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June 3, 2014 (PLANSPONSOR.com) – Employers are making use of wellness programs to improve employee engagement, which can make a company more productive, says a new survey.
The results of The Business of Healthy Employees 2014: A
Survey of Workplace Health Priorities, released by Virgin Pulse, show that such
wellness programs are improving company culture and health, and increasing
energy and productivity in the workplace. More specifically, 87% of employees
say wellness programs positively impact company culture and 96% are
participating in them to improve their own health. Not only do these programs
benefit the work force, finds the survey, but 88% of respondents indicate the
programs provide a benefit to companies in the recruitment process.
Reasons that employees give for participating in wellness
programs include:
Joining in on the competitive elements of the programs
(51.2%);
Avoiding negative perceptions if they don’t participate
(15.1%);
Improving their social status (14.4%);
Increasing their energy (92.2%); and
Helping to manage their stress levels (85.3%).
The survey finds that while employees are taking
advantage of current wellness program offerings, they still want to see more.
They are most interested in access to physical activity programs (72.4%),
healthy food choices (65.5%) and onsite gym facilities or fitness classes
(62.3%). In each of these areas, the survey found significant gaps in what
employers are offering and what employees want. At the same time, employers are
keeping pace with employee interest in programs like stress management (45%),
weight management (50.4%) and brain training (45%).
When it comes to measuring the return on wellness
investments, companies track a number of different areas such as:
Enhancing employee engagement (13.5%);
Reducing health care costs (23%);
Improving work force productivity (10.7%);
Reducing absenteeism (10.4%);
Enhancing employee recruitment and retention (10.4%);
Becoming an employer of choice (13.8%); and
Creating a culture of health (19.4%).
The authors of the survey note that the greatest benefit of
wellness programs is demonstrated through the impact on engagement, an area
that many organizations are not tracking at all.
“The links between a high level of engagement and business
benefits are clear,” says Chris Boyce, CEO of Virgin Pulse, based in
Framingham, Massachusetts. “Recent research shows a highly engaged work force
drives profitability, productivity and customer ratings, while reducing
shrinkage, turnover and absenteeism.” Boyce notes that with 70% of employees
reporting they are disengaged at work, a figure that translates to $450 billion
to $550 billion in lost productivity annually, organizations should consider
improving tracking in these areas.
Employers think that wellness programs are a good
investment, according to the survey results. Of the employers surveyed, 72.2%
plan to expand wellness programs in the future. When looking toward 2015,
organizations indicate that plans are in place to increase the number of physical
activity programs (32.8%) and further develop nutrition programs (32.8%).
One-third of employers also indicate planned increases in financial wellness
programs (31.7%) and stress management programs (30.6%). As companies work to
improve and promote a healthy culture, demand for additional programs and
options is likely only to increase. According to respondents in the survey, six
out of 10 organizations (60.9%) plan to increase spending on health and
wellness programs in the future.
The authors of the survey conclude that the best wellness
programs, ones that will produce lasting behavioral change, are those that
communicate that company is involved in a “culture of wellness designed to
support employees.”
In collaboration with Workforce Magazine, Virgin Pulse
surveyed 361 organizations and 3,822 employees to gain insights into the
challenges and benefits of workplace wellness programs.
More information about the survey results can be found here.
Virgin Pulse is a provider of consumer-focused
strategies and tools that promote engagement by employees of clients.