Skip to content
Insider Dec 23, 2025

The Importance of Health & Wellness in the Workplace

Explore why health and wellness programs matter in the workplace and how they improve engagement, productivity, and retention.

Well-being is important in all aspects of life, especially at work. The benefits of a healthy and happy employee population are numerous and include reduced turnover rates, increased productivity and improved employee engagement. Company wellness programs offer a way to improve employees health, reduce stress, and even have some fun while you're at it— and at little to no cost. Here are some ways you can help improve the health and well-being of employees and some of the benefits of having a company wellness program in place.

A recent report from the National Business Group on Health outlines these five key areas of well-being that employers should look to when building an effective workplace health and wellness program.

Physical health refers to the condition of your body. The extent to which you are able to perform daily activities without experiencing pain or fatigue is one measure of physical health. Mental health refers to how you feel about yourself and others, along with how you think about your life experiences. Financial health refers to having enough money for basic needs such as food and shelter, as well as being able to afford luxuries like vacations and entertainment on occasion. Social health refers to how connected you feel with other people in your community or organization—and whether these connections are positive or negative ones that make you happy or sad respectively. Purpose relates specifically to why we do what we do: In other words it's defined by what motivates us in life and drives our behavior from day-to-day so that we're not just going through the motions but actually doing something meaningful with our time on earth (i.e., "What is my contribution?").

Here are some ways companies can help their employees thrive in these five areas of well-being:

  • Physical: The physical health of employees is a critical component of workplace wellness programs. Health screenings, onsite gym memberships, and access to nutrition counseling are all ways in which employers can help their employees maintain good physical health. A comprehensive program will include this type of support as well as other activities designed to improve employee fitness and reduce the risk of injury or illness at work.

  • Mental well-being: People who feel happy and engaged are more likely to be productive than those who don't. An effective program helps employees develop skills necessary for maintaining mental wellness through training sessions on managing stress or developing positive approaches to communication with colleagues or supervisors.

  • Financial well-being: Many studies show that financial stress negatively affects both personal and professional relationships, so it's important for employers to provide tools for helping workers achieve financial stability through education about retirement planning or debt management strategies. In addition to these types of resources, employers should ensure they offer benefits that support financial security.

  • Social well-being: Research shows social engagement has many positive effects on well-being including reduced risk factors such as obesity; increased positive behaviors like volunteering or exercising; greater productivity in terms of improved job performance due to enhanced teamwork skills; better mental health outcomes such as lower rates depression/anxiety disorders; etc. Companies should make sure everyone has access to things like team building activities where employees can get together outside work hours, or even better yet inside their own offices, to strengthen their bonds with each other.

Organizations with a workplace wellness program report a 25 percent lower turnover rate and 7 percent higher productivity than organizations without.

Having a healthy workplace environment can be beneficial for both the organization and its employees. Organizations that have implemented a workplace wellness program report a 25 percent lower turnover rate than organizations without, which translates into significant cost savings.

There are many ways to measure the success of your organization’s wellness initiative, but one easy way is to look at data related to health care costs. The most common reason for missed days at work is illness or injury. By helping employees reduce their stress levels through physical activity and better nutrition habits, you can significantly reduce this number—and ultimately save money on health care expenses!

You may also want to consider measuring how effective your wellness program has been for improving mental health by asking questions about employee happiness levels before implementing any changes (e.g., “How happy do you feel today?”) as well as after implementing changes within your office environment (e.g. “How happy do you feel since we made these changes?”).

Workplace bonding

As a business owner, you want your employees to be happy and healthy. That's because a happy and healthy employee is more productive than an unhappy, unhealthy one.

Here are some simple ways that you can encourage camaraderie in the workplace:

  • Provide social events for employees, such as team-building activities or volunteer opportunities. These events will allow your employees to bond with each other and make them feel good about themselves and their work environment.

  • Give out awards or rewards for various accomplishments or milestones. This will reward hardworking employees while also encouraging others who may have been struggling with hitting goals.

  • Encourage education by offering ongoing training seminars that relate directly back to your company's goals or mission statement; these seminars could include topics such as workplace safety, health initiatives, as well as emotional intelligence courses.


Elevated company culture

When a business is focused on its employees' well-being, it's not just the employees who benefit. The company as a whole reaps the rewards of a healthy and happy workforce. A positive corporate culture results in higher employee satisfaction and productivity, more effective engagement in work tasks, reduced turnover and absenteeism, lower health care costs and increased profitability.

  • Positive culture can help drive employee behavior.

  • A positive culture encourages employees to take the initiative, which in turn helps them develop as leaders and make better decisions for their companies. It also helps to create a sense of camaraderie and teamwork among your staff, which can improve morale and reduce turnover.

It's important to note that creating a strong environment for health involves all levels of an organization: leaders create the culture; teams reinforce it; individuals participate actively in sustaining it; organizations invest financially in supporting it.

In conclusion, a healthy and active employee means a happy and productive workforce. As a company, it is your duty to make sure employees are healthy by providing them with the tools they need in order to do their job well.

Latest Articles

What Is a Motor Vehicle Report and How Does It Help Employers?
Insider

What Is a Motor Vehicle Report and How Does It Help Employers?

Learn what a motor vehicle report (MVR) is, what it shows, and how it helps employers manage driving risk and safety.

December 23, 2025

The Importance of Health & Wellness in the Workplace
Insider

The Importance of Health & Wellness in the Workplace

Explore why health and wellness programs matter in the workplace and how they improve engagement, productivity, and retention.

December 23, 2025

Here's What You Need To Know ABout Then Michigan's 'Clean Slate' Law
Background Checks

Here's What You Need To Know ABout Then Michigan's 'Clean Slate' Law

Compare the top background screening providers and learn how to evaluate accuracy, compliance, service quality, and fit for your hiring nee...

December 18, 2025