Only 39% of companies believe their current wellbeing strategy adequately meets the needs of their workforce, according to a wellbeing report released today by PIB Employee Benefits (PIB).
That number jumps to just under half (49%) for large corporates.
And only 14% of organisations strongly agree they have a well-defined wellbeing strategy
“This glaring gap suggests a pressing need for companies to reassess and potentially overhaul their approach to employee wellbeing,” PIB said.
Conducted by PIB in partnership with YouGov, the report surveyed 1,000 senior HR decision makers to understand the current state of workplace wellbeing initiatives.
The report also identified increasing costs as a significant barrier, with 40% of organisations citing financial constraints as a key challenge in implementing comprehensive wellbeing programmes.
Balancing the need for impactful initiatives with budgetary limitations poses a formidable challenge for many companies striving to prioritise employee wellbeing.
Top three initiatives
The report said if budget was no issue, the top three initiatives companies want to introduce are: mental and emotional health, including stress and burnout (52%); physical health such as exercise and nutrition (44%) and initiatives with a proactive focus on the prevention of ill health (36%).
Another hurdle highlighted by the report is the lack of accurate data driving wellbeing decisions, with nearly half of the businesses admitting they do not possess the necessary data to inform their strategies effectively.
The data gap figure rises to 59% for SMEs but drops to 24% for large corporates.
PIB said: “Without reliable metrics, companies are unable to take an informed approach to addressing key risks or supporting specific employee needs.”
Overwhelmingly, the ability to attract and retain good employees was the biggest challenge HRDMs predict they will face over the next three years.
Nearly half (44%) of respondents said that this was a priority for them, with it being a particular priority for large organisations and companies based in London and Scotland.
Six steps
The report gave six steps for organisations to improve their wellbeing approach:
- Invest in accurate data: Research employee needs and analyse the existing and emerging people risks within your workforce
- Prioritise ROI: Select research-backed wellbeing initiatives with evidence of effectiveness in similar organisations or industries
- Take a step back: Choose interventions that align with your values, mission, and culture
- Embed wellbeing into culture: Promote a culture of care and support, with both the individual and employer taking ownership and responsibility
- Focus on output: Align wellbeing objectives to business objectives, focusing on organisational resilience, productivity, and business profitability
- Measure effectiveness: Define clear objectives with corresponding success metrics, so you can understand the impact and return-on-investment of their wellbeing programme
Suzanne Summerfield, wellbeing consultant at PIB Employee Benefits, said: “Understanding the current landscape of workplace wellbeing is crucial for organisations aiming to support their employees effectively.
“Our report not only highlights the existing challenges but also makes a strong case for using a data driven approach to decision making to support wellbeing strategy and investment.”
