One of the most talked about benefits of an employee wellbeing programme is the direct affect it can have on the bottom line of an organisation. With an effective wellbeing plan in place, businesses seek to increase production through a healthier, happier workforce, and reduce the costs associated with absenteeism.
The evidence for tangible financial benefits is well documented. However, there are 4 additional, less obvious advantages which, whilst not having an immediate and obvious benefit to the bottom line, are just as important.
1) Greater Employee Commitment
The relationship between employee health and employee commitment is often self-reinforcing, with healthy employees being more committed and committed employees being healthier. By improving workforce wellbeing, staff are more likely to identify with the organisation’s values and goals and be more prone to providing greater levels of discretionary effort.
2) Better Employee Resilience
Healthier employees are, in general, more resilient and better able to cope with the dynamic nature of organisations competing in today’s economic climate. By enhancing health and wellbeing, employees will be better equipped to deal with uncertainty and change, and able to act on formative feedback more positively.
3) Improved Retention
Overall wellbeing is a strong predictor of future retention with healthier, less stressed, more satisfied employees being far less likely to leave an organisation. The cost of staff loss can be significant; with the CIPD estimating the average overall cost of replacing a leaver being almost £6,000. An active approach to wellbeing can significantly reduce the costs of attrition to the business.
4) Enhanced Employer Brand
Attracting the best candidates is becoming an increasingly competitive business. A growing number of job seekers are attaching importance to the ability of an organisation to provide a good work-life balance. By having a wellness programme in place, it demonstrates commitment to the duty of care to the employee’s wellbeing, and can provide the edge over competitors when recruiting for staff.
There’s no denying that the more tangible financial benefits are much easier to measure, and therefore help to better demonstrate a return to key stakeholders. However, the 4 less obvious advantages should always be considered when examining the long term success of any employee wellbeing programme.
Would you like our help to evaluate your employee wellbeing strategy? Get in touch !