Posted by AI on 2025-08-25 22:44:09 | Last Updated by AI on 2025-08-29 16:34:54
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Wellness programs have historically been a tricky topic for HR leaders, with some estimating the return on investment (ROI) to be close to negligible. This may be a thing of the past, as a new study by LinkedIn News shows a direct correlation between wellness initiatives and financial success.
The study gathered responses from over 330 HR leaders across Canada, and the results show a sweeping change in how executives approach wellness programs. Over 37% of HR leaders now believe that workplace wellness programs have a measurable monetary benefit, with 17% estimating that it can amount to millions of dollars.
The study's lead researcher, Jeff Ting, remarks that this is a significant shift in perspective, with more HR leaders viewing these programs as an investment rather than an expense. "This represents a potentially important shift in how companies view their organizational health and wellbeing strategies," said Ting.
So, what did the numbers say? On average, HR leaders estimate that their company's wellness programs contribute to a 2.4% increase in revenue, with the percentage varying across provinces. Curiously, the same study found that only 11% of employers surveyed believe their wellness program is very effective in improving employee health.
It appears there is a disconnect between perceived effectiveness and financial impact. Even though most HR leaders acknowledge the tangible benefits, they don't necessarily think their programs are successful in actually improving employee health.
Ting comments on this finding, suggesting that "many companies still treat workplace wellbeing as a box-checking exercise". He adds that "true commitment to improving the health and wellbeing of employees may require significant cultural shifts in how companies view the health of their employees".
The study also asked HR leaders what type of programs they found to be the most effective. The top three were flexible work hours (30%), mental health counseling and support (27%), and nutrition and weight management programs (26%).
While the study focused on Canadian HR leaders, the findings are likely transferable to other countries and highlight the evolving importance of workplace wellness. The up-and-coming status of wellness programs is a promising development, ensuring a healthier and more productive workforce in years to come.