The Rising Pressure on C-Suite Executives to Embrace Human Sustainability

A recent report by Deloitte and Workplace Intelligence reveals that a significant majority of C-suite executives, including about 80% of CEOs, feel pressured by employees, customers, investors, partners, and board members to make public commitments towards enhancing human sustainability.

Leaders appear to be responding positively to this pressure. A survey conducted in February and March found that nearly 90% of executives expressed a desire to link their compensation to human sustainability metrics. Additionally, 71% believe that leadership should change if progress is not made in this area.

However, there is a notable gap in perception between executives and workers. While 82% of executives believe their companies are making strides in human sustainability, only 56% of employees agree. Deloitte highlighted that many leaders do not recognize that for most surveyed employees, work is viewed more negatively than positively.

The survey, which included 3,150 employees, managers, and C-level executives from the U.S., U.K., Canada, and Australia, suggests that a stronger commitment to human sustainability could benefit both employees and organizations. Around 70% of workers indicated that increased efforts in this area would improve their overall work experience, engagement, job satisfaction, productivity, performance, long-term commitment to the company, and trust in leadership.

Despite these potential benefits, the research found a disconnect between leaders’ perceptions and employees’ realities regarding workforce well-being—a crucial aspect of human sustainability. Only about one-third of workers reported improvements in their physical (34%), mental (32%), financial (35%), and social (31%) well-being over the past year. In contrast, more than 70% of executives believed these well-being aspects had improved.

Other studies also highlight organizational concern for employee well-being. According to The Conference Board’s 1Q 2024 CHRO Confidence Index, most Chief Human Resources Officers (CHROs) acknowledge that businesses bear at least some responsibility for employee well-being. Nearly half of the respondents indicated plans to introduce new well-being benefits in response to declining engagement levels.

This investment is crucial, as low productivity and disengagement are indicators of persistent burnout. A recent report from Eagle Hill Consulting notes that burnout remains high and suggests that employers might be at an impasse in reducing it. Solutions include incorporating employee feedback, particularly around increasing flexibility and reducing workloads.

An April report by The Grossman Group and The Harris Poll underscores the critical role managers play in addressing burnout. However, involvement is required from leaders at all levels. The focus on well-being must be deliberate and strategic, ensuring that the commitment to improving workforce well-being permeates from top management down through the entire organization.

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