Mind, Body, and Wallet® 2023

Guardian’s 12th Annual Workplace Benefits Study shows the lowest level of overall well-being among Americans since the inception of this study. The report examines how workers feel about their mental, physical, and financial health, the factors contributing to it, and some insights into what workplace well-being initiatives could help organizations prepare for the future, whatever it may bring.

Americans’ mental health is substantially lower than it's been in several years

A third of workers (33%) say they’ve experienced increased anxiety, depression, stress, or other mental health challenges in the past two years. About the same percentage — only 30% — rate themselves as very good or excellent at taking care of their mental health, and 31% say they maintain more control over their work/life balance. 

In addition, the percentage of workers who believe their employer cares about their well-being (38%) has declined. This is concerning because being a part of an organization that cares for its workforce’s long-term wellness and growth not only provides workers with a greater sense of purpose, but also encourages employee retention and boosts productivity.

Physical health has room to improve

Physical health and mental health are interconnected. For example, being diagnosed with a serious illness can take a toll on mental health, while having depression can lessen the desire to keep up with healthy habits like exercising. Therefore, it’s not surprising that 50% of workers who self-report low mental health also rate their physical health low, compared to just 5% of workers who have high mental health.

Financial stress is at an all-time high

Of all three pillars of well-being, financial health has the greatest impact on overall well-being. American workers are in an increasingly difficult financial position in 2023.

Fifty-five percent of workers faced financial challenges over the past year, a substantial increase from 2021 when only 37% felt financial stress.

Financial stress is a major concern, especially considering that 4 in 10 workers are living paycheck to paycheck, and only 3 in 10 rate themselves as very good at managing their personal finances. Nearly half say they’d face financial hardship without their benefits.

Unfortunately, low financial wellness has an outsized impact on other aspects of well-being. For this reason, looking for ways workers can boost their financial confidence would be beneficial, and employers are eager to help. Eighty percent of employers say improving their workers’ financial security is very or extremely important, and they could accomplish this by offering more financial wellness benefits and encouraging workers to take advantage of the benefits they have, which are often underutilized. For example,6 in 10 Gen Z workers don’t have a retirement savings account. They could also offer meetings with financial professionals, as only 3 in 10 employees meet with one outside of work.

Women, especially those who are caregivers or single parents, report lower overall well-being

Women report lower well-being than men across all pillars, especially emotional health.

This is partially due to the fact that women are overrepresented among single parents and caregivers (someone who provides ongoing care for an ill or disabled parent, spouse, or child). Since single parents and caregivers of all genders have relatively low well-being scores based on Guardian’s Workforce Well-Being Index™, it’s no surprise more full-time working women than men report higher levels of physical, mental, and financial stress.

In fact, women are 13% more likely than men to be concerned about needing to take time off work in order to care for a loved one and are 18% more likely to have reported anxiety in the last two years.

Flexibility is tied to higher well-being

A majority of employees who can work remotely also enjoy high self-reported mental health.

The everyday challenges of management may be one of the reasons why managers are requiring a return to in-office work. More than 1 in 5 employers anticipate that a hybrid workforce will be their top business challenge for managers this year.

The move to return to more traditional work norms must be driven by empathy and flexibility to maintain a positive work environment, promote mental health, and retain talent.

Channeling fear and uncertainty into proactive preparation

Americans workers' overall well-being is dramatically lower than in past years. Contributing to this malaise is not only the current state of the economy, but the lack of control workers feel as a result. The key to starting to reverse these negative well-being trends lies in empowering workers to take steps that strengthen their physical, mental, and financial health so they are better prepared and, therefore, physically, mentally, and financially stronger. This should occur on both the employer and individual levels. Download the report to learn more.