#HR Trends and Insights

How A Strong Sense of Community Makes Companies Thrive

November 01, 2023

Promoting a Sense of Community in the Modern Workplace

The workplace landscape has undergone a seismic shift in recent times. The way we connect, collaborate, and thrive professionally has changed and as we emerge from this challenging period, the importance of cultivating a sense of community in the workplace has become clearer than ever.

Studies have shown that isolation and loneliness in the workplace lead to lower employee performance, less cohesiveness, and employee burnout, which leads to high turnover, and a self-perpetuating cycle of people feeling as though they have no sense of community with their co-workers.

The Cost of Loneliness

The economic impact of workplace loneliness is far-reaching and staggering.

Aside from the well-reported effects on personal health, feelings of isolation at work have negative effects, as well.

In a survey conducted by the Harvard Business Review, lonelier workers reported:

  • Lower job satisfaction.
  • Fewer promotions.
  • More frequent job switching.
  • A higher likelihood of quitting their current job in the next 6 months.

When workers have their eyes on the exit, the company suffers.

A group of disengaged employees have little motivation to bring creativity and enthusiasm to their work.

Wages alone cannot offset this lack of motivation, either; the same survey showed that workers making $80,000 a year only showed about a 10% improvement in loneliness and social support over their counterparts making half that much.

Loneliness’ effect on personal health can lead to more employee absences, which in turn burdens the present staff, which can lead to faster burnout and higher turnover.

Voluntary staff turnover can end up costing companies millions of dollars, as it continues to add stress to the remaining staff while spending additional energy filling vacant roles.

The culmination of absences, lower productivity, and higher turnover is estimated to cost employers billions of dollars annually. The upshot to this, however, is that there are a great number of options and opportunities to eliminate unnecessary isolation and promote a sense of belonging.

The Benefits of a Workplace Community

A strong sense of community in the workplace has far-reaching benefits that extend beyond mere job satisfaction.

Here’s why it’s a critical factor:

1. Employee Well-being

A sense of belonging and connection is essential for employee well-being. When employees feel like they are part of a community, it reduces feelings of isolation, stress, and anxiety. It also bolsters mental health and contributes to overall happiness.

2. Employee Engagement

Engaged employees are more likely to be productive, innovative, and loyal to their organization. Building a sense of community at work leads to higher engagement levels as employees feel motivated to contribute to the success of their workplace.

3. Reduced Burnout

Burnout, a significant concern in today’s fast-paced work environments, is often linked to a lack of support and connection. A strong workplace community provides emotional and professional support, reducing the risk of burnout.

4. Employee Retention

High turnover rates can be costly and disruptive. Employees who feel connected to their colleagues and organizations are more likely to stay. A strong sense of community can help retain talent.

Strategies to Cultivate Workplace Community

Building a community in the workplace is an ongoing process, but it’s well worth the effort.

Here are different strategies to help you foster a strong sense of community among your employees:

1. Create Shared Memories

Shared positive experiences and accomplishments have a lasting effect on workplace morale, as the memories of those experiences can counteract anxiety and loneliness.

Birthday dinners, retreats, workshops, or celebrations—and the happy memories these generate—have been shown to encourage people to act more generously toward one another.

Happy memories contribute to a sense of belonging among team members in their workplace communities.

2. Encourage Open Communication

Promote a workplace culture that welcomes open and transparent communication. Create opportunities for honest feedback, suggestion boxes, or regular check-ins.

When employees feel like their voices are heard, they are more likely to invest in building a shared sense of community at work.

3. Employee-Led Initiatives

Empower employees to take the lead in organizing events or initiatives that bring their colleagues together. Employee resource groups (ERGs) are employee-led activities that bring people together based on similar interests or characteristics like gender, ethnicity, or religious affiliation.

Employee resource groups often resonate more deeply and create a stronger sense of ownership by those leading or participating. By offering an opportunity to lead or teach, people can be made to feel valued beyond their job title. This also offers a venue for people to share what they’re passionate about with their workplace communities.

4. Lead by Example

Leaders and managers play a crucial role in setting the tone for the workplace community. Lead by example, demonstrating the values of collaboration, respect, and empathy.

When leaders prioritize community, it sends a powerful message throughout the organization.

How Can Edenred Help

Nurturing a sense of community in the workplace is more critical than ever. Employee well-being, engagement, and collaboration all depend on the strength of workplace relationships.

Whether your team is working in person, remotely, or in a hybrid model, the benefits of investing in community-building efforts are profound. Building a strong workplace community is an ongoing process that requires dedication, but the rewards in terms of employee satisfaction, productivity, and innovation are well worth the effort.

Remember, a strong workplace community isn’t just a luxury; it’s a necessity for success in the modern work environment.

Enhancing your employee benefits package can help excite your workplace. Schedule a meeting with us today so you can learn everything you need to know about programs and service.

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