A recent case of a tragic death of Anna Sebastian Perayil, the 26-year old chartered accountant, working for Ernst and Young Pune due to excessive work pressure highlights the prevailing toxic work culture of the techno-corporate world.
- Also, Employees of SEBI in a letter to the finance ministry titled “Grievances of SEBI officers – A call for Respect,” has highlighted unprofessional behaviour and toxic work environment on part of the top management.
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Work Culture
- Work culture is a holistic overview of stakeholders participation in an organisation gauged through leadership practices, employee behavior, workplace amenities, and organizational policies making up a healthy work environment .
- Healthy workplace cultures align employee behaviors and company policies with the overall goals of the company, while also considering the well-being of individuals
- Importance of Positive Work Culture:
- Better Hiring Choices: Healthy work cultures have like-minded professionals who are compatible with each other and work together toward shared goals.
- Employee Happiness: A workplace culture which recognises and appreciates its employees will help them find meaning and pride in their work
- Employee Retention: Good work cultures provide stability for talented employees and allow them to grow within a company
- Performance Quality: The work atmosphere is a great motivator that encourages everyone to invest in their work
- Reputation: An enjoyable workplace environment is an important asset for attracting talented people
- Difference Between Work Cultures in Private and Public Sector
| Features |
Private Work Place |
Public Work Place |
| Purpose and Goals: |
Purpose is to generate profits for their shareholders or owners. |
Main aim is to serve the public interest and provide essential services to the citizens. |
| Hierarchy and Bureaucracy |
They are more agile and have flatter organizational structures with quick decision-making and greater emphasis on innovation and efficiency. |
The management is layered, hierarchical and bureaucratic structure with more focus on the need to adhere to rules and regulations. |
| Compensation and Incentives |
It is more variable and performance-based. Employees may receive bonuses, stock options, and other incentives |
It is determined by pay scales and can be more standardized. |
| Work-Life Balance: |
They usually demand longer working hours and strict leave policy thus have a less predictable work-life balance |
It may offer more predictable work hours and better work-life balance, with regular working hours and generous leave policies. |
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About Toxic Work Culture
- A toxic working environment can be defined as negative attitudes, behaviour and practices that undermine an employee’s overall wellbeing (mental and physical), job satisfaction, and productivity of the company.
- Work Culture In India:
- Overworked Workforce: As per an International Labour Organisation Report, India has the most overworked workforce in Asia, with 50.5% of employees working over 49 hours weekly in 2023.
- India’s Best Workplaces in Health and Wellness 2023 Report:
- Workplace wellness scores have declined across industries in 2023 with a significant drop in mental health support, professional growth and development, and effective management and engagement.
- Higher Rank: Construction, infrastructure and real estate industry and retail leads
- Low Ranked Industries: NGOs, education and training, and professional services have the lowest ratings.
- Attributes of Toxic Work Culture:
- Non Inclusiveness: Inequities manifested by discriminating against LGBTQ, Diasabled, Caste, Religion, Gender, Age, Favouritism and Nepotism etc.
- Unethical Work Culture: Promoting Unethical conducts, Dishonesty, and Lack of regulatory compliance
- Cutthroat Competition: Backstabbing behaviour and office Politics fomented by ruthless competition
- No Recognition or Appreciation: Employees need to be valued and appreciated for their work and progress, a lack of which will result in the low level of productivity of both the company and employee.
- High Turnover Rates: A revolving door of employees due to microaggressions and workplace politics etc. can cause absenteeism and higher turnover rates.
- Corporate Donkeys: Indians corporate employees are considered as corporate donkeys because of the glorified ‘overwork-underpaid’ culture it imbibes.
- No Work-Life Balance: A culture which discourage taking breaks or personal days and solely focuses on work can lead to burnout and exhaustion.
- Example: Narayan Murthy asking youngsters to work 70 hours a week.
- Culture of Blame: When employees are afraid of making mistakes, they become risk-averse and may miss opportunities for innovation and growth.
- Micromanagement: When management doesn’t trust its employees to do their jobs it hinders their creative drive leading to Job alienation.
- Discrimination and Harassment: Discriminatory behavior like gender bias, caste bias, verbal abuse, intimidation, or discrimination, is tolerated or ignored can lead to feelings of isolation, depression, and anxiety.
- Unrealistic Expectations:Setting up unattainable goals or deadlines and promoting toxic positivity, dismissing valid concerns can create a stressful and unproductive work environment.
- Example: SEBI employees complaining about unrealistic work deadlines and targets.
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Impacts
- A Toxic Work environment results in workplace ‘illnesses’ and as per the McKinsey Health Institute report published in 2022, more than 60 percent of negative workplace outcomes are due to toxic workplaces,
- Physical Health:
- Headaches, fatigue, and physical discomfort
- Sleep disturbances and insomnia
- Burnout: It affects over 62% of Indian employees (three times the global average) as per ILO report.
- Unhealthy coping mechanisms, such as substance use
- Mental Health:
- Increased stress levels and heightened anxiety, depression.
- A pervasive sense of negativity, cynicism, and low morale
- Lack of enthusiasm and lower productivity
- Suicides: As per the National Crime Records Bureau data, suicides linked to professional stress in the age group of 18-30 accounted for 38.5% of the total cases in 2022
- For Organisation:
- Higher absenteeism and turnover rates impacting Productivity
- Damage to the organization’s reputation as well as good will of company.
- On Social Behaviour:
- Frequent conflicts and disputes among colleagues
- Decreased collaboration and strained interpersonal relationships
- Isolation or withdrawal from team activities
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Examples of positive work culture
- upGrad: upGrad has recently offered ESOPS/Employee stock ownership to its employees. They also provide benefits for upskilling and support their employees personal and career development.
- Tata Consultancy Service: Its ‘Engagement with Purpose’, a 360-degree programme across different areas- health and wellbeing, lifelong learning, career building, serving communities and social collaboration.
- Zappos: They have a bi-weekly meeting across all departments called Voice of Employee and they make the new hires be a part of the Customer Loyalty Team where they get to answer customer calls.
- Google: Google has a flat hierarchical structure and an open communication policy that enforces ownership and transparency.
- Nike: Programs like Bias to Breakthrough (for turning barriers into creativity) and NCourage (cultural awareness and community building) helps in streamlining and development.
- Chevron: It focus on employee wellness and safety through perks such as on-site fitness facilities, massages, personal training and a culture where regular breaks and vacations are encouraged.
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Challenges of Work Place Culture
- Resistance to Change: Every organisation has its ethos and working style which is the norm but these unspoken rules could also impede innovation, creativity, hindering the ability to bring forth innovative and breakthrough ideas while devaluing team members.
- Rigid Hierarchies: communication breakdowns due to rigid hierarchies in an organization exist because organizations lack a cultural structure of trust and open lines of communication
- Remote Work Culture: The Trend of Remote work can bring challenges like isolation, communication difficulties, and trust-building and lack of interpersonal relationship between the employees affecting their mental heath.
- Diversity and Inclusion: Challenges with diversity and inclusion can lead to biases, inequity, and exclusion
- High Turnover Rates: A high Attrition Rates for a company is a matter of accolade whereas if the company has a higher turnover rates its risk credibility and trust in the market.
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Components of Healthy Work Environment
- Promote Open Communication: Workplaces need to ensure open and transparent communication by instituting regular feedback mechanisms and constructive concern-sharing sessions.
Work-life Balance: A healthy work-life balance can be ensured by offering flexible work hours, remote work options, paid time off and overtime, 5 day work week, mandatory ‘no meeting’ days etc. should be introduced.- Lead by Example: Leadership sets the tone for the workplace culture and It is important to cultivate loyalty and trust in one’s team by setting an example of positive behaviour and placing high value on employee development.
- Establish Clear Policies and Code of Conduct: A well-defined and informed code of conduct like policies against bullying, harassment and discrimination and workplace Politics will provides a framework for addressing inappropriate conduct.
- Employee Well-Being at Workplace: A healthy work environment comprising a physically safe and comfortable workspace, with opportunities for breaks and movement throughout the day and also access to mental health resources like Employee Assistance Programs (EAPs) or mental health days is essential to address stress and burnout
- Promote Interpersonal Trust: Companies must organise team-building activities or social events to foster camaraderie and a sense of belonging among employees.
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New Trends In Work Place Culture
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- Hybrid Workplace: Workplaces around the world have adapted to the hybrid nature office after the COVID 19 as now work from home and office is a common feature
- AI Reshaping Work: AI will lead jobs to be redesigned to include new responsibilities, such as interacting with GenAI tools and help employers minimise time to proficiency with advanced technologies and specialisations.
- Decreasing Workweeks: More people are now demanding a reduction in the work week, which has already moved from a 6 day work week to 5 days. A 4 day work week in the future which is now regarded radical will be a routine no longer.
- Skilled Through Alternative Routes (STARs): Major companies, including Google, Accenture etc have already removed many of their degree requirements from job postings to attract qualified talent without degree.
Way Forward
- Acknowledge Employee Feedback: Companies should work on swift, thorough, and compassionate responses to employee grievances taking all the reports of employee feedback seriously.
- Preventative Measures: Implement policies and programs to prevent future toxicity, such as anti-bullying training and clear communication channel
- Corrective Actions: Identify the source of the toxicity and take appropriate corrective action involving disciplinary measures, conflict resolution, or cultural training.
- Framework for Well Being: An engagement of all the stakeholders including legislators, businesses, labour organisations, and mental health advocates should create a comprehensive framework promoting worker well-being.
- It includes revising labour laws to reflect modern realities, such as remote work, and establishing stricter penalties for companies that violate these regulations.
- Cultural Shift: The glorification of overwork by leaders in corporate India has set a benchmark that equates long hours with success which needs to be challenged and instead focus on the companies respecting the employees personal time.
- Stop Victim Blaming: The prevalent discourse that work stress is the responsibility of the employee and any mishap is not the organisation concern needs to be changed for a better conversation of the issue
- Example: Trivializing Anna’s Sebastian death as lack of inner strength is a concerning discourse.
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Constitution on Healthy Work Environment
- The Constitution of India lays down the Directive Principles of State Policy and sets objectives to achieve for healthy work environment,
- Article 43: Workers have the right to a living wage and working conditions that ensure a decent standard of living.
- Article 42: Just and humane conditions of work and maternity relief are provided
- Article 43-A: Government shall take steps, to secure the participation of employee in the management of undertakings, establishments or other organisations engaged in any industry.
- Fundamental Right: Right to Work and Healthy Working Environment is a Fundamental Right under Article 21
- The Occupational Safety, Health and Working Conditions Code, 2019:
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- Coverage: The Code applies to establishments employing at least 10 workers.
- Working Hours: Work hours for different classes of establishment and employees will be notified by the central or state government.
- Overtime Work: The workers must be paid twice the rate of daily wages and prior consent of workers is required for overtime work.
- Female workers may work past 7 pm and before 6 am with their consent, and if approved by the government.
- Leave: Workers cannot be required to work for more than six days a week and should receive one day of leave for every 20 days of work per year.
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September 27, 2024
