By Nikhil Raj, Director HR, EQ India
There is no denying that India’s Global Capability Centres (GCCs) play a crucial role in multinational companies’ global operations. They also employ a growing workforce that is key to the company’s innovation and efficiency in everything it does. However, the pace of global work systems and the challenges of being cross-cultural and constantly adapting to new and emerging technologies make it important to focus on employee well-being. This focus is not just ethical as it may appear at first glance, but it’s essential for maintaining productivity and staying competitive in the local and international markets.
Recent data highlights the problem. A study by Deloitte found that 69% of Indian professionals feel burned out, which is higher than the global average of around 48 %. This leads to lower engagement, increased absenteeism, and negatively impacting corporate top lines. Additionally, Mercer reports that employee turnover in GCCs can reach 20-25% annually. Evidently, many people are leaving due to stress and poor work-life balance. To tackle these issues, a comprehensive approach that goes beyond providing the traditional plethora of basic incentives is needed. Let’s try to understand some of the things GCCs can do to bolster employee retention through workplace well-being.
First, creating a culture of psychological safety is vital. This means shifting from a high-pressure, performance-driven environment to one that values open communication and empathy. Leaders should encourage an atmosphere where employees feel safe to voice concerns without fear of backlash. Training managers in emotional intelligence and stress management is important as research shows that workplaces perceived as psychologically safe can improve team performance by 17%.
Next, mental health support systems are essential. GCCs should invest in Employee Assistance Programs (EAPs) that provide confidential counselling, stress management workshops, and mental health resources. Modern tools are readily available for this. For example, utilising technology like virtual therapy and mindfulness apps can also help. According to the World Health Organisation, every dollar spent on mental health treatment can yield a $4 return in improved health and productivity.
Promoting work-life integration is another key aspect that is commonly known but rarely implemented. A hybrid work model can offer flexibility, but it’s important to set clear boundaries to prevent work from invading personal time. Things such as flexible work hours, generous leave policies, and encouraging employees to take vacations are crucial. Addressing the “always-on” culture is necessary, as studies show that productivity drops significantly when weekly work hours exceed 50 and even more after 55 hours.
Investing in employee growth and development boosts morale and engagement. Offering opportunities for skill enhancement and cross-functional projects improves capabilities and gives employees a sense of purpose. Mentorship programs and career development plans can further support this growth. A report from LinkedIn Learning indicates that 94% of employees would remain with a company longer if it invested in their development.
Lastly, creating a lively and inclusive workplace is vital. Building a sense of community through social events and diversity initiatives helps foster engagement. Recognising employee achievements, big or small, is also important for morale. Studies by Gallup prove the obvious: employees who receive regular recognition are more productive, engaged, and loyal.
The success of India’s GCCs relies on developing a skilled, efficient, and healthy workforce. By prioritising employee well-being through targeted actions, GCCs can maximise their potential, drive innovation, and gain a sustainable edge in the global market. After all, maintaining the human engine is crucial for optimal performance.