How to Improve Psychological Safety at Work

Picture this: You have a great idea in a meeting. But your boss tends to shut down suggestions. Do you speak up? Or stay quiet to avoid criticism? You hesitate. Your heart races. But then someone else jumps in. You say nothing. You tell yourself your thought wasn't that important anyway.

This is what it feels like to work without psychological safety.

The numbers tell a concerning story. A recent survey by the National Safety Council revealed a link between feeling unsafe at work and mental health struggles. Workers who said they felt unsafe on the job were three times more likely to report symptoms of depression or anxiety.

A psychologically safe work environment isn't jut good for people. When workers don't speak up, their silence costs companies big time. No ideas means no innovation.

Harvard business school professor Amy Edmondson first studied this problem years ago. She found that psychological safety helps teams learn, grow, and do better work.

In this guide, we'll cover:

• What psychological safety actually means

• How to spot when it's missing

• Why a psychologically safe environment matters for people and profits

• Simple ways to build it in your team

• How Applauz tools can help create safer workplaces

When teams feel safe, people bring their best ideas forward. Let's explore how to make that happen in your workplace.

Key Takeaways

• Psychological safety means you won't get punished for speaking up with ideas or mistakes.

• Workers who feel unsafe at work are more likely to have mental health struggles.

• Safe teams innovate more, make better decisions, and keep good people longer.

• Fostering psychological safety happens in stages: create safe spaces, make it OK to be vulnerable, value all voices, and welcome challenges.

• There are three leadership styles conducive to team psychological safety.

What Is Psychological Safety?

Psychological safety, according to Edmondson, is "a shared belief held by members of a team that the team is safe for interpersonal risk-taking." It's when you can speak up without fear of being punished or embarrassed. And it helps team performance.

The idea has been around a while. Back in the 1960s, Edgar Schein talked about how people need to feel safe to be themselves at work.

Google made this concept famous with their Project Aristotle study. They looked at 180 teams to find what made some better than others. The answer wasn't about who was on the team. It was about how people treated each other. Teams that felt safe did the best work.

So what does psychological safety look like?

1. People speak up freely: Team members share opinions without fear.

2. Mistakes are for learning: Errors lead to growth, not blame.

3. Everyone's ideas count: Your role doesn't limit your voice.

4. The status quo gets challenged: People can question "how we've always done it."

But let's clear up some confusion. Psychological safety isn't about being nice all the time. It's not lowering standards or avoiding hard conversations.

As Edmondson puts it in her book "The Fearless Organization", psychological safety involves giving constructive feedback and learning from each other.

Sometimes growth feels uncomfortable. That's OK. In a psychologically safe work environment, people can handle that discomfort because they know it's about the work, not about attacking them personally.

Signs That You Lack Team Psychological Safety

How do you know if your workplace lacks psychological safety? Watch for these warning signs:

• Only a few people talk in meetings: The same voices dominate every discussion. When the boss asks for questions, eyes drop to the floor. Junior team members sit silently through meetings, even though they see problems no one else notices.

• People hide mistakes: When things go wrong, the first words you hear are "it wasn't me." People spend more time covering their tracks with defensive emails than fixing the actual problem.

• "We've always done it this way": This phrase kills new ideas. Like the marketing team that keeps using the same tired campaign even though it stopped working months ago. No one wants to suggest anything better.

• Information hoarding: Some people treat information like it's gold—something to keep, not share. Think of managers who don't pass on updates because it keeps people coming to them for answers.

• Fake buy-in: Everyone nods during meetings, but nothing changes afterward. Remember those new company values everyone cheered for? Now they just hang on the wall, forgotten.

• Good people quit: Your best employees leave. They might say it's for "career growth," but the real reason? No one listened to their ideas. That star performer who quit after her suggestions were ignored? That's psychological danger in action.

Why Creating Psychological Safety Matters

Psychological safety isn't just good for business. It's good for humans. And it’s something employees genuinely care about. In fact, 89% of employees say that workplace psychological safety is essential, according to McKinsey.

And more than 8 in 10 say it’s one of the most important things they look for at work, just behind regular pay raises and flexible schedules, according to Oyster HR.

It matters even more as the workforce changes. Gen Zers are set to make up nearly a third of all employees by 2025. They’re looking for workplaces that support both mental health and physical well-being, The Conference Board reports.

When psychological safety is present, teams benefit. Research published in the Annual Review of Organizational Psychology and Organizational Behavior shows that employees who feel safe speaking up are more likely to help other team members and ask for feedback. These two habits help build stronger, more connected teams.

On the flipside, when that sense of safety is missing, the ripple effects are hard to ignore. A report by Boston Consulting Group reveals that 12% of employees with low psychological safety are likely to quit within a year, compared to just 3% of those who feel psychologically safe at work. This stark contrast highlights how fostering psychological safety can significantly impact employee retention.

The Human Benefits of Psychological Safety at Work

• Basic respect and dignity

  Everyone deserves respect. Everyone deserves to be heard. Psychological safety makes these basic needs and rights real at work. When people can be themselves without fear, it shows they matter.

• Less stress and burnout

  Working scared hurts. Studies show unsafe workplaces raise stress hormones. This leads to burnout, anxiety, and health problems. Safe teams let people focus on work instead of protecting themselves all day.

• More inclusive work environment

  Psychological safety won’t solve every workplace inequality, but it helps level the playing field. When people feel safe to speak up, it gives everyone—not just the most confident voices—a chance to contribute.

  Research from Deloitte and NYU’s Kenji Yoshino shows that many employees from marginalized backgrounds feel pressure to hide parts of who they are at work. Creating a culture of safety helps reduce that pressure and makes space for more inclusive, authentic participation.

The Business Benefits of Psychological Safety at Work

Beyond being the right thing to do, psychological safety brings business results:

• Interpersonal risk-taking and innovation

  Safe teams come up with better ideas. Great solutions often start as "crazy thoughts" that would never come up in scary environments. Google found that safe teams innovate more because they use everyone's unique thinking.

• Smarter decisions

  Teams make better choices when they hear all sides. Studies show safe teams consider more options when deciding things. This matters most for tough problems where one person can't know it all. And smarter decisions lead to higher productivity.

• Better teamwork and morale

  Safety breaks down walls between departments. Gallup found having just one good work partner makes you 29% more likely to stay with your company another year and 42% more likely to stay your whole career.

• Improved retention

  People stay where they feel accepted and valued. Companies with high safety have less turnover, especially among diverse employees.

• Increased team effectiveness

  Psychological safety reduces the likelihood of failures and compliance issues. When people can speak up about issues, problems get fixed before they grow. In places like air traffic control and hospitals, catching errors early saves lives.

Safety also fights "quiet quitting"—when people do the bare minimum. When people feel psychologically safe, they are more committed to organizational success. They want to engage fully and help solve problems, not just get by. This matters even more now with hybrid and remote work. When people aren't in the same room, feeling safe to speak up becomes crucial.

How to Build A Psychologically Safe Workplace

You can't create psychological safety overnight. But you can build it step by step. Here's how:

Step 1: Create Safe Spaces

First, make it safe for everyone to participate without fearing negative consequences.

What it looks like:

• Everyone gets equal talking time in meetings

• People from all levels share ideas

• The language welcomes everyone

• People actually listen to each other

How to do it:

1. Make sure everyone speaks: Try a round-robin approach. Start meetings with a quick check-in where each person shares a thought. Let team leaders go last. This gets all voices in the room from the start.

2. Teach real listening: Put phones away during important talks. Practice repeating what you heard before responding. This shows people you truly heard them.

3. Set meeting ground rules: Create team agreements like "We ask questions before judging ideas" or "We speak directly, not about people who aren't here."

4. Set up your space better: Arrange chairs in circles instead of rows. In virtual meetings, use breakout rooms so quiet people can share in smaller groups first. This simple shift encourages employee input.

Step 2: Make Vulnerability Normal

Next, make it safe to admit mistakes and limits.

What it looks like:

• Senior leaders openly share their own mistakes

• Teams talk about failures to learn from them

• People ask for help when stuck

• After projects, teams review what went wrong and raise concerns without blame

How to do it:

1. Leaders go first: As a leader, share mistakes and bad news. Start a meeting by telling what went wrong and what you learned. When bosses do this, others feel safe to follow.

2. Hold "lessons learned" talks: Regularly review what went right and wrong. Focus on solutions, not blame. Make these talks normal, not special events when things go badly.

3. Reward useful failures: Give praise for well-intended risks that didn't work but taught something valuable. Some companies even give "failure awards" for these moments.

4. Talk about growth mindset: Teach your team that abilities grow with effort. Frame challenges as chances to develop new skills, not pass-fail tests. Model curiosity in the face of difficulties. Create learning processes around them.

Step 3: Value All Voices

Now actively seek out different viewpoints.

What it looks like:

• Ideas get judged on quality, not who said them

• Good ideas come from all levels

• Recognition spreads widely

• Decisions include many perspectives

How to do it:

1. Judge ideas on merit: Create ways to collect and evaluate ideas based on quality, not source. Anonymous idea platforms can help with this.

2. Use employee recognition across teams: Set up peer recognition systems. Highlight contributions from unexpected places. This shows that value can come from anywhere.

3. Track what happens to ideas: Let people see what happens to their suggestions. If you don't use an idea, explain why. This builds trust that all input gets fair consideration.

4. Mix up decision teams: Include people with different backgrounds and roles in key decisions. This brings better thinking and sends a message that all views matter.

5. Involve remote and hybrid workers: For remote and hybrid teams, psychological safety needs extra attention. Distance can make people feel less secure. Be more deliberate about creating virtual spaces where everyone contributes. Use digital tools to make participation equal.

Step 4: Welcome Challenges

The highest level: make it safe to challenge how things are done.

What it looks like:

• Nothing is too sacred to question (respectfully)

• Leaders ask for pushback on their thinking

• People disagree without making it personal

• Teams test assumptions instead of accepting them

How to do it:

1. Assign a challenger role: In key discussions, give someone the job of questioning the group's thinking. Rotate this role so everyone practices it.

2. Teach how to disagree well: Help people learn to challenge ideas without attacking people. This skill makes productive debate possible.

3. Thank people for good pushback: When someone raises a valid concern that prevents a problem, praise them publicly. This shows that thoughtful challenges are valued.

4. Ask more than you tell: As a leader, ask questions rather than just giving answers. Show curiosity instead of certainty, and others will follow your lead.

Building Psychological Safety With Applauz

The strategies above give you a roadmap. But you need the right tools to put these ideas into action. That's where Applauz comes in. Our platform has features built to boost psychological safety:

Peer-to-Peer Recognition

With Applauz, employees can praise each other's work. This breaks down walls between ranks. It shines light on work that might otherwise go unseen. When a customer service rep can thank a product manager for quick help, it shows that every role has value and voice.

Pulse Surveys

Yearly surveys don't catch issues in real time. Applauz's pulse surveys create regular, anonymous feedback channels. People can safely share concerns without fear. The anonymous option really helps companies just starting to build psychological safety.

Employee Goals

Clear expectations reduce anxiety. Our goal-setting tools make sure everyone knows what success looks like. This removes the fear that comes from unclear targets. When people know what they're working toward, they can focus on good work instead of self-protection.

Employee Rewards

Applauz includes features like points and badges and a fully stocked marketplace. This helps celebrates key achievements consistently. It shows your commitment to fairness and appreciation. And it reinforces that everyone's efforts count.

All the features work together as a complete employee recognition program. For example, pulse surveys might spot areas of concern. Then peer recognition can reinforce positive changes. Employees earn rewards through shoutouts. This creates a healthy cycle of feedback and improvement.

Recognition platforms like Applauz can help foster psychological safety by providing both public and private channels for communication. When employees have multiple ways to participate—whether through anonymous feedback or visible appreciation—they can engage at their own comfort level. This flexibility is especially valuable when building a culture where everyone feels safe to contribute.

Measuring Psychological Safety

You can’t improve what you don’t measure. But psychological safety isn’t always easy to spot. It’s not just about how friendly your team is or how often people speak in meetings. It’s about how safe people feel—especially when the stakes are high. That’s why measuring it takes more than surface-level observations.

Start by asking the right questions. Pulse surveys are a great tool for this, especially when they’re short, anonymous, and done regularly. Include questions like:

• Do you feel safe speaking up with ideas or concerns?

• Can you admit mistakes without fear of negative consequences?

• Do people on your team value different perspectives?

• Do you feel comfortable challenging the way things are usually done?

Look for patterns in who responds and how. Are some departments or levels of seniority consistently less comfortable? That could be a red flag.

Don’t rely only on surveys. Watch what happens in real conversations. Are meetings quiet? Do people only speak up when the boss does? Are mistakes discussed openly—or quietly brushed under the rug? These signs tell you as much as the data does.

Finally, track progress over time. If psychological safety is improving, you’ll start to see more participation, more feedback, and better collaboration across roles. You’ll also hear more diverse voices at the table—not just the usual ones.

Tools like Applauz make this kind of measurement easier. With pulse surveys, feedback channels, and recognition data all in one place, you get a fuller picture of how your team feels—and where to focus your efforts next. Book a demo with our team today to find out more.