How Well-being in the Digital Workplace Shapes Employee Experience: A Socio-Technical Study on Loyalty and Performance

Abstract

As organizations navigate rapid digital transformation, improving the employee experience has become a strategic priority to retain talent and maintain a competitive advantage. Many employees’ day-to-day work is shaped by the adoption and continuous expansion of the digital workplace. Despite the known challenges of digital workplaces, little research has examined the impact of employee well-being in these environments. This study aims to fill this gap by exploring how well-being in the digital workplace impacts employee experience, loyalty, word-of-mouth and business performance. Based on a literature review and a quantitative study with N=192 employees, our results show that digital workplace well-being significantly increases individual engagement, satisfaction, loyalty and positive word-of-mouth communication as well as the overall organizational performance. However, no significant impact was identified on commitment and collective engagement. Our findings underscore the role of well-being in promoting positive employee experiences and organizational success in digitally transformed work environments.