The gamut of wellness has shifted and become more universally acceptable since the pandemic. Companies are now looking at wellness from a fresh perspective, where the hard returns on offering exclusive wellness and healthcare support to employees is no longer just an extra perk but a strategic business decision.

According to a study by Harvard Business Review, Johnson & Johnson saved over $250 million in healthcare costs in a decade in lieu of improved employee wellness programs, returning $2.71 for every dollar spent.

The range of healthcare services and offerings from an employer reflect strongly on the brand of a company, however, the benefits of effective wellness programs are manifold. The pandemic has had a deeper impact on overall acceptance of such initiatives, even by smaller organisations. It is possible to look at wellness in an organisational context as an effective tool to improve productivity, performance and trust.

Can wellness be measured?

Globally, wellness has been looked at as a service provided by vendors with an expertise in delivering curated solutions as per a company’s needs. Undoubtedly the options to choose are many, from a holistic view of wellness including physical, emotional, spiritual, financial, social and even occupational. The definitions are being widened with new research every day, and one solution doesn’t work for everyone.

Organisations often consider wellness programs as an added incentive and rely on third party mediums to deliver on their needs. The lack of goal-oriented objective setting for such programs allows for misappropriation of the course of action. Without a definite goal, it is nearly impossible to benchmark improvement or measure returns on investment.

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The choice of metrics is critical to measuring success of a wellness program. At the outset, companies must deliberate on the fact that a well defined program with a view on long term results will increase healthcare costs for the organisation in the short term. But if implemented thoroughly and strategically, the same programs can save millions in the longer term of operation. Wellness can no longer be viewed as a soft HR metric but a key measure of a business’s employee engagement, performance and retention tactics.

Signs of success

Long-term goals may aim to reduce the healthcare overhead per employee so as to move the indicator from an emergency room to a visit to a general physician for common ailments that can be tackled, for instance, with better fitness. While employers take cognisance of the need for varied selections for wellness of their employees, there are a few areas that can be good indicators to determine whether the programs are yielding a positive result.

  • Low absenteeism – Programs improving the overall quality of healthcare access and an active lifestyle will result in less chronically il- members in the workplace. 
  • High productivity – Employees in better overall health will deliver high quality results more often and are better placed to achieve targets without burning out. Organisations must ensure looking at various parameters to measure changes in productivity post implementation of wellness programs.
  • Higher employee retention – Carefully built program packages and greater inclusivity in wellness offerings will eventually lead to a deep sense of belonging and being cared for as part of an organisation among employees. 
  • Low personal loans / salary advances for medical reasons – According to reports, 28% of all personal loans in India are taken for emergency medical purposes. A reduction in pay day loan or salary advances towards healthcare is a significant indicator of successful implementation.
  • Preventive care – By offering preventive care for employees and their families, organisations can ensure a smooth healthcare journey for their workforce. Early detection often helps in significantly lesser costs as against advanced disease treatment. Data based intervention in such initiatives will signify the actual benefits delivered to employees.

The nature of business determines the type of wellness programs that the employees can benefit from. For instance, a manufacturer will achieve better results through balance improvement and efficiency programs, helping employees detect signs of physical damage due to harsh working conditions early on and consequently treat it. The kind of relationships large organisations can forge with its workforce through wellness has been known to be built on value and trust. The world may be changing with smaller enterprises and freelancers, but a comprehensive healthcare program is still a big card to pass on for many industries and will continue to have a major impact on the workforce. After all, great companies help change lives and it always begins at home.

(By Yogesh Agarwal, Founder and CEO, Onsurity)