IMPACT OF COVID 19 ON EMPLOYEE WELL-BENG AND WORK ENVIRONMENT.

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Running head: IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING 1 Impact of COVID-19 on Work Environment and Employee Wellbeing Student Name Course Institutional Affiliation

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING2 Impact of COVID-19 on the Work Environment and Employee Well-being Introduction The COVID-19 pandemic represents one of the major challenges that industries in different parts of the world have experienced. To a larger extent, the pandemic has had far- reaching effects on people’s normal lives in terms of social practices such as gatherings, greetings, and even hanging out together (Anseel et al., 2020). With the effects transcending to industries and companies, the workplace environment has not been exempted. The Pandemic has disrupted the way businesses operate and has led to a shift in the way employees work. Most importantly, businesses in different industries have been affected differently. For instance, businesses within the hospitality industry were grappled with containment measures for controlling the spread of the COVID-19 virus. On the other hand, businesses that specialize in the manufacture and sale of protective equipment and sanitizers stood to benefit from the opportunities that the pandemic created (Donthu, N., & Gustafsson, 2020). Most importantly, the pandemic led to astronomical job losses, massive lockdown of businesses and industries due to government regulations like social distancing to prevent the spread of infection, high anxiety, pressure, and psychological distress. Even though, many countries in the world have dealt with pandemics before but not on a huge scale. While most countries have disaster preparedness plans, a pandemic like COVID-19 has tested the resilience of economies in the world leading to a disruption in commerce. The virus's fast progression and infection rate mean it will take a long time for a cure to be found. According to the World Health Organization (WHO), the COVID-19 vaccine is being tested in different parts of the world with at least 61 vaccines being placed under clinical trials on humans. Among the 71 vaccines, 17 of them have already reached the final

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING3 stage of testing with nearly 85 preclinical vaccines being investigated (Carnevale, & Hatak, 2020). However, approval and certification of the most appropriate vaccine might take a long time. In the meantime, something has to be done to tackle massive job losses (Anseel et al., 2020). Countries have come up with mitigation strategies like highly effective communication and prolonged monitoring techniques. In addition, they have developed economic stimulus packages that cushion people from massive job loss. This paper delves into the impact of COVID-19 in the work environment and how it affects employee well-being. Statement of Issue The presence of COVID-19 pandemic has adversely affected industries and most specifically businesses. As such, the pandemic has created a phase whereby normal business operations have been grappled. As a result, some of the businesses have closed their operations while others adopt stringent measures including scaling down to accommodate the increasing cost of operations that is tagged along with undesirable effects on the cash flow. To employees the pandemic as exposed them to risks such as being infected by the COVID-19 virus while engaging in their daily routines or even losing their jobs as different businesses and organizations are trying to scale down their operations in order to control the effects of the aforementioned pandemic. It is for this reason that this paper examines the impact of COVID-19 in the work environment as well as how employees are affected. To achieve the objective of exploring the impact of COVID-19 in the work environment as well as how it affects employee wellbeing, the paper will review the literature relating to the virus and its effect on different industries. Further, the paper will look at some of the containment measures directed towards controlling the spread of the virus. The paper will analyze insights from the reviewed literature and discuss how the COVID-19 issue in the work environment can be addressed.

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IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING4 Critical Review of Research According to the Centers for Disease Control and Prevention (CDC), COVID-19 which is also known as the coronavirus refers to an illness that spreads from one person to another. The virus exhibits mild to severe illness in some situations the patient might fail to have symptoms. The first human case of virus infection was reported in Wuhan City, China (Anseel et al., 2020). Retrospective investigations led to the discovery of other cases by the Chinese authorities in early December 2019. Environmental samples taken from the nearby population mostly within the Wuhan market pinpointed Wuhan city as the source of the outbreak. This position is also supported by Carnevale and Hatak (2020) who indicate that Wuhan City played an imperative role in the initial amplification of the Coronavirus outbreak. The virus is spread by coming into close contact with an infected person. Infections can also be transmitted via respiratory droplets especially when one coughs, talks, or sneezes. The virus can also be transmitted by getting in contact with surfaces or objects that have the virus then touching other body parts such as the mouth, eyes, or nose (Donthu, & Gustafsson, 2020). With the search for an effective vaccine still ongoing as well as the increased cases in different parts of the world, different containment measures were created. These measures consisted of staying at home, observing higher levels of hygiene such as washing hands, and avoiding social gatherings. Impact of COVID-19 on Businesses The aforementioned measures also translated to working from home especially for vulnerable individuals such as those who had underlying sicknesses such as diabetes or cardiovascular diseases (Carnevale, & Hatak, 2020). Also, the older population was identified as part of the population that was more vulnerable to the risk of being infected.

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING5 According to the World Health Organization updates, the United States has had 16, 446, 844 confirmed cases of the virus with 301,536 deaths. In the business world, the outbreak of COVID-19 disrupted the economies of different countries (Anseel et al., 2020). According to Anseel et al. (2020), the COVID-19 pandemic forced some businesses to close while others scaled back their operations. This statement is also supported by Sasaki and Kuroda (2020) who indicate that due to full or partial lockdown businesses were affected to the extent that their cash flow was no longer able to support the respective businesses. Sasaki and Kuroda (2020) also link the COVID-19 to myriad ramifications of direct and indirect economic effects. As such, Sasaki and Kuroda (2020) indicate that most businesses were not prepared on how to mitigate COVID-19 effects. In this regard, the pandemic affected business continuity, public contagion behavior, and supply chain distribution among other factors. The aftermath of the presence of COVID-19 was the permanent closure of most of the small and middle-size businesses and employment loss among other factors ( Carnevale, & Hatak, 2020). Even though lockdown helped in containing the spread of the virus, it increased income risk and a major recession, leading to a high rate of unemployment. Since many people are under quarantine, they could not make it work thus creating a gap. On the other hand, the pandemic disrupted global trade flows (Donthu, & Gustafsson, 2020). Donthu and Gustafsson (2020) indicate that the merchandise trade decline accelerated sharply leading to a steep drop in exports from China. The impact was also felt on textiles and vehicles. As such, some of the European Union (EU) countries and the United States implemented lockdowns. These and other measures meant to control the spread of the virus led affected different industries such as the skins and leather, footwear, clothing, and vehicles industry.

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING6 Additionally, the travel and tourism industry was also adversely affected. According to Sasaki and Kuroda (2020), most countries imposed travel bans from the onset of the COVID- 19 pandemic. According to the World Tourism Organization, an estimated number of international tourist arrivals declined by 60-80 percent in 2020 as compared to 2019. Tuzovic and Kabadayi (2020) indicate that the decline 15 to 20 times greater than the one that was experienced during the global financial crisis that occurred in 2008. Further, Tuzovic and Kabadayi (2020) indicate that the highlighted effects on the travel and tourism industry placed 100.8 million jobs at risk. Donthu and Gustafsson (2020) categorize the impact of lockdown on small businesses into four phases that consist of shutdown impacts, supply chain disruption, demand depression, and recovery. Shutdown impacts affected countries as well as regions where the pandemic forced governments to adopt virus containment measures that halted economic activities. On the other hand, supply chain disruptions affected companies all over the world. With the pandemic- induced lockdowns in China, the United States, and the European Union (EU), production, imports, and exports were adversely affected. For instance, there were halts in production that affected economies by reducing the available inputs for global supply chains. As for the demand for depression, it occurred in most of the adversely affected countries. As such, the action of people being confined to their houses reduced sales to consumers as well as businesses. Even with the progress of finding the COVID-19 vaccine, business investments will remain low. Impact of COVID-19 on Work Environment and Employee Well-being According to a research-based policy and commentary by Vox EU on the Coronavirus stimulus package: Quantifying the transfer multiplier, the astronomical increase in unemployment has forced people to exhibit a set of characteristics depending on the results of

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IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING7 their situation such as changing their behavior and mindset regarding work, adapting to their new circumstances in light of the unforeseeable effects of the virus, and finding new ways of operating businesses beyond the norms. With the economic fallout due to the COVID-19 being unprecedented, people are uncertain on when the economic effects due to the pandemic will come to an end. Even though different countries have come up with different strategies for providing relief to their nationals especially those who lost their jobs due to the pandemic, the affected groups are still facing different challenges due to the macroeconomic impact of the pandemic. In this regard, a significant population of both the employed and the unemployed has changed their mindset regarding work. Others are still skeptical on further effects of the pandemic based on the fact that some regions have already begun experiencing a second wave of the virus. With the presence of such events, a section of the small businesses has been forced to identify creative ways of operating beyond the norms just to ensure that their businesses survive the tough economic times. The aforementioned pandemic came with the concept of working from home as a way of containing the spread of the virus. These unforeseen changes have affected employees because now they have to work together with their family members. Those with children find it hard working close to their loved ones because it is hard to concentrate. Sasaki and Kuroda (2020) indicate that the home environment is vulnerable to different forms of disruptions. Some of the major disruptions consist of being interrupted by other family members or even children who at some point engage one in conversations when an individual is busy attending to daily work demands. Disruptions can also arise from home appliances such as TV, or music. At some point, one might be tempted to engage in activities such as watching his or her favorite TV program or even listen to music. The presence of too many distractions tends to affect an employee’s

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING8 productivity levels. Furthermore, employees are exposed to stress and anxiety because they are still expected to meet job expectations under challenging conditions. According to Sasaki and Kuroda (2020), the change of workplace environment has undesired effects that might even make it hard for employees to be motivated and set boundaries. As such, in conventional workplace settings employees are expected to meet daily goals and objectives based on the kind of work that they have been assigned. Depending on the number and the type of disruptions that they encounter, they might fail to meet daily, weekly, or even monthly goals while at the same time fail to account for the time that they had spent working. Such situations might make it hard for them to be motivated and possibly result in job or work-related stress ( Bartsch et al., 2020). On the other hand, with the presence of different activities taking place at the home especially for employees who have families that they have to attend to it becomes difficult to establish practical and effective boundaries. For instance, one might frequently be disrupted by a set of activities that appear urgent. In such situations, he or she might take frequent breaks to address the situation at hand. Employees take a while to adjust to the new working conditions and find it challenging to adapt to these changes (Carnevale & Hatak, 2020). Tuzovic and Kabadayi (2020) indicate that for employees who have been used to the office or workplace environment where they get to interact with their colleagues, it becomes a challenge for them to work in new environments that lack the workplace feel. Even though at some point they will adjust to the prevailing conditions, there is a likelihood that they will take longer to conform to the adjustments. Psychological stress is another factor that is motivated by the impact of COVID-19. According to Sasaki and Kuroda (2020), nearly 7 in 10 employees admitted in a survey by

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING9 mental health provider Ginger that the COVID-19 pandemic represents the most stressful time in their professional career. The results of this survey tend to align with the stark increase in new prescriptions of antianxiety, anti-insomnia, and antidepressant medications. The stress-induced impact of COVID-19 is not only evident among employees but also employers. The aforementioned survey by Ginger pointed out on 88 percent of employees experiencing moderate to extreme stress. Among the reported cases, 62 percent admitted to having lost at least an hour a day in productivity. On the other hand, 32percent of employees who participated in the survey indicated that they lost an estimated 2 hours daily due to COVID-19 related stress. It is for this reason that Restubog et al.(2020) indicates that besides wrestling with business continuity planning especially during the COVID-19 pandemic, employers should also focus on establishing effective support structures for mental health. This idea is also supported by Kramer (2020) who admits that mental health support is critical. As such, it will mitigate the risk of the dramatic impact of pandemic induced stress on employees. Tuzovic and Kabadayi (2020) also pinpoint that the presence and effects of COVID-19 have led to an increase in mental health issues. Some of these issues comprise stress, anxiety, increased irritability, fatigue, and depression. Continuous exposure to these conditions has a profound effect not only on employees but also on other people around them such as their family members. It is important to note that to a larger extent, the COVID-19 pandemic came along with an economic recession that has negatively affected people’s mental wellbeing ( Bartsch et al., 2020). Further, it has created new barriers for individuals who were already suffering from different forms of mental illnesses and substance use disorders. Restubog et al. (2020) indicate that people have been impacted negatively due to worry and stress over the presence and effects of the coronavirus. Furthermore, a considerably higher population of adults reported instances

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IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING10 whereby they experience difficulty in sleeping, increased engagement in alcohol consumption or substance abuse, and deteriorating physical and mental health outcomes due to factors related to the above-mentioned pandemic such as job loss and isolation. Ideally, job losses and stress as a result of the pandemic have affected individuals in distinct ways. For instance, the service sector jobs which in most cases are lower-paying jobs that are disproportionally filled by women and/or African Americans (people of color) have been hit the hardest. According to Gould and Wilson (2020), the black worker's fraternity faced two lethal conditions due to the COVID-19 pandemic. As such, they were affected by job losses that are tagged along with racism and economic inequality. Based on the arguments of Gould and Wilson (2020), there are three categories of workers in the coronavirus economy. They comprise of those who have lost their jobs and are exposed to economic insecurity risks, those who are categorized as essential workers but are predisposed to health insecurity, and those who are still working from the safety of their homes ( Hu, 2020). In regard to the highlighted categories, black workers are likely to fall within the first two groups ( Gould, & Wilson, 2020). As such, they have recorded higher job losses along with related economic devastation. On the other hand, black workers have also been identified among essential workers who continually report to their workplaces regardless of the pandemic this exposing their lives and one of their families to the dangers of contracting and spreading the virus since they were not able to sustain adequate social distance from their customers or even co-workers. From the massive numbers of unemployment insurance claims, it is evident that the labor market has and continues to deteriorate. As Kramer (2020) indicates almost one in four workers have applied for the unemployment insurance benefits either through a regular program or through the new Pandemic Unemployment Assistance program. Extrapolating from the available

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING11 data on the assessment of job losses for black and white workers in the Population Survey for April 2020, the black unemployment rate has been persistently higher than that of the whites. According to Gould and Wilson (2020), the latest data indicates that the black unemployment rate is at 16.7 percent whereas the unemployment of the whites is at 14.2 percent. While these differences are evident, they tend to mask greater and significant disparities that are apparent when one analyzes the unemployment rate by race as well as gender. Besides the highlighted impact of COVID-19 according to racial distribution and confinement, companies, and organizations focusing on raising awareness of COVID-19 indirectly increase the fear and anxiety employees face (Sasaki et al., 2020). The presence and impact of COVID-19 were unprecedented. In this regard, most workplaces were not ready or planned for such contingencies. Extrapolating from this position, employees especially those who work in the highly affected areas such as the travel and hospitality industry are worried and stressed over the state of their jobs ( Zacher, & Rudolph, 2020). On the other side, employers from the most affected industries are also worried due to consistent losses that are triggered by the current COVID-19 restrictions. As the pandemic wears on, the implemented and necessary virus control measures continue to expose employers and employees to stressful situations that necessitate an immediate response. Analysis of the Issue COVID-19 has adversely affected work environments and overall employee wellbeing especially for employees who work in the most affected industries such as the hospitality industry. The effects were unpredictable. However, they come with the opportunity for business, companies, and individuals to learn and develop practical contingency measures which would help salvage both employers and employees from similar

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING12 effects in the future. One of the most affected areas that should be addressed now and in the future is the establishment of supportive structures for supporting employee wellbeing within and out of the work environment. Zacher and Rudolph (2020) acknowledge that supportive structures help in examining employee’s welfare both as an individual and as a group. Extrapolating from such a perspective, the development of the highlighted supportive structure goes hand in hand with coming up with workplace measures that promote early preparation for unplanned adverse events and healthy decision-making processes whenever such events occur. Implementing workplace measures has had positive effects on job productivity and performance but has negatively led to psychological distress. As such, it increases uncertainty and anxiety about whether jobs will be retained or not (Kramer, 2020). Further, it prepares employees, and the employer psychologically for the occurrence of such adversities. The impact of COVID-19 pandemic has also illustrated the existing racial disparities when it comes to employment as well as well as the loss of jobs. From Gould and Wilson’s (2020) study, it is clear that the effect of COVID-19 in terms of unemployment had notable differences. As such, African Americans appeared to have suffered the most when it comes to losing jobs than the whites. This observation was also supported by other factors such as the type of jobs whereby most African Americans were working in low paying jobs than whites. In this regard, the presence of the pandemic affected most of them since they were laid off. Sasaki and Kuroda (2020) also pinpointed on the change of work environment whereby most employees were forced to work from home as a way of containing the virus. The change in workplace environment affected their productivity levels especially for those who were continually exposed to different forms of distractions.

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IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING13 Discussion According to Kramer (2020), instituting measures like remote work furthers social isolation. Employees find themselves working longer hours past the regular working hours, which is detrimental to health in the long run. However, with adequate preparation employees can successfully make an adjustment that will help them transit from one approach to the other. By employees being flexible in terms of working locations or with the available resources, job productivity will increase regardless of whether they are working remotely from home. Instituting practical measures and structures also helps to reduce rifts and disagreements among family members regarding work-life balance. Also, the weaknesses in terms of handling mental health challenges among employees especially when adversities occur has revealed the existing gap in terms of stable programs and systems that check and address employee mental issues ( Carnevale, & Hatak, 2020). In this regard, many businesses and organizations need to establish such programs and systems or even modify existing programs of mental health to accommodate such situations. Nonetheless, the aforementioned measures help in preventing undesired situations such as the occurrence of fatigue and burnout while trying to figure out the dynamic of working from home (Kramer, 2020). Conclusion The presence of the COVID-19 pandemic has negatively impacted operations in the workplaces as well as employee well-being. To a larger extent, the pandemic is associated with different types of adversities that affect different areas of employee wellbeing. As such, employees are exposed to work-related stress, fatigue, anxiety, increased irritability, and

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING14 depression due to a set of factors such as the fear of losing a job or being infected. The COVID- 19 pandemic also pinpoints the existence of racial disparities especially when it comes to the analysis of the statistical data regarding unemployment rates as a result of the pandemic. Regarding employee mental health, psychological distress has been identified as a factor that affects employees and, in turn, affects their mental health. In the end, it affects job performance and productivity. Apart from the aforementioned effects, the COVID-19 pandemic has led to closure of different business while others have opted to scale down their operations to mitigate the effects. In all the highlighted situations, employees have been affected immensely. It is undeniable that the impact of the pandemic on work environment and employee wellbeing was unprecedented. However, this reason should not hinder the process of coming up with practical solutions for current and future use. With the highlight information regarding the impact of COVID-19 in the work environment and overall employee wellbeing, Human resource managers and business leaders need to evaluate workplace measures that tackle psychological stress and overall employee wellbeing rather than focusing on meeting work demands.

IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING15 References Anseel, F., Antonakis, J., Bamberger, P. A., & Bapuji, H. (2020). COVID-19 and the Workplace: Implications, Issues, and Insights for Future Research and Action . June. https://doi.org/10.31234/osf.io/gkwme Bartsch, S., Weber, E., Büttgen, M., & Huber, A. (2020). Leadership matters in crisis-induced digital transformation: how to lead service employees effectively during the COVID-19 pandemic. Journal of Service Management . Carnevale, J. B., & Hatak, I. (2020). Employee adjustment and well-being in the era of COVID- 19; Implications for human resource management.January. Donthu, N., & Gustafsson, A. (2020). Effects of COVID-19 on business and research. 117 (June), 284–289. https://doi.org/10.1016/j.jbusres.2020.06.008 Gould, E., & Wilson, V. (2020, June 1). Black workers face two of the most lethal preexisting conditions for coronavirus—racism and economic inequality. Retrieved from https://www.epi.org/publication/black-workers-covid/ Hu, Y. (2020). Intersecting ethnic and native–migrant inequalities in the economic impact of the COVID-19 pandemic in the UK. Research in Social Stratification and Mobility , 68 , 100528. Kramer, A. (2020). The potential impact of the Covid-19 pandemic on occupational status, work from home, and occupational mobility. January. Restubog, S. L. D., Ocampo, A. C. G., & Wang, L. (2020). Taking control amidst the chaos: Emotion regulation during the COVID-19 pandemic.

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IMPACT OF COVID-19 ON WORK ENVIRONMENT AND EMPLOYEE WELLBEING16 Sasaki, N., & Kuroda, R. (2020). Workplace responses to COVID-19 associated with mental health and work performance of employees in Japan. April 1–6. https://doi.org/10.1002/1348-9585.12134 Tuzovic, S., & Kabadayi, S. (2020). The influence of social distancing on employee well-being: a conceptual framework and research agenda. Journal of Service Management . Zacher, H., & Rudolph, C. W. (2020). Individual differences and changes in subjective wellbeing during the early stages of the COVID-19 pandemic. American Psychologist .

IMPACT OF COVID 19 ON EMPLOYEE WELL-BENG AND WORK ENVIRONMENT.

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