Understanding ISO 45003 and
Its Impact on Organizational Well-Being
By Gail Figaro, M.Sc, CBEP, R.E.E.
LINKAGE Q3 (2024) - OPPORTUNITY IN ADVERSITY
INTRODUCTION
The Expanding Need for Psychological Safety at Work:
In today’s fast-paced and ever-evolving work environment, the mental and emotional well-being of employees is more critical than ever. Traditional safety standards have primarily focused on physical health, but recent years have underscored the importance of mental wellness in the workplace.
Enter ISO 45003, the first global guideline dedicated to psychological health and safety at work. Although it does not facilitate certification like other ISO standards, its implementation as a critical element of overall occupational health and safety management can transform organisational culture and enhance overall productivity and employee satisfaction.
WHAT ISO 45003 COVERS?
ISO 45003 provides guidelines for managing psychological health and safety risks within an occupational health and safety (OHS) management system. It covers various aspects, including:
Identifying Psychosocial Risks:
This involves recognising factors in the work environment that could harm employees’ psychological well-being. Examples include excessive workload, lack of control, poor organisational support, and workplace harassment.
Assessing and Managing Risk/ Opportunities:
Once identified, risks must be assessed in terms of their severity and likelihood. Opportunities should also be reviewed in terms of value and effort required to materialise them. Effective management strategies are then put in place to navigate both ends of the spectrum.
Promoting Well-being:
Beyond risk management, ISO 45003 emphasises promoting a positive work environment that supports mental health, such as fostering a culture of trust, inclusion, and respect.
Communication and Training:
ISO 45003 also highlights the importance of educating employees and management about psychosocial risks, their impacts and ensuring everyone is informed and engaged in maintaining a healthy work environment.
Creating an Authentically Safe Environment for Communication:
In alignment with HOP and other comparable models, ISO 45003 facilitates the strategic, tactical, operational and cultural shifts necessary for staff to believe and trust that their communications, particularly in relation to raising authentic concerns will be welcomed and not weaponised against them.
WHO CAN BENEFIT FROM ISO 45003?
ISO 45003 is applicable to all organisations, regardless of size, sector, or geographical location. It is particularly beneficial for:
Leaders and Managers:
It provides them with the tools and frameworks that are required to recognise and address psychosocial risks. This enables top and middle management to foster a truly supportive environment while counterbalancing that with health accountability models.
Human Resources:
ISO 45003 assists departments such as Human Resources and specialists in Occupational Health and Safety in developing policies and practices which promote psychological well-being and address issues such as burnout and work-related stress.
Employees:
It works to ensure that the mental health of team members is prioritised, which has been statistically shown to increase job satisfaction, engagement, and overall well-being over time and with sustained effort.
PSYCHOLOGICAL CONSIDERATIONS ADDRESSED BY by ISO 45003
ISO 45003 addresses a broad spectrum of psychological factors that impact employees’ mental health, including:
• Workload and Job Demands:
High workloads and unrealistic deadlines can lead to stress and burnout. The standard encourages realistic workload management and job design. This can range from solutions such as job rotation, remote work, telecommuting, goal-setting, enhanced performance management, coaching, mentoring etc.
• Role Clarity and Support:
Ambiguity in job roles and lack of support from management can create anxiety, dips in productivity/ output and promote wastage of resources on occasion. Clear and measurable deliverables, effective and ongoing communication as well as robust support systems are vital in avoiding the gaps that can be created in their absence.
• Work-Life Balance:
This concept is often misunderstood. Ideally, it encourages practices that support a healthy balance between work and personal life, reducing the risk of burnout and improving overall life satisfaction. That balance will shift and evolve each day based on the demands on one’s time and the ever-shifting pressures that life brings. As a result, the concept that the “balance” being sought can be captured and cemented into a fixed position.
• Interpersonal Relationships:
Promotes a workplace culture where positive interactions are the norm, and bullying, harassment, and discrimination are actively discouraged.
• Change Management:
Provides guidelines on managing organisational changes in a way that minimises stress and maintains employee morale.
• Neurodiverse and Diagnosable Mental Health Disorders:
The standard recognises the unique challenges faced by individuals with neurodiverse conditions (e.g., ADHD, autism) and diagnosable mental health disorders (e.g., depression, anxiety etc.). It encourages inclusive practices and reasonable accommodations to support these employees effectively.
PROS OF IMPLEMENTING ISO 45003:
Implementing ISO 45003 can yield numerous benefits for organisations:
• Enhanced Employee Well-being:
A focus on psychological health leads to happier, more engaged employees who are less likely to suffer from stress and burnout.
• Increased Productivity:
Healthy employees are more productive, creative, and efficient. Reduced absenteeism and presenteeism contribute to a more effective workforce.
• Improved Organisational Culture:
A commitment to psychological health fosters a culture of trust, respect, and collaboration, attracting and retaining top talent.
• Legal and Ethical Compliance:
Implementation demonstrates a proactive approach to complying with legal and ethical obligations regarding employee well-being. This aligns with ESG and Business Excellence objectives.
• Reputation and Brand Image:
Companies that prioritise mental health are viewed more favourably by customers, investors, and the public, enhancing their reputation and brand loyalty.
CONS OF FAILING TO IMPLEMENT ISO 45003:
Neglecting the principles of ISO 45003 can have significant negative consequences:
• Increased Absenteeism and Turnover:
Poor mental health leads to higher rates of absenteeism and employee turnover, disrupting productivity and increasing recruitment costs.
• Reduced Productivity and Efficiency:
Stress and burnout impair employees’ ability to perform, leading to lower productivity and higher error rates.
• Legal and Financial Risks:
Failing to address psychological health risks can result in legal actions, fines, and compensation claims, impacting the organisation’s financial stability.
• Damage to Reputation:
Organisations that neglect mental health issues risk damaging their reputation, losing customer trust, and facing public backlash.
• Decline in Employee Morale:
A lack of support for mental health can lead to a toxic work environment, eroding employee morale and engagement.
POWERFUL AND APPLICABLE STATISTICS:
To underscore the importance of ISO 45003, consider the following statistics:
• Mental Health Impact on Productivity: According to the World Health Organization (WHO), depression and anxiety disorders cost the global economy an estimated $1 trillion annually in lost productivity.
• Workplace Stress: A survey by the American Institute of Stress found that 83% of US workers suffer from work-related stress, with 25% naming their job as the primary stressor in their lives.
• Employee Engagement: Gallup’s State of the Global Workplace report indicates that only 20% of employees worldwide are engaged at work, highlighting the need for improved workplace well-being initiatives.
• Cost of Turnover: The Society for Human Resource Management (SHRM) estimates that the cost of replacing an employee can be six to nine months of the employee’s salary, emphasising the financial impact of high turnover rates due to poor mental health.
• Bullying and Harassment: A study by the Workplace Bullying Institute found that in a specific first world country, 19% of workers have experienced bullying at work, and 60% of employees are aware of abusive conduct in the workplace. Addressing these issues is crucial for a healthy work environment.
In the upcoming second installation of this article, we will explore the path to effective implementation and the crucial role qualified professionals and leaders play in that process.
ABOUT THE AUTHOR
Gail Figaro is the Managing Director - Phi-Onyx Services Limited. She is a certified Change Manager, Enterprise Risk Manager, Business Excellence champion and provides Executive Coaching as well. In addition, she is certified by PECB Canada as a Senior Lead Auditor and Trainer for ISO Standards.