This week marks the International Week of Happiness at Work, presenting an ideal opportunity for employers to reflect on the profound effects an unhappy workforce can have on their business—and take meaningful action to improve it.
In the current economic climate, employees face significant physical, mental and financial strain. For businesses to thrive, employers must address this hard truth and work to ensure their workforce is happy, healthy, and productive.
A WPI Economics study commissioned by Unum last year, ‘Health, Happiness and Productivity: Supporting the wellbeing of Britain’s workers and the growth of the economy’, found that 80% of workers are more productive when they are healthy and happy. And one of the most effective ways to ensure employees are happy at work is to provide tailored employee benefits that address the diverse needs of a modern workforce.
Holistic benefit schemes
The cost of an unhappy, unproductive workforce is significant, with unhappy employees losing an average of nine hours of productive time per week – more than a typical day’s work. Presenteeism is also a concern: unhappy employees spend an average of nine days a year working despite being unwell and unable to do their jobs to the best of their ability. Conversely, those who are happy at work report four days of presenteeism per year, more than halving the number of days their unhappy counterparts experience.
As employees strive to balance their personal and professional lives, employers need to start recognising that benefits should extend well beyond the workplace. Indeed, happiness and wellbeing at work requires more than just a one-size-fits-all approach to employee benefits and, to truly support their workforce, employers must offer comprehensive benefits packages that encompass physical, mental, and financial welfare.
This kind of holistic benefit scheme might include services such as mental health support, access to remote GPs, financial wellbeing education and services tailored to the individual’s circumstances and life stage, wellbeing coaching, and discounts to help with everyday living costs. By providing on-demand access to personalised health solutions that cover all aspects of wellness, employers can empower their employees to take charge of what stands between them and optimum happiness at any given time. The result? Happy, thriving employees who are more engaged and ultimately able to perform at their best more consistently over time.
Proactive health and wellbeing
One powerful way to foster happiness and productivity in the workplace is through benefits packages that encourage employees to take a proactive approach to their own health and wellbeing. By focusing on prevention and early intervention, employees can identify, manage and maintain their physical and mental wellbeing, avoiding potential issues from escalating into more serious health complications, or prolonged absences from work.
As preventative health benefits enable businesses to help employees address any issues proactively, this leads to better outcomes for both the individual and the employer. Indeed, according to WPI Economics’ research, 58% of employees agree that enhancements in health and wellbeing services provided by their employer would lead to fewer absences and increased productivity.
Digital GP services, annual health checks, and round-the-clock helplines can provide employees with the resources they need to maintain and improve their health. Meanwhile, employers can gain valuable insights into the overall wellbeing of the workforce by routinely reviewing engagement survey insights, absence trends, benefits surveys, and data from Employee Assistance Programs (EAPs), along with the uptake of employee benefits, whilst considering the changing demographics of the workforce. In this way, businesses can build a picture of employee health concerns, using data to refine and improve existing health and wellbeing programs in line with the ever-evolving needs of their workforce.
By taking a proactive approach, employers can create a culture of wellness that encourages employees to make healthier lifestyle choices and take timely action where needed.
Mental health policies
Although the connection between mental health and overall wellbeing is widely acknowledged in the business world, according to the WPI Economics study, almost half of employees (48%) report their mental health to be less than good.
Group protection products – which have long been a staple of employee benefits packages – typically include a range of added-value services that can significantly enhance employee wellbeing. For instance, an EAP linked to a group protection product can offer confidential counselling and support services to employees dealing with stress, anxiety, or personal challenges. Employees with a comprehensive benefits package are 35% more likely to be happy at work: so by integrating these additional services into their benefits strategies, employers take steps towards a happier workforce.
Likewise, digital health and wellbeing platforms like Help@hand from Unum provide a convenient way for employees to access unlimited mental health support from the comfort of their own homes. These digital solutions allow employees to schedule appointments and treatments around their work and life commitments, making it easier to prioritise their mental health.
Supporting financial wellbeing
For many employees, financial stress can be a real barrier to feeling happy and productive. The current cost of living crisis has increased financial strain in many households, making financial support a valuable aspect of employee benefits. By offering financial wellbeing schemes such as financial education, coaching and legal support, comprehensive pensions information and guidance, alongside traditional retail discounts and savings, employers can help reduce money-related stress, whilst creating a more supportive work environment. Employers may also consider discretionary options such as offering salary advances and loans to provide additional support in certain situations.
Cash plans also encourage employees to take a proactive approach to their health and make it more affordable, allowing them to claim back a portion of the costs associated with everyday healthcare, such as dental check-ups, eye tests, and physiotherapy. They also often include additional features, such as access to health screening and mental health support.
The value of happiness in the workplace
The economic cost of unhappy workers is estimated to be £11 billion per year in lost productivity. As we mark International Week of Happiness at Work, the link between employee happiness, health, and productivity is clear, with just 13% of unhappy staff believing they are very productive at work. Employers who prioritise the wellbeing of their workforce through comprehensive and tailored benefits packages will not only foster a happier and healthier workplace but also boost productivity and business success, whilst avoiding the challenges of presenteeism.
By offering a range of benefits that address physical, mental, and financial wellbeing, employers can create a supportive, enabling work environment where employees feel valued and empowered. And in the current socioeconomic climate, which has seen everyone face significant challenges, these benefits are more than just a nice-to-have. By investing in the happiness and health of their employees, employers can build a more resilient, engaged, and productive workforce, setting up businesses for long-term success. And that’s for everyone’s benefit.
Jane Hulme
Jane leads strategies that support Unum's goal of attracting, developing and retaining our talented team of people.The HR function she oversees works in partnership with the business to shape our culture and ways of working covering a range of topics from organisation design and development, diversity and inclusion, talent management, wellbeing and employee engagement.Jane joined Unum in February 2021 as Head of Business Partnering before becoming the UK HR Director in March 2022.
