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Employee Engagement Times Eight: Big Numbers from a New Study

  
  
  

By Jonathan Schoonhoven
“Employees are eight times more likely to be engaged when wellness is a priority in the workplace. In organizations perceived as actively promoting health and well-being, 55% of employees reported being engaged. In organizations not so perceived, by contrast, only 7% of employees reported being engaged. Employee engagement is, of course, widely recognized as a critical driver of productivity.”

--The Wellness Imperative: Creating More Effective Organizations
A study by the World Economic Forum reveals an impressive correlation between how strongly wellness is promoted in a workplace and those employees’ engagement. As the chart below shows, where wellness is not a priority, only seven percent of employees are engaged, compared to fifty five percent of those where there is a priority on wellness. Employee engagement is indeed a driver of productivity—Gallup provides statistics showing that companies ranked top and bottom-quartile in employee engagement have an eighteen percent difference in productivity, a sixty percent difference in quality, and a sixteen percent difference in overall profitability. It is worth noting that the survey drew its data from fifteen countries across the world, including the United States, Japan, India, China and New Zealand.

Eight Times Pie Chart resized 600

While the report makes no claim on whether wellness-priority causes higher engagement, given that employees at these companies are eight times more likely to be engaged—and that “Top decile companies (in engagement) have 3.9 times the Earnings Per Share (EPS) growth rate” (Gallup), it seems self-evident that companies should prioritize wellness.

Prioritizing wellness is a vague term though and does not immediately suggest a course of action. A more useful alternative might be incentivizing healthful behaviour. Your health incentives program must do three things. First, it must send a clear message that employees are valued over the long-term and are worth investing in. On-site health screenings and incentives to quit smoking would be good examples. Second, it must improve their actual health and, by extension, their value as employees. Because healthier employees tend to be happier and more productive, incentives like subsidizing half of your employees’ gym membership fees could have a net positive effect on your bottom line.

BetterWorks has pre-negotiated corporate rates with fitness, yoga, Pilates studios and more.

Finally, the incentives you give must be good for the employees themselves. It doesn’t have to be all cold, hard economics—try a little altruism. Provide healthy snacks at the office, and organize fun group workouts before lunch.

You can read some more ideas about engagement and wellness in Maslow’s Hierarchy, Lord of the Flies and Employee Benefits.

BetterWorks is a platform that builds employee engagement, promotes health and saves you money in the process. See some more things we do here.


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Comments

Seeing as how we spend 8+ hours a day at work, it's not surprising to learn that a healthy work environment encourages healthier employees. When there is that support structure for employees to lean on, it is easier to stay committed to a health life style.
Posted @ Wednesday, July 06, 2011 1:08 PM by Affiliated Physicians
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