Download Workforce Retention and Productivity

WORKFORCE ATTRACTION, RETENTION AND PRODUCTIVITY
- Why workplace wellness is so important
Throughout the western world, a multitude of studies have shown:
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Most employees do not get adequate exercise
At least 50% have high cholesterol
More than a quarter have cardiovascular disease
More than a quarter are overweight by 20 percent or more
At least a quarter have high blood pressure
A healthy workforce is a more productive workforce. Unhealthy lifestyle choices often lead to
chronic diseases, costing NZ businesses millions of dollars in lost productivity alone.
The essence of a workplace wellness programme is to encourage individuals to take preventive
measures to avert the onset or worsening of an illness or disease and to adopt a healthier
lifestyle.
Many employers still seem to question whether workplace wellness is worth the investment.
Wellness programs have often been viewed as a nice extra, not a strategic imperative.
Evidence tells a different story.
Every program and level of investment is unique to the employer; participation levels are unique;
employee health and health outcomes are also unique. Nevertheless, most industry literature and
research agrees that the typical return on a wellness programme is $3-$6 for every $1
invested, with savings realised 2-3 years after implementation. Health related costs to NZ
workplaces; including time off, loss of productivity, re-recruitment; are high with an unsustainable
rate of preventable, chronic (lifestyle) diseases; and only rising with an aging workforce.
Greater productivity can be gained by reducing illness-related absenteeism but probably more
significant is the reduction in ‘presenteeism’ —when people come to work but underperform
because of illness or stress.
While some businesses have instituted very comprehensive wellness programs, others have
achieved savings or increased productivity with just a few simple activities that promote healthy
behaviours.
Workplace health promotion should be viewed as an investment in a business’ most
important asset, its employees.
Studies show that employees are more likely to be on the job and performing well when they are
in optimal health.
Benefits of implementing a wellness programme include:
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Attracting the most talented workers
Reducing absenteeism and lost time
Improving on-the-job time utilisation, decision making and productivity
Improving employee morale
Reduction in turnover
Improved disease management and prevention, and a healthier workforce in general, both of
which contribute to lower health care costs.
Why do people stay (and why do they leave)?
There is an imperative correlation between productivity, staff retention, workplace wellbeing,
health and safety, leadership, organisation culture and HR practices.
According to a Gallup’s Workplace report, more than one in three employees (35%) have
changed jobs in the past three years, and 91% of these left their company to do so.
Gallup asked employees how important certain attributes are when considering whether to take a
job with a different organisation. They found that employees place the greatest importance on a
role and an organisation that offers them:
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Ability to do what they do best
Greater work-life balance and better personal well-being
Greater stability and job security
Significant increase in income
Opportunity to work for a company with a great brand or reputation
What is Well-being and how does this relate to the workplace?
The updated Gallup-Healthways Well-Being Index is organized into five elements of well-being
and these have been adapted to the context of the workplace:
1. Purpose: Liking what you do each day and being motivated to achieve your goals.
2. Social: Having supportive workplace relationships.
3. Financial: Earning sufficient to manage your economic life to reduce stress and increase
security.
4. Community: Liking where you work, feeling socially and psychologically safe, and having
pride in your organisation and its community.
5. Physical: Having a safe environment and maintaining good health and enough energy to
get things done daily.
Correlations for organisational operation:
1. Purpose:
 Consistent and clear communication of vision and purpose
 Clear roles, delegations and accountabilities
 Celebrating and being acknowledged for success
 Quality leadership by managers.
2. Social:
 Operations enable development of positive interpersonal relationships.
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Above the line behaviour
Adherence to organisational values
Social club/ informal team and inter-team activities
3. Financial:
 Remuneration is relative to job scope and size
 Equitable remuneration practices
4. Community:
 Policies and practices enable a safe environment; free of harassment or bullying
 Below the Line or unacceptable behaviour (relative to policy) is promptly addressed
by senior management.
 There is high staff engagement in decision-making and a culture of ‘leadership at all
levels’ is encouraged.
 The organisation operates as per its values.
 The organisation is positively and consistently promoted by all staff.
5. Physical:
 The environment is safe in all respects (including temperature, air quality) and
promotes good health.
 Workloads and work expectations ensure staff get adequate rest and ability to
negotiate working conditions to minimise or reduce stress.
Employers play an important role
Changing our behaviour is ultimately up to individuals. However, employers have a tremendous
opportunity to help their employees see the value of adopting healthier behaviours so that they
can live healthier lives.
The workplace culture sets the tone for its employees. A supportive work environment, where
managers reinforce a sound wellness strategy, can keep employees motivated and engaged.
Wellness, wellbeing and incentive programs can be used to drive and reinforce healthy
behaviours, bringing benefits to the employer, the employee, and to the community.
Employers may utilise a wide range of wellness initiatives such as smoking cessation
programmes, flu shots and health fairs, gym memberships, sports teams and events, healthy
food on-site, water-only policies, mindfulness, newsletters, and more.
Success in implementing a Workplace Wellness Programme is largely dependent on factors
outside employers’ control (such as employee behaviour change) and so to reap the benefits of a
wellness program, employers must maximise employee buy-in and participation.
References:
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https://hbr.org/2010/12/whats-the-hard-return-on-employee-wellness-programs
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https://www.kcim.com/2012/05/workplace-wellness-what-it-is-and-why-its-important-to-all-of-us/
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http://www.gallup.com/reports/199961/state-american-workplace-report2017.aspx?utm_source=gbj&utm_campaign=StateofAmericanWorkplaceLaunch&utm_medium=copy&utm_content=20170308
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http://www.gallup.com/businessjournal/205448/staremployees.aspx?g_source=Business+Journal&g_medium=sidebottom&g_campaign=tiles
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http://www.livfit.co.nz/PROGRAMMES/WORKPLACEWELLNESS/ROIandBenefits.aspx
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https://hbr.org/2016/04/meet-the-wellness-programs-that-save-companies-money