Why Prioritising Health and Wellbeing at Work is Essential
Prioritising employee health and wellbeing is a vital business strategy that boosts productivity, reduces costs, and improves engagement.
In the modern world with financial pressures rising, use of technology which makes it difficult to disconnect from work, and the fast-paced environment we are living in, taking care of employee health and wellbeing is critical for a thriving business. Organisations that are integrating health and wellbeing into daily operations are seeing the rewards such as increased productivity, higher engagement, reduced absenteeism, and less workplace injuries.
The Importance of Workplace Health and Wellbeing
Health and wellbeing initiatives in the workplace focus on improving processes to benefit employee health and mitigate chronic disease risks. Although it may go unnoticed, the work people do can impact their chance of developing injuries or illnesses. Some key factors in the workplace include being sedentary, poor eating habits, harmful alcohol consumption, smoking, obesity, and lack of mental health.
To create a healthy workplace, businesses should follow these three core elements:
- Plan: Embed work health and wellbeing into your business systems by identifying and assessing risks.
- Implement: Manage these risks by implementing appropriate interventions and continuously monitoring their effectiveness.
- Evaluate: Assess the impact of these wellbeing initiatives and make sustainable improvements over time.
The Financial Implications
When businesses neglect employee health and wellbeing, the costs can be substantial. In Australia alone, the financial cost of obesity (excluding overweight individuals) is estimated at over $37 billion, with $6.4 billion pinned to lost workplace productivity. Obese employees have higher rates of injuries, longer claim durations, and increased medical costs which puts pressure on workers compensation schemes.
10 years ago, absenteeism cost Australia $44 billion, with an added $35 billion for those who are physically at work but not fully productive. The primary cause of this is due to unhealthy lifestyles, chronic illnesses, poor work-life balance, and high levels of stress relating to work.
Mental health conditions are another significant financial burden, costing Australian workplaces $10.9 billion annually. This includes $4.7 billion in absenteeism, $6.1 billion in presenteeism, and $146 million in workers' compensation claims.
The Disconnect Between Intentions and Impact
Despite 80% of executives pledging to prioritise employee wellbeing, 90% of workers report that their life at work has worsened. This displays a disconnect between genuine workplace wellbeing and what employers believe to be workplace wellbeing.
Many associate wellbeing with physical health alone, but true workplace wellbeing is far more comprehensive. It includes mental, occupational, social, and economic factors. Wellbeing is about creating a state where employees are healthy, happy, and prosperous, which is a whole lot more than just offering perks. It requires a strategic approach to fostering a safe, satisfying, and engaging work environment.
Prioritising health and wellbeing in the workplace is not just a moral obligation but a smart business strategy. By embedding these practices into organisational systems and culture, companies can enhance employee satisfaction, reduce costs, and ultimately drive better business outcomes.
Sources
Why Prioritising Health and Wellbeing at Work is Essential - - By WorkSafe QLD
The State of Workplace Wellbeing Across the Globe - by Randstad 25 June 2024.
