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Writer's pictureCindy Squair

Employee Wellbeing and Performance Management: An Integrated Approach 

Stack of smooth stones symbolizing balance and harmony, set against a backdrop of a powerful waterfall, representing leadership and sustainable growth in business settings.

In South Africa, October is observed as Mental Wellbeing Awareness Month, a period dedicated to raising awareness about mental health issues, promoting wellness, and reducing the stigma associated with mental health challenges. This month provides a crucial opportunity for organisations to focus on integrating mental well-being with performance management practices. 

 

Mental Well-being and Performance: Insights from Research 

The Mental State of the World 2022 report highlights concerning mental health statistics globally, with South Africa scoring 46 out of 100 on the Mental Health Quotient (MHQ), a 3% decline from 2020. The report further notes that 36% of South Africans report emotional distress, an increase of 8% from the previous year. Factors such as the COVID-19 pandemic, economic pressure, and social isolation are key contributors to this decline. 


These findings make Mental Wellbeing Awareness Month an ideal time for organisations to reassess how they support their employees’ mental health while maintaining productivity and engagement. Employers are urged to create policies and environments that actively support mental well-being. 


Traditionally, performance management focused solely on evaluating employee productivity and meeting targets. However, the approach has evolved to recognise that employee well-being is essential to sustaining long-term performance. This shift reflects a broader understanding of how mental health impacts every aspect of work life. 


In recent years, however, there has been a growing recognition that mental well-being is deeply intertwined with performance. Organisations are increasingly moving toward holistic performance management systems that consider both employees' output and well-being. This shift is particularly evident in South Africa, where rising mental health concerns have highlighted the need for workplace strategies that balance performance expectations with support for emotional and psychological health. 


This change requires a paradigm shift from leaders who must now view performance management not just as a tool for evaluating results, but also as an opportunity to support and develop employees in ways that foster both their productivity and their well-being. 

It requires a blend of empathy and accountability


  1. Empathy (Cognitive and Emotional) and Emotional Intelligence (EQ): Leaders need to develop emotional intelligence to connect with employees on a personal level. This means actively listening, showing genuine concern for employees' well-being, and providing emotional support when necessary. Empathy helps create a work environment where employees feel safe to express their challenges, including those related to mental health. 

  2. Creating Psychological Safety: Leaders should cultivate a culture where discussing mental health is not stigmatised. This involves modeling vulnerability by sharing their own challenges and encouraging open communication about mental health in the workplace. 

  3. Adjusting Expectations and Workloads: Performance management must account for mental health, especially in stressful environments. Leaders should manage workloads to prevent burnout and provide accommodations, such as flexible work arrangements, for employees facing mental health challenges. 

  4. Fairness and Transparency: While empathy is essential, leaders must also maintain fairness in how they evaluate performance. Clear communication, transparency in decision-making, and fairness in how mental health conditions are factored into performance reviews are crucial 


The evolution of performance management to include mental well-being is a critical shift for modern organisations. Leaders are now tasked with balancing empathy with accountability, ensuring that employees are both supported and guided toward their goals. This Mental Wellbeing Awareness Month, organisations must recognise that performance and well-being go hand in hand. By fostering a work environment that prioritises mental health, organisations can cultivate a culture of sustainable productivity and genuine employee engagement.  Our next article will hone in on empathy in practice. 

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