20 July 2017 | Herpreet Kaur Grewal
Developers and landlords must design and build workplaces that are geared towards employee well-being and flexible working or they risk losing out commercially in the long term, says a report by real estate firm Cushman and Wakefield.
Researchers say evidence from a range of sources points to "the return on investment (ROI) available to investors and tenants from differentiation, value creation and risk management" that a workplace geared towards well-being would stimulate.
It cites statistics showing that 77 per cent of CEOs globally see accessing and retaining skilled labour as the biggest threat to their businesses.
"Attracting talent is not easy, and losing it is expensive; anywhere from 50 to 200 per cent of a lost employee's salary is spent on recruiting and on-boarding. Some banks are incurring up to US$1 billion annually in costs associated with replacing employees," it states.
The report adds: "We must now encourage the concept of a broader perspective focused on the total value of the investment and where a workplace culture of work-health balance is the norm. It can be easy to get distracted by negative noise and spin.
"We cite disregard as one of the key risks. And so we end with our final call to action: ignore the critics who say the evidence isn't scientific enough and look to impose a standard of evidence not required for other workplace investment.
"Bodies of evidence from all parts of the globe prove that well-designed workplaces are critical for the health and well-being of society. The message to the real estate and built environment sector is clear: prioritise health and well-being by making spaces human again."