Effect of workplace stress management practices on employee productivity in insurance firms in Nairobi County, Kenya

Abstract

The modern workplace is highly dynamic and competitive, and companies depend on their employees’ ability to meet consumer expectations both in product design and service delivery. This increased pressure has resulted in higher stress levels within the workforce which may negatively impact their productivity. This has led to firms employing various workplace stress intervention programmes which may impact the overall productivity levels to different degree. Despite this the available studies have not conclusively examined this phenomenon hence this study sought to establish the effect of workplace stress management practices on employee productivity among insurance firms in Nairobi County, Kenya. The study specifically examined how primary stress interventions, secondary stress interventions and tertiary stress interventions affect the employee productivity among insurance firms in Nairobi County, Kenya. Further the moderating effect of leadership support on workplace stress intervention and employee productivity was examined. Theoretically the research was premised on the theory of preventive stress management and the managerial grid leadership theory. The research was anchored on a positivist philosophy and a quantitative descriptive design. Unit for analysis was the 58 insurance companies with the Human Resource or Wellness Manager being considered as respondents. Thus, a sample size of 58 participants was included in the study. Data collection was conducted using structured questionnaires developed using Likert scale statements. The data obtained was analyzed using a mix of descriptive, correlation and regression analysis. According to the overall study model, the stress management interventions deployed in jointly have a positive effects on the productivity of employees in Kenya’s insurance sector. Independently, the analysis revealed that primary and secondary stress management interventions have positive, but statistically non-significant effects on the productivity of insurance employees. meanwhile, tertiary interventions were confirmed to have statistically significant effects on the productivity of employees in the insurance sector. Effective stress management interventions such as meditation, exercise, health assessments, post-stress support, counselling and time management training were confirmed to improve employee productivity by reducing fatigue, improving employees’ wellbeing and reducing the negative impacts of workplace stressors. These findings highlight the importance of implementing comprehensive policies to support employees' wellbeing and ability to deal with workplace stressors. In view of the findings, recommendations were for insurance firms to strengthen counselling, relaxation, and meditation services which have been proved to improve employees’ productivity. Policy-wise, managements were recommended to allocate a fixed percentage of their annual profits to employee wellness interventions, and to use this to create a positive public image.