Employers across the UK are expressing concern over the perceived inadequacy of government support for employee health and wellbeing, according to recent research, with a study suggesting that 63% of employers and 54% of employees believe state support for workers’ health and wellbeing is insufficient.
A study conducted by GRiD, the industry body for the group risk sector, shows that employers report that a lack of support affects various aspects of employee health, including:
- Mental Health: 57% of employers indicate that inadequate state support hampers employees’ access to mental health resources.
- Preventative Care: 52% believe that the deficiency affects preventative healthcare measures.
- Financial Support: 48% express concerns over insufficient financial support for employees unable to work due to sickness or injury.
- Physical Health: 47% feel that physical health support is lacking.
GRiD spokesperson Katharine Moxham said the situation was urgent and that current pressures on public finances made immediate improvements unlikely, potentially affecting all companies.
“While there are marginally fewer long-term sick employed people now than there were at the peak in 2023, the numbers are still worryingly high,” she said. “Encouraging people back into the workplace is remarkably difficult, particularly where employers have little or no support in place, which is why preventing absenteeism in the first place should be the ultimate goal.”
The Case for Preventative Measures
Employers know that keeping staff healthy and at work is better than dealing with employee absences. While healthcare services are improving their focus on prevention, many feel progress is too slow. To bridge the gap, businesses are introducing their own solutions, such as fitness tracking, health assessments and wellbeing programmes, to support employees and reduce time off.
Role of Employer-Sponsored Benefits
Employer-sponsored benefits, including life assurance, income protection and critical illness cover, collectively known as group risk benefits, offer comprehensive financial and health support. These benefits can prevent absences, facilitate early intervention and assist employees in returning to work.
Moxham stressed the importance of such benefits, noting that while the number of long-term sick employees has slightly decreased since its peak in 2023, the figures remain concerning. She said preventing absenteeism should be the ultimate goal, especially as state support diminished and employers were increasingly expected to fill the gap.
“State support for employees is only going in one direction, with Government ever-more relying on employers to step in and step up. Most employers will want to provide for their hard-working staff, and indeed, they will need to if they aren’t doing so already,” she said.
“There are a number of helpful employee benefit options available to employers on this front, and as the lack of access to support is likely to impact an increasing number of staff, there’s no time like the present to put work-based support in place.”
The UK government is proposing welfare reforms aimed at reducing the number of individuals on disability and incapacity benefits, which have risen sharply, with more than seven million people now receiving these benefits, largely due to worsening mental health conditions.
Labour leader Sir Keir Starmer has called for reforms to transition young people off benefits and into work, citing a moral and economic duty. But the plans have sparked internal disputes within the Labour Party, with several MPs opposing the cuts and advocating a wealth tax instead.
The Rise in Sickness Benefits Claims
New data indicates that more than seven million Britons, equivalent to one in ten working-age adults, are now claiming sickness benefits, with the number having increased by a third over the past five years. This surge is prominently attributed to mental health issues and other factors heightened by the pandemic. The increase has sparked political debate, with Sir Keir Starmer calling for welfare reforms to prevent young people from being trapped in the benefit system and encourage them into employment.
In response to these challenges, employers are increasingly adopting health and wellbeing initiatives to support their staff:
- Private Health Insurance: Company health insurance schemes provide employees with fast access to private healthcare, covering services such as private GPs, physiotherapy and mental health support.
- Employee Assistance Programmes (EAPs): These programmes offer confidential counselling and support services, assisting employees with personal or work-related issues that may affect their performance or wellbeing.
- Wellbeing Programmes: Comprehensive programmes that promote physical, mental and financial health, including initiatives like fitness classes, stress management workshops and financial planning services.
The Business Case for Supporting Employee Wellbeing
Investing in employee health and wellbeing yields significant benefits for organisations:
- Enhanced Productivity: Healthy employees are more productive and engaged, contributing positively to business outcomes.
- Reduced Absenteeism: Proactive health measures can decrease the frequency and duration of employee absences.
- Improved Retention: A supportive work environment fosters employee loyalty, reducing turnover rates.
As government support for employee health and wellbeing faces challenges, employers are increasingly recognising the necessity of implementing comprehensive support systems. By adopting proactive measures such as group risk benefits and wellbeing programmes, employers can safeguard their workforce’s health, ensuring organisational resilience and a thriving, engaged employee base.