I cannot count how many times I've been asked this question. It's inevitable, like the tide or apparently Thanos according to the MCU. However, I do get it - it's the CFO's job to look after just that - finances. However, not everything is measured in ROI for wellbeing. What's the ROI on having a meaningful relationship at work? What's the ROI on being more connected to your community? What is the ROI on an employee buying another lunch? You can see where a lot of these questions are a bit murky to get into, however, all of these are incredibly beneficial.
Now, I'm not trying to steer clear of the question though, and I want to give you all a few areas that you can have at the ready when this question comes up. What if I told you that with recent data, wellbeing programs can actually show more of an ROI than...marketing? That's right, I'd put this right up there with some marketing aspects so buckle up and get ready to pass a wellbeing billboard on your way to ROI-ville.
- Increased Productivity and Performance: Research has consistently shown that employees who are healthy and happy are more productive and perform better. This is because a wellbeing program can help employees manage stress, improve their physical health, and boost their morale. In turn, this can lead to increased job satisfaction, reduced absenteeism, and higher employee engagement, all of which contribute to a more productive and efficient workforce. Most studies out there show anywhere from a 30% increase, all the way up to 6x the performance for a team and let me tell you if my downside was a 30% productivity boost, well, you'd have me pouring some serious cash towards that (fun fact, on average the overall ROI on wellbeing programs is said to be between $3-$7 depending on the study for every $1 spent soooo, yeah)
- Reduced Healthcare Costs: This is the one I like to call a no-brainer. A wellbeing program can also help reduce healthcare costs for both employers and employees. By promoting healthy behaviors and lifestyles, employers can help prevent chronic diseases such as diabetes, heart disease, and obesity. This can lead to lower healthcare costs and insurance premiums, as well as fewer sick days and disability claims (not-so-fun fact, all those diseases are some of the top reasons for disability claims/work comp, as well as length of claim).
- Improved Recruitment and Retention: A wellbeing program can also improve an organization's ability to attract and retain top talent. In today's competitive job market, employees are looking for employers who care about their wellbeing and offer benefits and programs that support their physical, mental, and emotional health. By offering a comprehensive wellbeing program, employers can differentiate themselves and create a positive work culture that attracts and retains the best employees. This is one of the biggest drivers for wellbeing right now. Employees are moving from place to place to place looking for a "home". Not only is this a great recruitment tool, but also it helps employees stick around not just because it's there, but because with a lot of the programming we put into place they realize a lot of things about themselves and often want to continue that journey. It's two fold - they stay because they like the company as well as who they are becoming!
- Enhanced Brand Reputation: Finally, a wellbeing program can enhance an organization's brand reputation and social responsibility. By demonstrating a commitment to employee wellbeing and community health, organizations can enhance their brand reputation and attract more customers, investors, and partners who share similar values. A lot of our clients are some of the biggest names in the towns they have their headquarters located. That didn't happen by accident! Nope, turns out people talk and now that the word is out that your place ROCKS to work at well, that's why people like to work with you, not to mention with the recent ESG ratings this is becoming more and more prevalent. It's slowly becoming less of what you produce/make and more so how you treat your clients, coworkers, and community.
Overall, the ROI of focusing on a wellbeing program within your organization is significant. By investing in employee wellbeing, employers can increase productivity and performance, reduce healthcare costs, improve recruitment and retention, and enhance their brand reputation. In today's competitive business landscape, a wellbeing program is no longer a nice-to-have, but a must-have for organizations that want to succeed in the long run. We'd love to help show you these, and so much more - Contact us today!