Learning & Development

Top HR Trends That Will Shape Organizational Growth in 2023

The pandemic, and the cavalcade of stress and distress that came with it, has touched virtually every organization. Employee mental health consequences from the pandemic and economic uncertainty will continue, and managing through recession and downturn adds a new element to the fallout. These factors combined means employee mental health challenges will continue well into 2023.

“While we may have turned the corner on the pandemic, we’re not tapering off in terms of employee mental health issues,” says Andrew Shatte’, PhD, Chief Knowledge Officer and Cofounder of meQ. “With typical adversity, when the adversity ends, so does the psychological fallout. However, the mental health fallout from the pandemic has not abated and we will continue to see a loss of motivation, burnout, clinical depression, and clinical anxiety in 2023. This ‘long tail’ makes sense when we conceptualize the events of the last 2+ years as ‘traumatic.’”

We identified these top HR trends that will shape employee well-being and organizational growth in 2023:

1. The Long Tail of the Pandemic: The Burnout Epidemic Persists, and Workforce Well-Being Will Continue to Suffer

Threats to employee well-being continue to intensify, with 60% of the global workforce reporting at least one mental health challenge, including symptoms of anxiety, depression, distress, or burnout, according to new McKinsey research.

“The demands that are being put on people show no signs of slowing in the new year, as the long tail of recent trauma persists,” Shatte’ adds. “From changes related to the pandemic to shortages of front-line employees and changing work environments – the problem of feeling overworked and, of course, feeling burnt out and stressed out, is increasing.”

2. HR Leaders Will Recognize That Mental Health Is Health

Globally, burnout, anxiety, and depression are at higher rates than ever before. In 2023, we’ll see employee well-being become even more central, with a sharp focus on building mental well-being. HR leaders are recognizing that mental health is health. This means HR departments will be creating more well-being programs that focus on not only physical health but also mental strength.

“Uncertainty and change are new norms that are not going away; they are also the top human stressors,” notes Alanna Fincke, SVP of Content and Head of Learning at meQ. “Supporting people by giving them the resources and tools to handle what comes their way will be central to 2023, with a focus on organizational-level programs that support stress management, self-care, and building mental wellbeing and strength.”

3. Employees Want Help Preparing to Adapt to Change

HR leaders must make it possible for their organizations and people to rise above the trauma of today and deliver a positive, proactive approach to workforce well-being.

“We need to promote self-care for the long haul and boost positivity to reverse the negativity we’ve experienced,” continues Shatte’. “We must build self-efficacy for the future and promote a growth mindset to move through the trauma stronger than when we went in.”

“When we fail to prioritize self-care, we don’t give the body or the brain what it needs to rest and recuperate,” explains Adam Perlman, MD, Chief Medical Officer and Cofounder of meQ. “Ultimately, that tends to lead to both physical and mental distress. Stress can lead to increased risk of conditions like depression, heart disease, and high blood pressure. It is important that employers encourage employees to rest, recharge and take their vacation days and communicate the available resources to support both mental and physical wellbeing.”

4. Population Behavioral Health Risk Analytics Will Be Key to HR’s Success in 2023

HR population analytics will continue to grow as a tool for forward-thinking organizations to identify workforce patterns and risks and then take action to address burnout risk, stress, and turnover intent in real time.

“Predictive workforce behavioral health population analytics is going to be increasingly essential to successfully operate and grow in uncertain times,” said Brad Smith, PhD, Chief Science Officer at meQ. “This knowledge will enable HR to identify workforce risks and remedial actions as part of an integrated proactive C-suite response to disruption.”

Employee mental health fallout from the pandemic and economic uncertainty will continue, and in order to achieve organizational growth, businesses will look for ways to ensure their people are as engaged, empowered, and aligned as possible.

Skills that support growth-oriented thinking and build trust and engagement—empathy, positivity, and well-being—will be the new must-haves. The game is changing; people want different things from work, and this is encouraging businesses to look very carefully at their benefits. Employers must go way beyond health protection and prevention and move toward helping their employees be prepared to adapt and rise to the changes and challenges in the new paradigm of work.

Jan Bruce is a disruptor, an entrepreneur, and a force for growth. Recognizing the science of resilience as the new essential for human and organizational capability, Bruce cofounded meQuilibrium (meQ), a digital platform to deliver resilience at scale to workforces globally.

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