The Effectiveness of Workplace Wellness Programmes on Employee Productivity

Abstract

This thesis explores the impact of workplace wellness programmes on employee productivity, addressing the growing recognition from employers of the importance of employee health alongside the need to support business objectives. On the organisational level, companies began to implement wellness initiatives as a cost saving measure, but managers began to see wide-spread positive impacts, which increase employee morale and job satisfaction. Employee retention increases and turnover decreases due to improved health, which further decreases costs in recruitment and health care costs. In addition, absenteeism decreases when employers demonstrate the importance of staff’s wellbeing. Employee productivity increases through an increase in job motivation and capability.

On an individual level, companies implement wellness programmes which affect the wellbeing of employees. Employee’s physical health increases through wellness initiatives and access to wellness centres. Mental health is improved due to increased support from managers and employees feeling more connected to others. Wellness programmes can introduce stress-reduction strategies to help implement sustainable work habits to corporations and decrease chronic stress. Workplace bullying decreases due to a better company culture.

The success of wellness programmes is affected by participation rates and organisational culture, both of which can be improved by managers’ motivating employees. In addition, it is important to consider the inclusivity and accessibility of the initiatives, to make participation available for all employees from all backgrounds and circumstances. The COVID-19 pandemic emphasized the importance of employee engagement and shifted the focus of the programmes from physical activity to overall wellbeing. Lastly, the pharmaceutical company Johnson & Johnson acts as an example of how a company implementing a wellness programme leads to decreased health care costs and increase in employee health.