Social responsibility, living wages and mental health

The past several months have shown a significant discrepancy in the amount of work employees do vs. the amount they get paid. Honestly, this has not only been an issue in the last several months. In the past two years and even before the pandemic, wages in the Philippines were already a problem. This is an even bigger concern now, with increasing inflation and further recession on the horizon.

To be fair, this isn’t just a problem here in the Philippines. Living wages are a problem in many parts of the world. And it’s especially prevalent in the country now. We’ve always known that minimum wage was barely enough to scrape by, and that was during better economic times. Now, with the rising cost of literally everything – it’s not nearly enough.

Inflation is not going to be solved any time soon. To compensate for low wages and supplement finances, many Filipinos are now taking on more jobs and finding other work they can do to earn a little more. It’s no longer about just expenses for the home, but also about the logistics of daily life. That means the rising cost of transportation, food, and just being out of the house.

And while working itself is not bad, too many Filipinos are giving up time to rest or be at home with their families in favor of additional work or second jobs. Because of this, working hours can easily become as many as 12 to 16 hours a day, as many people struggle to juggle and balance more than one workload.

This may be okay for the short term, but it’s not sustainable and we’ll soon start seeing the negative impact of being overworked and stressed. Burnout, non-productivity, health issues, and more will arise. It’s only inevitable. What’s more, workloads are increasing, but salaries are not following suit. Many Filipinos are expected to work more for the same amount, which is barely enough.

On the flip side, though, most businesses are suffering too. While operations have been in full force for some time, bouncing back from the pandemic was difficult. Some companies survived the pandemic only to fold not long after restrictions were removed due to the rising cost of goods and slow business. It’s happening to many small to medium enterprises, and the cost of doing business for many SMEs has just grown too high.

So how can this problem be solved? There is no simple solution. Things have to be rearranged, and mindsets need to be changed. That’s no easy feat. Businesses that have been so used to merely looking at their bottom line, will need to start understanding their shared social responsibility and adjust accordingly.

After all, social responsibility is an essential part of a company’s DNA. For many years this has been essentially referred to as corporate social responsibility. Many companies took CSR to mean charitable giving and maybe the occasional tree-planting events or beach clean-up. And while these are good starts and definitely worthy endeavors, the definition of social responsibility and CSR has grown and evolved over the last decade.

Organizations now realize that social responsibility can be the backbone of doing good business. And it’s so much more than just donating to a charity of choice now and again. Again, this is still important, and charitable donations aren’t going anywhere, but companies also have to look inwards at their own organization and the communities where they operate. The goal is to positively impact their own people, stakeholders, and partners, as well as the communities where they live and work.

This is possible without impacting the bottom line – or without affecting it too much, at the very least. When organizations invest in their people, they’ll find that employees are much more engaged, happier, and more productive too. If businesses can revisit their wages, workloads, and investment in employee support, they will see a positive and productive change in their workforce.

Again, it’s not all about money too. While a decent living wage that considers the realities of the present economic crisis is ideal, sometimes help can come in the form of support. So many employees feel stressed and burned out, leading to physical and mental problems. Companies should look at providing more mental health support and support in finding ways to earn sustainably. Some companies are now also offering investment plans and classes to employees to help them learn more about making their money work.

All of this is essential to cultivating a positive business environment where workers feel safe – safe enough to share if they need help. Between mental health issues, which are quickly becoming one of the top workplace issues, to other important aspects like upskilling, learning, and development, and more – an organization that invests in its people will see the investment pay off.

It sounds simple, but I know this is a lot easier said than done. Especially right now when things are precarious, and the future still has a tinge of uncertainty. Many businesses are being prudent because there’s no telling how inflation will go, when prices will increase next, and how long the recession will last. Being economical is foremost in everyone’s minds and “selling” (whether it’s goods or services) is still the daily top priority to stay out of the red.

However, if businesses change their outlook to include social responsibility as one of the priority focus areas, they are bound to see a positive impact on their work, people, and, eventually, their bottom line.