Green Flags at Work: Influence of a Healthy Workplace on Employee Retention and Well-Being

In response to the rising incidence of burnout and employee turnover, this study examined the influence of healthyworkplace practices—conceptualized as "green flags"—on employee well-being and retention intentions. These greenflags included quality of life support, work-life boundary practices, mental health accommodation, psychologicalsafety, and recognition. Grounded in the Conservation of Resources theory, a quantitative descriptive-correlationaldesign was employed using structured surveys administered to 500 full-time employees across five industry sectorsin Metro Cebu, Philippines. Stratified random sampling ensured sectoral representation. The study applied descriptivestatistics, Pearson correlation, multiple regression, and structural equation modeling (SEM) for data analysis. Resultsrevealed high perceptions of healthy workplace practices, with mean scores ranging from 3.98 (SD = 0.74) to 4.21(SD = 0.63). Employee well-being (M = 4.12, SD = 0.69) and retention intentions (M = 3.87, SD = 0.78) were alsorated favorably. Correlation analyses revealed significant positive relationships between all green flag indicators andoutcome variables, with psychological safety (r = 0.65, p < 0.001) and recognition (r = 0.64, p < 0.001) exhibiting thestrongest associations. Multiple regression confirmed psychological safety (β = 0.30, p < .001) and recognition (β =0.24, p < .001) as the most influential predictors of well-being, while recognition (β = 0.33, p < .001) and psychologicalsafety (β = 0.28, p < .001) most strongly predicted retention intentions. SEM demonstrated excellent model fit (CFI =0.96, TLI = 0.95, RMSEA = 0.041, SRMR = 0.038), validating the theoretical framework. The study concluded thathealthy workplace practices were not merely cultural ideals but measurable strategic functions that enhanced employeeretention and psychological wellness. The validated green flag model offered a replicable structure for embeddingemployee-centered policies into organizational strategy, particularly in service-oriented and high-turnover industries.