Kelly works in a bustling office downtown. She’s always been a dedicated employee, but lately, things have taken a turn for the worse. The whispers, the snide remarks, and the overt hostility from a few coworkers have made her dread going to work. One day, after a particularly harsh confrontation, she felt her chest tighten. She took a break, sat in the restroom, and felt the tears well up. This was more than just stress; it was workplace bullying, and Kelly wasn’t alone.
A recent report by Te Kahui Tika Tāngata Human Rights Commission and KPMG has put numbers to the very real and pervasive issue of workplace bullying and harassment in New Zealand. Titled “Counting the Cost: Estimating the economic cost of workplace bullying and harassment on New Zealand employers,” this landmark report estimates the annual cost at around $1.5 billion. And that figure is conservative, not accounting for every possible repercussion of these toxic behaviors.
The Numbers Speak
The report highlights that in 2021-22, the cost to workplaces was $1.34 billion, rising to $1.5 billion in 2023 due to wage increases and a larger workforce. These costs come from various factors: increased sick leave, reduced productivity, high employee turnover, and time spent dealing with complaints. It’s a financial drain on businesses, but the human cost is even more staggering.
Women, like Kelly, bear the brunt of this epidemic. The report shows that 58% of the total cost, approximately $780 million, comes from the impact on female workers. This underscores the gender disparity in how workplace bullying and harassment manifest and affect employees.
More Than Just Numbers
Dr. Saunoamaali’i Karanina Sumeo, the Equal Employment Opportunities Commissioner, emphasizes that while the financial implications are severe, the human toll is incalculable. Bullying and harassment at work affect mental health, job satisfaction, career progression, and overall well-being. It’s not just about lost dollars; it’s about lost dignity and respect.
Kelly’s experience isn’t unique. The report, drawing from the Commission’s 2022 survey of 2,500 workers, found that Māori, Pacific Peoples, Asian workers, new migrants, disabled workers, and bisexual workers face disproportionately higher rates of bullying and harassment. These are our friends, our colleagues, and our community members.
A Call to Action
Dr. Sumeo stresses the importance of creating safe and supportive workplaces. Failing to address these issues prevents people from progressing in their careers, decreases productivity, and imposes a significant burden on the economy. The report is a wake-up call for employers to take decisive action against bullying and harassment.
Legal and Policy Changes Needed
The report adds urgency to New Zealand’s need to ratify the International Labour Organisation’s Violence and Harassment Convention (ILO 190). This international treaty provides a robust framework for preventing and addressing workplace violence and harassment, ensuring safe and equitable working conditions for all.
The Path Forward
Kelly’s story, like many others, highlights the immediate need for change. Employers must act now to prevent bullying and harassment and to foster a workplace culture that values and protects all employees. The “Counting the Cost” report is more than just a financial assessment; it’s a call for justice and equity in our workplaces.
For employment law specialists, this report underscores the critical role of legal frameworks and policies in safeguarding employee rights and promoting a healthy, productive workforce. It’s time for New Zealand to step up, protect its workers, and create environments where everyone can thrive without fear of bullying and harassment.
The road to change starts with awareness and commitment. It’s time for every employer to take a stand and make New Zealand’s workplaces safer, fairer, and more supportive for everyone.