Workforce

Work in Transition: Navigating Retention and Workplace Safety

Key Findings

Globally, 72% of carriers believe that labor market shortages have impacted organizational ability to grow and manage claims efficiently.
61% of North American carriers identify flexible work arrangements as crucial to employee retention.
Notably, investment in training and development has decreased by 23-percentage points since last year.

Addressing labor shortages through growth and employee retention

Labor shortages continue to create ripple effects across industries globally, with healthcare facing particularly acute challenges. Increased workloads and exposure to occupational hazards contribute to a global trend of labor shortages, with 72% of carriers reporting a moderate to significant impact on their organizational ability to grow and manage claims efficiently. In North America, 66% of carriers express similar concerns.

Today’s workforce values more holistic support, prioritizing culture, well-being, and growth opportunities over salary alone. Reflecting this, in North America, carriers have adapted their employment retention strategies with an increased focus in the wider remuneration and lifestyle package — incorporating benefits and personalized choices — as opposed to primarily relying on competitive salaries as the key to keeping staff. This shift in focus also correlates with a notable 23-percentage point decrease in investment in training and development.

Globally, 60% of respondents say that enhanced employee benefits are their top strategy for attracting and retaining skilled talent. In North America, however, the leading strategy (according to 61% of carriers) is offering flexible work arrangements, reflecting employees’ desire for healthy work-life balance. This shift underscores a growing need for organizations to focus on employee centricity and to enhance the overall work experience.

The impact of workplace violence on employee well-being

The psychological and physical toll of workplace violence is a growing concern in North America, especially in sectors such as healthcare. A 2023 survey of practicing physicians in the U.S. found that violence was more prevalent in urban and suburban centers, with 96.1% reporting verbal abuse or insults and over half facing discrimination or sexual harassment in their workplace.^[¹^] More than half of nurses (53%) in Minnesota hospitals considered leaving their job entirely due to workplace violence.^[²^] These issues can have lasting impacts on employees’ mental health and lead to a negative workplace culture, lowering morale and productivity.

However, the current workforce is more mindful of the serious implications of workplace violence. Nearly all U.S. employees (97%) believe it is important to feel safe at work, regardless of whether

they work from home, in the office, or hybrid. Additionally, 79% of all employees place extreme importance on physical safety.^[³^] This underscores the importance of employees’ welfare for organizations and fostering a culture where safety and well-being are prioritized.

Long-term solutions for workforce safety and operational efficiency

Addressing labor shortages and workplace violence requires a proactive and multi-faceted approach to foster resilience in the evolving workforce landscape. Carriers are increasingly exploring tailored strategies that integrate safety measures with operational efficiency to protect employee well-being and mitigate risks. From workplace modifications to the adoption of innovative safety technologies, these initiatives can help enhance workplace safety, reduce liability risks, and promote a culture of well-being.

In addition to immediate safety measures, many carriers are exploring longer-term approaches to balance employee health with operational efficiency. Data-driven insights, collaborative planning, and tailored risk management frameworks are becoming central to navigating these evolving conditions while maintaining claims management efficiency and underwriting performance.

^{[1] Charles, Shamard. “}^{Unsafe haven: The rise of violence against physicians in the workplace}^{”, MDLinx, 27 Apr 2023.}
^{[2] “}^{VIOLENCE Due to Unsafe Staffing Drives Nurses from the Bedside}^{”, Minnesota Nurses Association, PDF file, 14 Mar 2024.}
^{[3] “}^{The State of Employee Safety in 2024}^{”, AlertMedia, 2024.}