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Our modern working environment can unfortunately, present many psychological hazards. Depending on how employers handle these hazards, these psychological threats can massively impact the mental health of workers.

The hazards can potentially cause the worker to suffer a psychological injury or exacerbate a pre-existing condition.

Hazards in the workplace can include:
• The physical workplace environment
• The nature and complexity of the
work itself
• Work procedures
• Behaviour of workers towards
one another
• The structure of the business
• The potential exposure to violent
or traumatic events can be a trigger for stress
• The introduction of work restrictions that are beyond the control of the business

Any business must do its best to commit to supporting the overall mental wellbeing of its workers.  This means ensuring that the risk of psychological and/or psychosocial injuries in the workplace are eliminated as far as is practical and that these are effectively and proactively managed through a risk management approach.

In this post, we will be looking at the 5 essentials of a robust mental health plan and why they are so important to implement for your business.

Why is a Robust Mental Health Plan so Important?

Every employer wants productivity, business growth, and satisfied customers.  Satisfied customers go hand in hand with satisfied staff. What makes satisfied staff? Being able to cope with a workload, feeling confident and valued in their role, and getting along with their colleagues, are key attributes to a healthy workplace.

If we look at statistics, we can see that workplace mental health compensation claims are associated with above-average absenteeism and higher than average compensation claim costs than other types of claims. Compensation claims for mental health in Australia are around $24,000 compared to $9000 for other claims. Adding to this, a typical time off work for mental health caused or exacerbated by the workplace was 15.3 weeks compared to 5.5 for other claims.  Between 2010–11 and 2014–15, around 91% of workers’ compensation claims involving a mental health condition were linked to work-related stress.

The most common reasons for mental health issues arising from the workplace are work pressure, or work-related harassment, or bullying.

So, we can see that businesses that do not have a robust mental health plan can incur significant human and financial costs.

The Five Essentials

IDENTIFY MENTAL HEALTH RISKS

Firstly, identify the psychological triggers in your workplace, inspect the workplace in action on a normal day, is there anything you can see? Observe how workers interact with each other / public / equipment and see if you can spot issues yourself, and importantly ask managers and staff to observe too. This might feel odd at first but seeing how staff interact with their workplace is crucial in keeping staff content in the workplace. Using surveys is an excellent way to get feedback on employee issues and satisfaction. If you have reports or reviews in your business, these are also a great way to monitor staff mental health.

ASSESS MENTAL HEALTH RISKS

Initiate a formal process for the assessment of mental health risks.   Like other health and safety risk assessments, write down all the risks to mental health in your workplace. Is it the pressure of a high workload that never ends? Is it rapidly changing deadlines? Is it ‘banter’ between employees? A high volume of customer complaints? Lack of breaks? Mental health stresses can be subtle and individual so be sure to take your time with assessing the risks.  Perform a risk assessment that can be a written record in your business, so managers are aware of the triggers and can help staff cope. Having this written document will help you manage your plan effectively.

CONTROL THE MENTAL HEALTH RISKS

Of course, it’s not always possible to prevent constantly changing deadlines, negative customers, workplace banter, or high work volumes! So how do you manage these risks to mental health? Planning and prevention is key. When you know what the mental health hazards are, (from that all-important written risk assessment!) You can start the journey to prevent these risks. Controlling these mental health triggers may always be a work in progress, as risks change and fluctuate constantly and as the business and workplace evolve.

REVIEW YOUR PRACTICES

Monitor and review your risk assessment regularly, is controlling the stress hazards working? Be honest and invite honesty from employees. Remember that a workplace with good mental health is a successful growing business.

OPEN DIALOGUE

An open dialogue is fundamental to a robust mental health plan. Open discussion between employers, staff, and managers is crucial in identifying risks, assessing risks, controlling risks, and reviewing risks. Staff need to feel they can highlight issues, (they as individuals) feel are stresses without being seen differently (as perhaps problem maker or a negative colleague etc). This open dialogue will be your greatest tool in identifying risk, assessing risk, and putting into place control measures to manage employee stresses.

In summary, consider that the most common reasons for workplace mental health issues are work pressure, work-related harassment, and bullying. Identify, assess, control, and review your mental health hazards and use open dialogue in your business to facilitate this.

If you need HR support as a business owner, we at Employsure offer a tailored service where we can assist you in building a robust mental health plan. We also offer free initial advice too, so feel free to get in touch with us 24/7 to see how we can help your business grow.

 

Reproduced with thanks to Employsure employsure.co.nz | 0800 568 012

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I was recently helping a client to price a proposal for a significant contract.

She had done everything right. The team she assembled had read the evaluation criteria and addressed all of the items that required addressing in the Request for Proposal (RFP).

She had enlisted the right expertise to help her define and cost the services that she was going to need to provide. The team had looked at the cashflow side of things to come up with an appropriate payment system that would ensure that the contract would be cashflow positive through the contract.

The proposal was excellent.

The client was shortlisted and asked to present to an evaluation team. The client’s team did a sterling job of presentation. A short while later, they were told that they were the preferred Service Provider and asked to attend another meeting.

At the meeting the team were congratulated on their success and told they were not the lowest priced tenderer and nor were they the highest. The problem was that while the Customer could see that the service that my client was going to provide was very high quality the price was too high and was there anyway that it could be reduced to fit the budget?

There was great discussion and some options kicked around that gave my client some options to work on.

My client and her team went away and worked on this. They found that they were able to meet the requests of the Customer, restructure their payment system, remain cashflow positive and make a more than acceptable return.

This is a great story but unfortunately not such a common one when it comes to pricing proposals. Often, you don’t get that second chance to submit.

A guide to success

Fortunately, there are some things you can do to give your proposals the best chance for success. Here are some easy tips to help you be as successful as my client:

1. Read the documentation thoroughly and make notes of requirements and evaluation criteria. This gives you an idea of where to put the most effort in your written proposal.

2. Make sure you know the deadlines for submitting pricing and also the award timeframe. If the deadlines are too close for you to give the proposal proper attention, do not be afraid to ask for an extension. Do this as early as possible.

3. If there is some external information required, such as insurance costs, quotes for materials, costs of bonds and so forth, that take time, get those requests off early.

4. If you are uncertain on some aspects, get help from others that know about them. Sometimes this will cost you money but it will be money well spent.

5. When pricing, think about how much margin you are prepared to accept for this project. This can be in dollar terms or a percentage and may be set at different levels depending on how much you need the work, how many competitors are pricing the job and so on.

6. Always submit a bid that complies with the Customer’s requests and if you have some alternative ideas that may be better for the customer, then submit them as an appendix or alternative bid.

7. Always look at and understand the payment terms of the contract, then look at how the cashflow will work for the contract. Always offer something that works for you rather than just accepting. This may mean that you need to talk to your suppliers to get them to accept the same payment terms so that you are not needing to pay them before you get paid.

8. Always look at what it is going to cost you to set up for the project and make you get an upfront payment to more than cover this.

9. Be careful of the impact of retentions on cashflow.

Hands on assistance is available

There is a lot of pressure to get a proposal right and it can be an intimidating process to go through. Fortunately, you are able to seek expert advice on how to correctly assemble your next proposal.

If you are responding to requests for pricing or putting together a proposal and need reassurance or guidance, go to someone with experience for that assistance. Graeme from Biz Assist has years of experience in these matters so feel free to make contact with him if you need help.

 

Graeme Bratty
www.bizassist.nz

022 587 0149

Graeme Bratty operates Biz Assist Limited, a consultancy that specialises in providing small and medium businesses with wide ranging advice and guidance in how to make their businesses stronger and more efficient. He has 30 years’ experience in senior commercial finance roles and has a passion for guiding small and medium business owners to plan for and achieve their aims.

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Business Coach Daniel Fitzpatrick looks at how to implement incentives that keep your staff self-driven and poacher-proof. 

Nothing stings more than losing one of your standout workers. You know who I’m talking about. The ones that always turn up on time, have a great attitude and never let you down. They’ll go the extra mile, because they take pride in their work.

Things tick along nicely. Until they ask for a ‘quick chat.’ They’ve had an offer they can’t refuse and they’re off. You ask what you can do to keep them, but that ship has sailed.

Great staff are worth their weight in gold at the moment. So how do you make sure your best staff stick around? Think about your current team. Who can you not afford to lose?

Now consider this…

1. Can your incentives pass the poacher test?

Say your best employee got approached tomorrow with a job offer. What would stop them saying yes?  Losing a valuable team member hurts.

The best incentives help you build a culture that people won’t want to leave.

Everyone wants to know where they’re heading. Help them get what they want in their lives. Invest in training them. Align their goals with your business goals. Show them how working with you gets them the career path they want. This creates loyalty and they are less likely to get poached.

Give great bonuses for hitting targets, like the team gets a certain dollar amount for completion of a job on time or early. Consider a $10K bonus if they are still with you at the end of each year.

For the ultimate employee – consider offering a profit share or even an ownership share to keep them for good. Without stating the obvious, these incentives should only be considered for your MVP’s.

2. Do you know what your staff want next?

Long-term incentives are crucial for retention. But you’ve also got to walk before you can run. Knowing what your team wants in the short-term matters, too.

Have you spent time finding out what your team members value most? Don’t assume you know what they consider good perks. Ask them and find out what they really want. They’ll give you powerful incentive ideas for now and later on.

Show them how going the extra mile will help you help them achieve that goal. One business owner I work with goes out of his way to help out his staff. In their first few months, he finds a way to contribute to their personal lives. This could be setting them up with a mortgage advisor if they’re looking for a house, or they get to leave an hour early to coach their kid’s sports team on Thursdays.

The point is, it’s what matters to them.

3. Is your incentive program breeding entitlement?

Entitlement. It’s the last thing you want in a staff member. So how do we stop it creeping in from incentives?

You might do this already – keep them random. Shout your guys the odd coffee here and there. Give them a gift card to the local tool supplier when a curveball meant they really had to dig in to get a job done on time, and they knocked it out of the park.

At the risk of stating the obvious – the key lies in the inconsistency. They’re informal gestures that say ‘we appreciate your effort.’ Keeping them unexpected is what keeps entitlement at bay. If staff don’t know they’re coming, then expectations don’t grow.

That said… random incentives are a move, not a game plan. They’re valuable, particularly if you sense entitlement brewing. But they’re best placed as the cherry on the incentive cake – not as the cake itself.

4. How often do you ask your team members for their number?

You’ve asked each staff member what they prefer as an incentive. Extend the buy-in. Ask them to come up with their own performance goals.

Go through this process together. Agree on something, then catch up regularly to help them stay on track. This doesn’t have to be long (10mins weekly should do it) but consistency is key.

For example, if your apprentice wants to work on turning up on time or improving their attitude, and you agree, hold them accountable to these performance goals by grading them out of 10 at the end of each week.

Do this with each of your team so everyone has something they’re aiming for. This way they don’t get bored, as studies show being bored in their current role is the biggest reason people look for a new one.

Keep your team challenged by giving everyone a number that they’re accountable to. The best sports teams are great at this. The players hold each other accountable, not the coach. When everyone has their number, your guys will help each other out too.

5. How big are you on the little things?

Incentives are great. But they’re not your only tool to building a team that loves working for you.

Recognition is powerful (and definitely a lot easier). Research shows that 63% of staff who feel recognised are highly unlikely to look for a new job.

On the flip side – a lack of recognition is why 44% of employees change jobs.

One tradie I worked with had an admin person who was on a bit of a performance roller coaster. She wasn’t quite giving the boss what he needed. Productivity fell, especially when she was at home during the holidays. Deliverables weren’t meeting deadlines or required standards.

Tough conversations weren’t working. Turns out she finds it hard if she’s not encouraged. Once he said things like ‘thanks for your work on that project – I couldn’t have done it without you’ there was a huge change. She was diligent again and a lot easier to work with.

So what drove this change? Not a lot, actually. Just her boss made her feel appreciated by acknowledging what was true – he couldn’t have done that task without her. Sometimes we can overlook the power of recognising the value of what our team does every day.

This recognition doesn’t have to only come from you. Put praise from customers in your group chat. This will make your team feel great about the work they’ve done.

Recognition of a job well done can be one of the best returns on investment in your business. How often do you say ‘thank you?’

So what’s the ultimate key to staff retention?

You’ve got to pay your staff well, but more money isn’t always the answer.

Instead, find out what truly matters to them and reward them in that way. Even better, attach it to their long-term professional growth.

Make it personal. Cookie cutter bonuses and incentives can be helpful, but they only go so far.

Align staff incentives with your business goals. This gets everyone on the same page and your business ends up running with the fluency of a Formula 1 pit crew. Well, maybe not quite. But you get the idea.

Need some help to get your team performing at the highest level? Book a free strategy chat with me here:
www.nextleveltradie.co.nz/nextstep

Daniel Fitzpatrick

 

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All employees are entitled to sick leave after six months’ current continuous service regardless of how many hours they work a week or whether they are full time or part time employees.

If an employee has not worked continuously for six months, then they will be entitled to sick leave if over the last six months they have worked for their employer for at least an average of ten hours per week and no less than one hour every week, or 40 hours every month. This includes casual employees if the leave is on a day they otherwise would have worked.

WHAT’S NEW?

From 24 July 2021 entitlement under the Holiday Act 2003 increased from five to ten employer-paid sick days a year.

When will my employees get this extra leave?
Employees will receive five extra paid sick days depending on when they started work and first became entitled. Employees who already are entitled to paid sick leave before 24 July 2021 will get their extra days 12 months from the date they last became entitled.

HOW DO I IMPLEMENT THIS CHANGE?

Employers need to ensure that their systems and processes are updated. This includes:
• Ensuring payroll systems have been updated to reflect the increase in entitelment.
• If you are employing new staff or creating new employment agreements (contracts), make sure that sick leave entitlements are noted at 10 days.
• Being aware of the changes and communicating with affected employees about what the change means for them.
• Updating employment agreements via a written variation letter to align with employees’ new entitlements where necessary. The new minimum entitlements will apply whether or not an employment agreement is updated.
• If you are planning to add any other variations to the employment agreement (contract), make sure that you discuss this with employees first. Remember, the employee does not have to agree to any changes that are not mandatory.

KNOW YOUR RIGHTS AND RESPONSIBILITIES

Employers and employees should be aware of their rights and responsibilities:
• Sick leave is paid time off work if an employee, their spouse, partner, dependent child, or other person who depends on them is sick or injured.
• All employees (including part-time and casual employees) are entitled to sick leave if they have worked for the same employer continuously for over 6 months, or they have worked for the employer for 6 months for:
– an average of 10 hours per week, and
– at least one hour in every week or 40 hours in every month.
• Unused leave at the end of a 12-month period can be carried over and added to an employee’s entitlement for the following year. The maximum number of days that can be accumulated as a minimum right is 20 days. Some employers allow for more than 20 days to be carried over or have unlimited sick leave entitlements.
• Employees need to tell their employer as soon as possible that they want to take sick leave. A phone call is the best way, unless the workplace has its own system.
• Unused sick leave cannot be cashed-up or be part of any final payment to the employee when they leave, unless this is in the employment agreement.
• If an employee has run out of sick leave they can ask their employer for leave in advance, use some of their annual holidays, or could ask to take unpaid leave.

Head to www.employment.govt.nz/leave-and-holidays/sick-leave/sick-leave-entitlements to read more.

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