Research shows there has been a substantial 25% drop in the number of people who feel they can be themselves at work. And Reward Gateway | Edenred’s HR Priority Research Report reveals only under half of employees were not afraid to take risks or make mistakes.

Why psychological safety is important

Psychological safety is considered one of the most crucial factors in fostering a healthy and collaborative workplace culture where legal rights and individuality are recognised as a business priority.

When employees work in a psychologically safe workplace, they are positively recognised for their contributions, making them more confident to collaborate and create with one another.

No specific racial groups or those in positions of seniority should freely enjoy psychological safety at work more than others do.

There must be a culture of recognition and respect for all employees. Without this cultural foundation, minor incidents of belittling, embarrassment, and dismissal can go unnoticed, especially when new hires are brought into positions of power.

But there are other reasons why businesses must make it a priority.

#1 It’s a legal requirement

Behaviour that creates a psychologically unsafe environment like sexual harassment, racial discrimination, intimidation, and physical violence is unacceptable.

It also breaks several important laws like the Equality Act 2010 and the Health and Safety at Work Act 1974.

#2 It’s the right thing to do

Any business that operates with integrity and respect for all people will not stand complicit in the knowledge that its employees, or a portion of them, feel unsafe, taken advantage of, or disrespected.

#3 It prevents employee turnover

Fifty-seven percent of employees who left their jobs reported that they were doing so because they felt disrespected at work, while more recently managers have seen a surge in ‘revenge quitting’.

When employees feel valued and recognised for the individuality of their contribution at work, they’re more likely to stay.

#4 It fosters creativity and collaboration

When ideas are dismissed, employees are less willing to contribute and creativity and productivity wane. Recognition of all employees and their ideas or opinions is the best way to foster creativity through respectful discussion.

Characteristics of a psychologically unsafe workplace

In a psychologically unsafe workplace, employees feel unrecognised and anxious, unsure where to seek support. A lack of recognition fuels feelings of insecurity, making it difficult for employees to be their true selves or engage confidently at work.

When past mistakes, presenting ideas, or speaking up result in embarrassment or adverse repercussions, this is indicative of a psychologically unsafe workplace. Employees may even be afraid to use their entitled leave days or take time off for medical appointments, including maternity care.

Reward Gateway | Edenred’s research reveals a discrepancy between perceived psychological safety at work. Fifty-one percent of HR professionals believe employees feel safe confiding in them but only 42% of employees feel this way.

How to build psychological safety at work

#1 Listen to employees

Listening to your employees encourages productivity, diligence and hard work – especially when coupled with recognition. Creating opportunities for employees to contribute during meetings or creative collaborations will promote psychological safety and job satisfaction.

#2 Balance recognition with constructive criticism

Balanced use of constructive criticism adds greater authenticity to recognition when it is earned, fostering a workplace that values creativity and collaboration amongst all employees.

In a supportive workplace, constructive criticism from colleagues and managers guides professional growth, building well-rounded employees. Leaders must share feedback with mutual respect, and in the best interests of both the individual and the team.

#3 Encourage work-life balance

When businesses reward employees for working excessive hours, others will feel obliged to follow suit, creating unhealthy workplace habits. But work-life balance is more important than pay for employees across 35 different countries.

It is also true that a quarter of employees say work negatively impacts physical and mental health. Openly encouraging employees to take time off to attend health appointments without fear of judgment is crucial.

#4 Invest in individual growth

Investing in your employees’ growth, tells them they matter to the business and breeds confidence to contribute and engage meaningfully in the workplace. This can include competitive pay, educational opportunities, or leadership training.

When done right, it also enhancing employee retention, boosts morale, and develops professional skills.

#5 Support creativity

When there is a culture of hard lines and rules in a workplace, it can intimidate employees into feeling unable or less willing to step outside of the boundaries of a project to offer unique solutions. This creates a tense working environment and leads to an unmotivated workforce.

Employees need to know they have the freedom to make mistakes, articulate opinions and give feedback. Building this psychological safety net helps make a stronger, more creative community.

#6 Lead with honesty and vulnerability

Leaders and their leadership style have a unique opportunity to create a psychological safety at work.

Those who lead with honesty, respect, and vulnerability will build a team that is motivated and engaged. This naturally encompasses recognition, engaging with employees in a way that encourages them to bring their whole selves to work.

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