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Employee morale describes the staff’s feelings, enthusiasm, and loyalty toward their duties or jobs. It is also related to their accountability.
High morale leads to feeling happy to do the job. It also implies greater commitment and loyalty. In addition, high morale leads to a sense of responsibility for their duty.
Meanwhile, employee welfare refers to a happy or prosperous state. It can be related to mental and physical security (non-material) and compensation received, such as salary and benefits (material).
Morale is crucial because it affects the attitude and willingness of employees to work. Thus, it affects how much effort they will put into tasks and jobs.
Employee morale and well-being play a role in employee productivity, which in turn, affects company productivity. When employee morale is high, they feel what they do is worthwhile. They are also highly motivated and have greater commitment and loyalty to their work.
There are many ways to increase employee morale. For example, managers show concern for and appreciation for employee efforts. Feeling valued, employees will be more passionate about their work.
Other ways include:
- Give generous compensation
- Ensuring health and safety in the workplace
- Provide a stress management program
- Offers personal support and counseling
- Treat employees fairly
Work-life balance
Work-life balance refers to how appropriate the proportion of time and effort is devoted to work and personal life. It can differ between individuals, both influenced by background, position within the company, and preferences.
Work-life balance is essential because it affects employee morale and productivity. Employees should have enough time to be with their loved ones and take care of their personal lives. So, they can solve problems and personal interests without bringing them into the office.
Conversely, when personal problems are not resolved, employees often solve them in the office. This can cause problems because it will interfere with work rhythm and productivity. For example, work gets delayed when employees spend hours resolving personal issues, and the workload piles up.
Then, more significant problems can arise. Delayed work affects processes within the organization. This is because each employee is interrelated in their tasks. So, it doesn’t only have an impact on personal achievement. But it also affects the organization as a whole.
Management should help employees to achieve a better work-life balance. The goal is to help them meet personal goals without compromising work and vice versa. Thus, negative impacts on the company can be minimized.
There are several ways to achieve a better work-life balance, such as flexible working and teleworking. Both allow employees to complete their work at the place and time where they feel most productive.
Equality policy
An equality policy refers to a written agreement regarding the equal treatment of everyone without discrimination. It underlies practices and processes aimed at achieving a just organization.
Equality views everyone as having the right to be treated equally, with respect and dignity. All employees must have equal opportunities. For example, everyone has the same opportunity for promotion regardless of their religious or racial background.
Promoting equality is essential for boosting employee morale and encouraging greater commitment and effort. Moreover, it enhances the reputation of companies, making it easier for them to attract skilled and experienced personnel.
Diversity policy
Diversity refers to variations or mixes. The company contains people with various backgrounds, including in the following aspects:
- Gender
- Religion
- Race
- Ethnicity
- Socioeconomic
- Lifestyle
- Experience
- Interest
Meanwhile, the diversity policy provides guidance for directions or principles of action to create a mixed workforce and place a positive value on diversity in the workplace.
Diversity promotes inclusivity. Bringing out more creativity through team collaboration with various backgrounds is essential. This is because diverse personnel brings different skills, knowledge, and experience. In addition, increased productivity levels are achieved when diverse teams work together by focusing on their strengths.
Advantages of diversity
Having a diverse team offers many advantages, including:
- Increased creativity and innovation. Companies with people from different backgrounds, experiences, and perspectives are more likely to come up with new and innovative ideas.
- Better problem-solving. Diverse teams can approach problems from different angles, leading to more effective solutions.
- Better decision-making. With multiple perspectives, teams can make more informed and balanced decisions.
- Improved customer service. Companies can better understand and serve a diverse customer base.
- Increased employee satisfaction and retention. A diverse workplace can lead to happier and more engaged employees.
- Improved company reputation. Embracing diversity can enhance a company’s image and reputation and attract more customers and employees.
Disadvantages of Diversity
Having a diverse team does offer many benefits. But, it also raises some potential challenges, such as:
- Communication barriers. Misunderstandings and communication difficulties arise when team members come from different cultures or speak different languages.
- Conflict and tension. Differences in values, beliefs, and opinions can sometimes lead to friction and pressure within the team.
- Click and exclusion. In some cases, diverse teams may struggle to build a sense of unity and form cliques or exclude certain members.
- Slow decision-making. While diverse teams may make better decisions, they may also take longer to reach consensus because they need more discussion and deliberation.
- Resistance to change. Some team members may resist new ideas or ways of doing things, especially if they feel that their culture or perspective is being belittled.
Labour Laws
Governments pass laws to control working conditions and the relationship between employers and employees. It manages various areas such as:
- Working hours
- Remuneration
- Legal working age
- Employment contract
- Discrimination problem
- Health and Safety
Arrangements through these laws have cost consequences for the company. For example, companies must provide first aid equipment and training to support occupational safety and security.
Other consequences when companies do not comply with labor laws are:
- Bearing legal costs when facing labor court claims
- Pay fines and compensation if they violate labor laws
- Bad publicity and damaged business reputation
- Stakeholder refusal to engage with the company due to bad labor practices
Meanwhile, the consequences when companies comply with labor laws are:
- Higher job satisfaction leads to increased productivity
- Increased loyalty, which reduces recruitment costs
- Getting a good reputation makes it easier for companies to recruit new workers
- Trust by stakeholders such as suppliers
Number of hours worked
The law regulates normal working hours. This is important for health, safety, and well-being reasons.
In the United States, for example, the average full-time US employee works 5 days a week for 8 hours a day. So, a total of 40 hours a week.
Meanwhile, workers not in the UK are expected to exceed 48 hours per week. If additional hours are required, this requires special arrangements between the worker and the employer and can be done as long as the worker is over 18.
Remuneration
The law determines what businesses can and cannot do when paying their workers. Payments to employees are rewards for their services.
For example, the law establishes a minimum wage, the lowest wage, for providing labor and expertise. Thus, all businesses must pay their staff at least the minimum wage.
The minimum wage is the standard compensation for survival. So, it is crucial to support the increase in the income of low-income people. The government usually sets the rates annually, which are adjusted according to the cost of living.
In addition, the law also prohibits companies from discriminating in payments. So if staff are doing the same work, they should be paid equally. For example, paying male staff more than female staff if they occupy the same position is prohibited.
Remuneration
The law determines what businesses can and cannot do when paying their workers. Payments to employees are rewards for their services.
For example, the law establishes a minimum wage, the lowest wage, for providing labor and expertise. Thus, all businesses must pay their staff at least the minimum wage.
The minimum wage is the standard compensation for survival. So, it is essential to support the increase in the income of low-income people. The government usually sets the rates annually, which are adjusted according to the cost of living.
In addition, the law also prohibits companies from discriminating in payments. So if staff are doing the same work, they should be paid equally. For example, paying male staff more than female staff if they occupy the same position is an offense.
Legal working age
The law prohibits companies from hiring anyone under a certain age. What is the minimum age for work may vary from country to country, for example, 18 years. The law prohibits children under this age from working.
Hiring a minimum age requires special conditions. A country may allow a certain age to work. However, it is only for light work. Other requirements include parental consent and limited working hours.
For example, the legal working age in Switzerland is 13 for light work and requires parental consent. Meanwhile, the maximum working hours are 4 hours per day and 9 hours per week during the school week.
Employment contract
The law requires every job to have an employment contract. It also determines the circumstances under which the contract can be terminated.
Arrangements regarding work contracts are important to protect employees from exploitation. Employment contracts dictate clear terms of employment. Therefore, workers and employers know what they are committed to doing.
Discrimination
Regulations regarding discrimination are usually contained in the Equality Act. It is designed to prevent discrimination due to differences in background. For example, in the UK, it defines a protected characteristic – and as such, may not discriminate based on it, which includes:
- Age
- Disabilities
- Gender reassignment
- Marital status
- Pregnancy and maternity
- Race
- Religion or belief
- Sex
- Sexual orientation
Health and Safety
The Occupational Health and Safety Act outlines the obligations of companies to maintain a safe work environment. It aims to improve working conditions and the working environment.
For example, the law requires companies to provide safety equipment and staff training. They should also have a first aid kit.
The law is vital to ensure and maintain the workability of employees. In addition, it prevents occupational accidents and diseases and eliminates other hazards from work to physical and mental health.