Worries over potential job loss can negatively impact employee's physical and mental health
Many small business owners recognize that keeping employees happy and productive is one of the primary challenges of running a small business. This became even more difficult during a recession, when layoffs increased and business owners had to cut back on benefits and compensation.
Yet new research suggests that creating a limited stress, supporting work environment may mean more than just employee morale - it may make a substantial difference in workers' health.
A recent study from the University of Michigan found that worrying about losing one's job - a concern that has become more common during a recession - can have significant impacts on the mental, emotional and even physical health of employees.
"As increased 'flexibility' in the labor market leaves increasing numbers of workers at all levels of the occupational hierarchy with concerns about the future of their positions, job insecurity will only grow as a potentially potent risk to population health," said the report.
This can be a particularly important concern for small business owners, as unhealthy employees pose a risk to productivity, morale and even retention levels, all of which are crucial during times when profit margins are tight.
Combating this insecurity can be as simple as increasing the use of employee evaluations, which have been found to increase worker satisfaction and morale, studies have shown.
