Statistically speaking, healthier people work harder, are less stressed, help others more, and are all around happier employees while at work. A well-run employee wellness program is a win-win for employees and employers because employees get healthier and happier which results in higher productivity and lower health care costs for the employer.
According to Corporate Wellness Magazine, investing in your employee wellness program can return around $4 in savings for every $1 invested to the program by reducing sick days, increasing productivity, and helping decrease overall health costs.
Here are just a few ways an employee wellness program keeps your bottom line healthy:
When employees feel like their employers are invested in their well-being, they develop an increased sense of loyalty. This sense of loyalty leads to higher productivity and more engagement.
The more employees invest in their workplace, the more responsibly they act, not only to their company as a whole, but also to their co-workers and supervisors. Responsible employees create a high retention culture that saves companies money related to the costly hiring and training process.
A study by OptumHealth and GfK/Roper of 1,400 white and blue collar employees showed that at least eight out of ten employees, in workplaces where health and wellness programs are in place, feel that their employers care about them. Also, at least 80% believed they would feel encouraged to stay with their employer longer if a health and wellness program was established.
When wellness programs were first started, they were viewed as a nice perk, not a necessity. Recent evidence tells us that with tax incentives and grants now available, U.S. companies can use wellness programs to help reduce healthcare costs, which are only going to continue rising.
According to an article in the Harvard Business Review, Johnson & Johnson’s leaders estimate that wellness programs have saved the company $250 million on health care costs over the past decade; from 2002 to 2008, the return was $2.71 for every dollar spent.
For many companies, health costs use up at least half of their corporate profits. What’s even more alarming is the fact that indirect costs of poor health, such as an absence from work and reduced work productivity, can result in up to three times the amount of direct medical costs.
This is just one more reason an employee wellness program is a necessity for all companies providing health care benefits to their employees.
We all know how frustrating it can be when you’re relying on a co-worker that calls in sick, and it’s even worse if they’re out for two days or more. If several employees are out, even more is at stake for the company. Absenteeism has enormous financial effects on all companies, large and small.
But poor health doesn’t just relate to diet and exercise; it can also originate from stress due to being overworked, not getting enough breaks throughout the work day, and economic insecurity including the threat of layoffs. While it’s true that people have to take responsibility for their own choices, employers do have an opportunity to decrease absenteeism and help their employees feel healthier and happier in the office.
Coors Brewing Company’s is a great example of a company with a successful wellness program. They’ve reported an 18 percent drop in absenteeism for employees participating in its corporate wellness program.
In an ideal program, everyone is on board including the executive level employees. Building a healthier workforce should be a team effort with everyone involved. The more participation wellness programs receive, the healthier everyone becomes, both physically and mentally. A healthier workforce reforms a workplace culture which, in turn reduces absenteeism.
If your company can benefit from increased loyalty in your employees, lower health care costs, and reduced absenteeism, then start an employee wellness program by contacting a Marketing Innovators specialist today.