphasizing the significance of wellbeing in the mission and values statements, leaders can influence the culture. This alignment highlights that the organization’s operations are fundamentally based on the well-being of its members, not only as a secondary issue.

In a supportive work environment, open communication is essential, and leaders have a major responsibility to encourage staff members to voice their worries and provide input on their well-being. It is imperative for leaders to establish a climate of accessibility and approachability so that workers feel comfortable talking about concerns related to their well-being. Active listening, empathy, and being receptive to the group requirements are necessary for this (Koinig and Diehl, 2021; Safeer and Allen, 2019).

10. DISCUSSION AND CONCLUSION:

It is imperative for firms in the current HR landscape to give employee well-being and mental health top priority. To foster a thriving and resilient workforce, employers must embrace a proactive and comprehensive approach to well being as they navigate the complexity of the modern workplace.

Incorporating mental health programs into HR procedures demonstrates a dedication to fostering a encouraging work-place tradition that prioritizes employees’ well-being. The diverse tactics discussed in this analysis, ranging from leadership engagement to technological integration, highlight the significance of a thorough and flexible strategy.

Ultimately, the changing landscape of work necessitates a proactive approach to supporting employee mental health and well-being. Employers who prioritize employee feedback and make regular improvements to their operations will not just be drawn in and maintain best performance but also induce a work culture which supports the well being and achievements belonging to them are important assets: their workforce. Building resilient and flourishing workplaces is largely dependent on the collaboration of HR experts, leadership, and employees as the pursuit of optimal well-being advances.

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Received on 07.01.2025 Revised on 25.02.2025

Accepted on 28.03.2025 Published on 28.05.2025

Available online from May 31, 2025

Asian Journal of Management. 2025;16(2):158-163.

DOI: 10.52711/2321-5763.2025.00025

This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License. Creative Commons License.