Decrease Business Costs Due to Illness – Improve Employee Health + Productivity

Canadians are more stressed and sick than ever before. Mental health issues are on the rise; many employees are taking leave due to burnout and businesses are feeling the impact.

Research shows that employee health issues have a significant financial cost to the employer:

• 3 out of 4 employers say mental health issues are the leading cause of short and long-term disability claims in their organization. (Canada Safety Council)
• “The economic burden of mental disorders in Canada has been estimated at $51 billion per year, with almost $20 billion of that coming from workplace losses.” (Mental Health Commission of Canada President and CEO Louise Bradley)
• Depression and anxiety disorders result in more workdays lost than any other medical condition. (World Health Organization)
• Stress-related absences cost Canadian employers about $3.5 billion each year. (Workplace Safety & Prevention Services)
• In Canada, chronic diseases result in $122 billion in indirect income and productivity losses. 3 in 5 people over the age of twenty live with one of these preventable chronic diseases, and four out of five are at risk. These diseases are largely preventable and are predominantly caused by avoidable risk factors, such as unhealthy diet; insufficient physical activity; unhealthy weights; harmful use of alcohol; and tobacco use and exposure to secondhand smoke. (Public Health Agency of Canada)
• Obesity, which affects over half of Canadians, costs the Canadian economy between $4.6 and $7.1 billion per year, split between direct healthcare costs and indirect costs such as lost productivity. 
• Poor employee health can lead to increased absenteeism, increased short- or long-term leave, higher turnover, and decreased productivity.

 

Invest in Your Employees’ Wellness by Creating a Comprehensive Strategic Wellness Plan

Results from an effective strategic wellness plan include:

• Improved employee health and quality of life
• Improved work culture and employee satisfaction
• Improved retention and recruitment (decreased costs for hiring and training)
• Decreased costs associated with absenteeism and disability
• Health care cost containment
• Increased productivity

The American Journal of Health Promotion found an ROI of $3.50 per dollar spent, even more when accounting for costs related to absenteeism.

As an employer, you have an opportunity to improve the health and wellbeing of your employees while seeing business benefits (financial and cultural) at the same time. 

To start the conversation about how you can create an effective strategic wellness plan at your organization, email us.