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Managing workplace stress: A practical guide for small and medium business | 1

Disclaimer

This document is published by Business SA with funding from ReturnToWorkSA. All workplaces and circumstances are different and this document should be used as a guide only. It is not diagnostic and should not replace consultation, evaluation, or personal services including examination and an agreed course of action by a licensed practitioner. Business SA and ReturnToWorkSA and their affiliates and their respective agents do not accept any liability for injury, loss or damage arising from the use or reliance on this document. The copyright owner provides permission to reproduce and adapt this document for the purposes indicated and to tailor it (as intended) for individual circumstances.

(C) 2016 ReturnToWorkSA

2 | Managing workplace stress: A practical guide for small and medium business

CONTENTS Contents 2

Introduction 3

Recognise stress in the workplace 4

Stress and work 4

Signs of stress 5

Workplace stress 6

Seven primary risk factors in the workplace 7

Understand and prevent workplace stress 8

Workplace stress is a leadership issue 8

Prevention and early intervention matter 10

Reduce the risk of stress in the workplace 12

Manage workplace stress 13

Build a resilient workplace 13

Know your staff 14

Manage sources of stress 15

Recognise support options available 16

References 17

Acknowledgements 18


INTRODUCTION Stress is emerging as one of the leading health risks of the 21st Century and is a serious risk in the workplace. Stress is a commonly used term, but is best described as a response a staff member may experience when presented with work demands and pressures that are not matched to their knowledge and capabilities and which challenge their ability to cope. Stress is not an illness; it is a state. If stress becomes too excessive or prolonged, then mental or physical illness may develop as a result.

Workplace stress is recognised as a major challenge for business and leaders and the impact it has on staff health, safety and wellbeing is significant. Stress in the workplace costs businesses billions of dollars in absenteeism, reduced productivity and morale and can lead to work injury claims. This makes stress in the workplace an issue for everyone.

Workplace leaders play a central role in proactively identifying workplace stress, providing early assistance and support to staff, to help improve their wellbeing and to remain at work. As a leader you should aspire to have an environment where workplace stress is managed as a core workplace issue.

This practical guide is designed for leaders of staff within small to medium businesses to provide information about recognising, preventing and managing risk factors related to stress in the workplace.

The practical guide is supported by:

• Fact sheets that will provide you with more comprehensive information about specific topics covered within this guide.

• Supporting documents where you can find some helpful resources, checklists and templates to assist you with implementing stress prevention and management activities in the workplace.

The guide, fact sheets and supporting documents are broken into three topics:

• Recognise stress in the workplace – This section covers workplace stress including the seven primary risk factors of stress in the workplace, identifying the signs of stress in your workforce and the impact stress has on businesses, leaders and staff.

• Understand and prevent workplace stress – This section covers ways to prevent workplace stress by understanding your responsibilities as a leader, appropriate risk assessment frameworks and knowing how to prevent the seven primary sources of stress in the workplace.

• Manage workplace stress – This section covers practical components to help prevent and manage workplace stress.


RECOGNISE STRESS IN THE WORKPLACE

Stress occurs when perceived pressure exceeds a staff member’s ability to cope. The direct and indirect cost of workplace stress in Australia is high and includes billions of dollars lost in absenteeism, increased work injury premiums, reduced productivity, staff loss, retraining costs and reduced morale.

This section covers workplace stress including the seven primary risk factors in the workplace. It will assist you with identifying the signs in your business and the impact on your business and workforce.

Stress and work Stress is a broadly used term and most of us have some understanding of what it means. Workplace stress describes a staff member’s mental, emotional and physical response (known as a stress response) when they feel that their work burden surpasses their abilities and/or their resources (such as support, time and assistance) to do their work.

Stress may also occur when a staff member feels that they are not coping with workplace situations.

Whilst stress may originate from many workplace factors, it can also arise outside of the workplace. As a leader, it is important that you don’t dismiss the fact that for some staff stress starts at work.

The World Health Organisation (WHO) defines workplace stress as:

…the response a staff member experiences when presented with work demands and pressures that are not matched to their knowledge and abilities and which challenge their ability to cope.

A staff member’s response to these factors may have a positive or negative impact on their welfare. You will observe that some staff simply adjust to the impact of these demands and are able to continue to perform their normal work duties. However, some staff will experience workplace stress.

Whilst stress in itself is not a mental illness, it has a negative impact. It may become long-lasting and extreme, it can have harmful effects on staff health, safety and wellbeing.

You are not responsible for managing mental disorders or illnesses, but as a leader you can encourage a staff member to seek support from a qualified health professional, such as a general practitioner, psychologist, psychiatrist or counsellor.

Read more about workplace stress and its causes in the Fact sheet – ‘What is stress?’


Signs of stress As a leader you are not expected to diagnose a mental injury or illness, however, the earlier you notice that a staff member may be suffering possible signs of stress, the sooner you can act proactively to help them.

Stress can have physical, behavioural and emotional impacts with signs and symptoms varying from staff member to staff member.

Some signs are quite obviously related to stress, but others are less obvious.

Your role as leader is to sensitively and respectfully manage and support staff. Distress is an indicator of the need for intervention.

Some early warning signs that a staff member may be suffering from workplace stress include:

• obsession with some parts of their job and neglect of others

• reduced work performance • working more or less hours without the

expected outputs • disproportionate emotional reactions

and responses • distressed, withdrawn or disengaged

behaviour • uncharacteristic behaviour which may

be overly irritable, angry, teary, sensitive or tense

• appearing tired, and experiencing stomach aches or headaches

• changes in appearance such as a lack of personal grooming.

If a staff member is suffering from workplace stress they may drink alcohol or smoke more than usual or may turn to other substance abuse.

There are other possible signs that you might recognise in your staff including:

• mental stress • behavioural stress • physical stress • workplace culture stress.

Read more about these signs of stress and common causes in the Fact Sheet – ‘Impacts and common causes of stress’.

Did you know that when stressful situations remain unresolved, the body is kept in a state of stimulation, which can result in harm to health, safety and wellbeing?


Workplace stress Work usually contributes to good mental health. It provides a sense of purpose, structure and identity as well as opportunities to develop and utilise skills, form work relationships and increase feelings of self-worth. However, stress from the workplace is becoming increasingly prevalent in Australia and is also a growing problem across the world.

Cost of stress to business SafeWork Australia estimates the cost to Australian businesses is over $10 billion per annum due to loss of productivity and staff absence.

Workplace stress and related illnesses are forecast to become the leading cause of global disease liability by 2020 when one in three people might suffer a psychological illness or injury.

The indirect cost to businesses, its leaders, staff suffering from workplace stress and their families – make it clear that preventing stress in the workplace needs to be a priority.

Businesses face a combination of direct and indirect (hidden) costs.

While direct costs (wages, medical bills and insurance premiums) may be high, it is the many indirect costs that can be crippling. Indirect costs that can impact you as leader include: loss of productivity and staff, increased training, skills leaving the organisation, customers not satisfied, reduced sales and increased administrative burden.


Seven primary risk factors in the workplace

Workplace stress can originate from one or more causes in the workplace. There are seven primary workplace risk factors that leaders should understand can cause or contribute to workplace stress: demand, control, relationships, change, role, support and culture.

1. Demands

Demands may include the work environment (for example noise, temperature, lighting or airconditioning), long hours, workload, and work patterns such as shift work.

Everyone has a limit. If a staff member’s capability is surpassed, they may experience workplace stress.

2. Control

Unnecessary levels of supervision, little or no say on how work is completed, excessive responsibility with little decision making capability, can all lead to workplace stress.

3. Relationships

Relationships in the workplace are very important and can positively or negatively affect the way a staff member may feel. It is not uncommon for conflict to arise when people work together. This could be due to conflicting priorities, differences of opinion or different personality types. However, conflict is a problem when it becomes intense or remains unresolved.

4. Change

If change is not properly managed and communicated in the workplace, there is an increased possibility of workplace stress. Poorly managed change can create feelings of uncertainty and anxiety in the workplace.

5. Role

If there is not a clear understanding of what is expected of each role within the workplace, confusion can occur. Ambiguity regarding degree of responsibility, conditions of employment and role expectations can cause conflict for individual staff members.

6. Support

Workplace stress can occur where staff are not supported and/or not appreciated by their leaders or colleagues. This could arise when the required level of support, job training and communication is insufficient or non-existent.

Lack of reward and recognition strategies, encouragement, communication and resources provided by you and/or colleagues can also result in a staff experiencing workplace stress.

7. Culture

The culture of a workplace can cause stress. This could mean there is a lack of communication and consultation, or a culture of blame when things go wrong or an expectation that staff will work excessively long hours.


UNDERSTAND AND PREVENT WORKPLACE STRESS The good news is that early identification and intervention can reduce the impact workplace stress. Don’t wait for a crisis in your workplace. Early intervention and management of workplace stress enables you as a leader to be a positive role model. Being proactive will also assist you in reducing or eliminating direct and indirect business costs.

This section covers a leader’s unique position to understand and proactively prevent workplace stress, provide early assistance and support to staff to help improve their wellbeing and remain at work.

Workplace stress is a leadership issue Workplace stress can be a significant health and safety issue. As a leader it’s your duty to make sure that your staff are not subjected to unnecessary stress in the workplace.

Where stress is caused or made worse by the workplace you must assess the risk, decide who might be harmed by the risk and decide whether you are doing enough to prevent that harm.

It’s important to recognise that employers also have legal responsibilities under the Work Health and Safety Act 2012 (SA). The WHS Act requires them to provide a safe work environment, which includes preventing workplace stress. As a leader, you can positively influence and contribute to your business meeting its legislative responsibilities.

As a leader, it is important to be able to identify and prevent stress in the workplace. These skills will assist with providing and developing a resilient culture for staff which in turn results in a more productive workforce.

Read more about your legal responsibilities in the Fact Sheet – ‘Legal responsibilities’.


Display positive leadership Being a responsible leader and role model within your business can make all the difference. Here are some approaches for you to consider:

• ensure a safe working environment for staff

• make sure that staff are properly trained for their job

• de-stigmatise workplace stress by openly recognising it as a genuine problem

• discuss issues and grievances with staff, and take appropriate action when required

• devise a stress management policy in consultation with staff

• encourage an environment where staff have more say over their duties, promotional prospects and safety

• cut down on overtime by reorganising duties or employing extra staff

• take into account the personal lives of staff and recognise that demands of home will sometimes clash with the demands of work

• always respect staff confidentiality • where appropriate, seek advice from or

refer to health professionals.

Impact of poor leadership Ineffective leaders tend to care less about potential outcomes. Signs of poor leadership behaviours include:

• inadequate awareness of issues and not inclined to admit their management style may be a factor

• poor or inadequate training or an unwillingness to accept health and safety is part of their accountabilities

• concern if questions are raised about issues, which may create a cause where none previously existed

• inability to provide an appropriate relationship between private and work life stress, even though stresses arising outside of work can spill over into the workplace.

Workplace stress is a leadership issue – take ownership and make a positive difference!


Prevention and early intervention matter Leaders who implement strategies to prevent and/or minimise workplace stress can positively reduce some of the indirect costs (absenteeism, staff turnover and lost skills etc) that may otherwise negatively impact your business.

If a staff member is experiencing symptoms of workplace stress, the way you respond and the level of support you offer is paramount.

Early intervention is a key success factor.

There are many benefits for you to act early to identify and prevent stress. It means that you are making an active contribution to:

• supporting a positive work environment and culture

• increasing employee job satisfaction • improving communications (including

active listening) • reducing illness, injury and absenteeism • increasing productivity • improving morale • reducing the risk of a work injury claim

occurring.

The best approach to take is to not expect that the issue will go away. Dealing with the issue head on is the best tactic, so:

• get involved • listen to staff • find out the facts • establish where the issues are and

begin the process of finding solutions.

It is important to remember that each situation is unique. Even if staff encounter the same stress risk factors, the best outcomes are when proactive solutions are aligned to individual circumstances.

Talking about workplace stress As a leader you need to be open and approachable to staff. Good relationships are based on trust and mutual respect.

Promoting a trusting and supportive team culture can provide a staff member, who may be suffering workplace stress, with a level of comfort when disclosing personal information about their situation.

Having open and supportive conversations may encourage a staff member to get help from their family, friends, medical practitioners or other support networks.


Risk management Framework As a leader, you can easily implement workplace stress risk prevention strategies as part of your everyday operational activities.

You can use practical solutions to prevent, eliminate or reduce the effects of workplace stressors.

One of the practical solutions is to apply a risk management approach. Focus on ensuring workplace stress risks are managed by using the same risk management process that you would normally apply to a physical hazard in the workplace.

A risk assessment for workplace stress can involve:

Leaders should identify workplace factors impacting on staff health and wellbeing and take action to control the impact of these factors.

Read more about this in the Fact sheet – ‘Risk Management Framework’. There are also supporting documents to help you implement these strategies.


Reduce the risk of stress in the workplace

Focusing on addressing the seven primary risk factors will enable you as a leader to positively prevent or reduce stress in the workplace:

1. Demands

Some ways you can positively influence work demands include providing:

• adequate work environment • meaningful work and/or variety of work • adequate time and/or resources to

complete jobs satisfactorily • predictable work hours/shifts/rosters

that make it easy to achieve a work/life balance.

2. Control

Work tasks should be meaningful, varied and allow for an acceptable degree of self-direction, whilst ensuring:

• acceptable levels of supervision • balance between responsibilities and

authority or decision making powers • adequate say from staff in how work is

done, controlled and/or scheduled.

3. Relationships

Sometimes minor conflict or disagreement can be positive and provide the stimulus for growth and advancement. Prevent negative relationship conflicts with:

• balanced and regular communication with staff

• support provided to staff • proactively resolve friction between staff

in the workplace.

4. Change

When considering preventative measures, be mindful that the following may create workplace stress:

• not communicating business objectives when managing change

• lack of involvement with staff throughout the process

• lack of support mechanisms (particularly where change directly impacts on staff).

5. Role

In an effort to prevent role confusion, be mindful of:

• staff starting a new job with your business

• a newly appointed leader to a group or team

• a change in the structure or work unit • having documented position

descriptions to support every role in your business.

6. Support

A culture that promotes and reinforces staff support can reduce or moderate stress in the workplace. Poor support can develop where:

• equipment given is not suitable to carry out work

• workplace issues are not addressed adequately

• there is a lack of training.

7. Culture

Control of the previous six risk factors contributes to the culture of a workplace. Build a strong and resilient culture through openness and transparency.


MANAGE WORKPLACE STRESS

Leaders play a critical role in implementing early intervention strategies, preventing stress in the workplace, managing workplace stress when it occurs and most importantly providing support to staff once stress has been identified as an issue.

This section covers strategies you can implement once stress is identified and resources you can draw on to assist you in supporting a staff member who may be experiencing workplace stress.

Build a resilient workplace A culture of workplace resilience is built largely upon leadership and therefore the role you play in managing workplace stress is critical.

A resilient workplace will:

• demonstrate a willingness of leaders to discuss work problems

• give priority to the protection of the mental health of staff

• strengthen social connections for staff • ensure appropriate policies, procedures

and practices are in place • have clear management structures and

reporting lines • include commitment from senior

management to provide a safe environment for staff

• have a stress prevention program in place.

Leadership is key in shaping the workplace environment and its culture.

There are many ways to support staff when stress is impacting on either work or home life.

Supportive communication is one of the most effective ways to approach a staff member or colleague who may be suffering from workplace stress. A caring, helpful, non-judgmental professional approach by you as a leader can be effective.

Developing resilience and a culture of wellbeing is the responsibility of you and staff.

Leadership commitment is critical to the success of managing workplace stress.


Know your staff As a leader it is important for you to recognise that all staff have differing needs. One staff member will experience the same situation in a different way from another staff member.

Recognise the signs of stress

You can become a practiced in identifying stress, as many outward signs of stress will frequently be noticeable:

• changes in a mood or behaviour, like irritability or indecisiveness

• deteriorating relationships • changes in work performance like

increased absenteeism or reduced performance.

Communicate with staff

Effective communication can help improve decision-making, problem solving and teamwork. To improve communication, make sure you listen attentively to your staff. Understanding not only the words a staff member is communicating, but also the emotions that the staff member is trying to communicate is vital.

If a member of your staff is agitated, you can help them by listening attentively and remember to:

• share workplace information to reduce uncertainty

• define staff roles and responsibilities in position descriptions

• communicate in a way that is non-threatening, but professional and effective

• act as a positive role model.

Read more about this in the Fact sheet – ‘Strategies to manage workplace stress’.

Consult with staff

To reduce the risk of workplace stress, ensure you provide plenty of consultation with staff:

• give staff opportunities to participate in decisions that impact their job

• seek feedback about scheduling and work priorities

• provide constructive feedback and recognition and reward where appropriate

• be sure workloads are suitable to the resources available

• provide opportunities for career progression.

Encourage a welcoming social climate

Providing an encouraging and friendly social climate can contribute towards keeping stress levels to a minimum and can also be a great leadership approach in times of high stress. Here are some activities to consider:

• establish a zero tolerance policy for harassment and bullying

• provide staff with opportunities for social interaction in the workplace

• develop business ‘behaviours we value’ and as a leader always ‘walk the talk’.

Provide emotional support

Emotional support from leaders and colleagues can have a positive effect and may reduce workplace stress. So make sure you think about the following:

• encourage open communication and support staff to raise concerns about workplace stressors

• promote a team culture in which staff support and assist one another

• encourage staff to have a work life balance, take interest in it whilst of course being respectful of boundaries

• be aware of non-workplace stressors that might exist with staff member(s) and provide flexible work conditions were practicable.


Manage sources of stress

Thinking about the seven primary risk factors that cause workplace stress, here are some practical strategies you can implement to manage stress in your workplace:

1. Demands

• Provide staff with adequate work environment

• Ensure there are achievable demands within their working hours

• Ensure staff skills and abilities are matched to job demands

• Design jobs within staff capabilities • Address concerns about work

environment.

2. Control

• Provide staff with control over their pace of work (where possible)

• Encourage staff to use their skills and initiative

• Support staff to develop new skills to help them undertake new and challenging pieces of work (if possible)

• Provide staff with a say over when breaks can be taken (if possible)

• Consult with staff on work arrangements.

3. Relationships

• Promote positive behaviours to avoid conflict and ensure fairness

• Encourage staff to share information relevant to their work

• Have agreed policies and procedures to prevent, address and/or resolve unacceptable behaviour

• Ensure you have a mechanism to enable and encourage staff to report unacceptable behaviour.

4. Change

• Provide timely information to staff to enable them to understand the reasons for proposed changes

• Ensure consultation is adequate and provides opportunities for staff to influence proposals

• Ensure staff are aware of the probable impact of any changes to their jobs and provide training to support any changes

• Ensure staff are aware of timetables for changes and have access to support during change.

5. Role

• Ensure staff understand their role and responsibilities and their requirements are clear

• Provide systems to enable staff to raise concerns about any uncertainties or conflicts they have in their role and responsibilities.

6. Support

• Implement policies and procedures to adequately support staff and ensure staff know what support is available and how and when to access it

• Provide regular and constructive feedback as well as reward and recognition systems

• Ensure staff know how to access the required resources to do their job.

7. Culture

• Encourage honesty, trust and fairness in your teams

• Develop a set of key behaviours that support your business values

• Implement a zero tolerance policy for bullying and harassment

• Provide opportunities for staff to contribute ideas

• Walk the talk, be honest with yourself and set an example.


Recognise support options available There are a range of options available to assist leaders in recognising, preventing and managing stress in the workplace.

There are also a number of support sources that you can draw upon to help you deal with a staff member who is experiencing workplace stress.

Counsellors

Some staff will feel more comfortable seeking advice and guidance on workplace stress matters from specialists outside the business structure. If this is considered, then clear and open communication is the key to success.

There is help out there to support you in dealing with a staff member who is experiencing workplace stress - where you are genuinely concerned for the wellbeing of a staff member – seek assistance from a mental health provider

Professional assistance (medical)

If staff are experiencing stress in an environment outside of work, it might be beneficial for them to talk with an expert in a medical field.

Depending on the issues, this might involve a doctor or psychologist, or a counsellor from Lifeline or Beyond Blue.

If you feel a staff member is in need of such help, seek assistance as soon as possible (especially if they have indicated they have thought about harming themselves).

Human Resources department and Senior management

For larger business, your HR team or Senior Management can be a great resource. Their role is to provide the optimum working environment for staff. They know your business’s policies better than anyone.

Care for leaders

Dealing with stress in the workplace can be difficult for you as well.

It’s okay to acknowledge this and be mindful of the following:

• be aware of how stress in the workplace could affect you on a personal level

• take note of the signs of stress and resources available as referenced in this guide

• look after yourself!

Business SA

Business SA assists business with tackling the issues faced in today’s competitive business environment. We can provide hands-on assistance to identify workplace challenges at every stage of the business lifecycle.

Employee assistance program (EAP)

EAPs are staff benefit programs offered by businesses, as a way of helping their staff deal with personal problems that might adversely impact their job performance, health, and well-being. EAPs generally include short-term counselling and referral services for staff and their families.

In the supporting documents you will find a list of ‘Helpful Contacts’ if you need to access support for a staff member.


REFERENCES Some of the information in these documents has been derived, sourced and adapted from the following publications:

Cooper, C and Palmer, S, 2000, Conquer Your Stress, Chartered Institute of Personnel & Development; Lazarus, R, 1996, Psychological Stress and the Coping Process, McGraw-Hill; Raymond, C, 2000, ‘Stress the real millennium bug’, Stress News, Vol. 12 No.4, [http://www.isma.org.uk/stressnw/millbug.htm]

Leka, S, Griffiths, A and Cox, T, 2003, Work organisation and stress, World Health Organisation, [www.who.int/occupational_health/publications/en/oehstress.pdf]

Blaug, R, Kenyone, A, Lekhi, R, Stress at Work, 2007, A Report Prepared for the Work Foundation’s Principal Partners, The Work Foundation, [www.theworkfoundation.com/assets/docs/publications/69_stress_at_work.pdf]

Health & Safety Executive, What are the Management Standards for work related stress, [www.hse.gov.uk/stress/standards]

Palmer, S, Cooper, C and Thomas, K, 2001, ‘Model of organisational stress for use within an occupational health education/promotion or wellbeing programme – A short communication’, Health Education Journal, Vol. 60 No.4.

SafeWorkAustralia Media Release, 2013, Mental stress costs Australian businesses more than $10 billion per year, 8 April 2013.

SafeWork Australia, Work-Related Mental Disorders Profile, 2015 [www.safeworkaustralia.gov.au/sites/SWA/about/Publications/Pages/work-related-mental-disorders-profile-2015]

Worksafe Victoria, 2007, A handbook for workplaces – Stresswise – preventing work-related stress – a guide for employers in the public sector, [www.worksafe.vic.gov.au/forms-and-publications/forms-and-publications/stresswise-preventing-work-related-stress-a-guide-for-employers-in-the-public-sector]

WorkSafe Victoria, 2016, A guidebook for employers- Preventing and managing work-related stress, [www.worksafe.vic.gov.au/forms-and-publications/forms-and-publications/preventing-and-managing-work-related-stress-a-guidebook-for-employers]

SafeWorkSA, 2001, Fact Sheet 012-2011, [www.safework.sa.gov.au/uploaded_files/012-2011_Offences.pdf]

Attorney General’s Department, Return to Work Act 2014 and Work Health Safety Act 2012, [www.legislation.sa.gov.au/LZ/C/A/Return%20to%20Work%20Act%202014.aspx]

Deakin University Australia, 2014, Managers Role in the risk management of workplace stress, [www.deakin.edu.au/life-at-deakin/health-wellbeing-safety/occupational-health-and-safety/health-and-wellbeing/work-related-stress/managers-role-in-the-risk-management-of-workplace-stress]


ACKNOWLEDGEMENTS Business SA acknowledges the advice and contributions provided by the RTWSA Steering Committee, other individuals and organisations who provided valuable input and time during the development of this Practical Guide, Fact Sheets and Supporting Documents.