Quantifying ROI on employee wellness

Quantifying ROI on employee wellness

In today's world of relentless digital transformation, employers are increasingly seeking data-driven insights and commercial justification to evaluate vendor services – human resources is no different. Using data analytics based on real-world corporate wellness programs, we are now able to quantify measurable impacts on engagement, stress, and fatigue, and estimate the impact that effective management of these human factors can have on corporate return on investment (ROI).

Using this data to inform inputs to an ROI sensitivity analysis, we can estimate how wellness can radically transform business outcomes and impact the bottom line:

Key takeaways:

  • A 1% increase in participation in employee wellness translates to a 5-10% increase in ROI
  • Preventing one injury in the logistics sector with corporate wellness programs provides equivalent ROI to increasing company revenue by $2.4M
  • A 0.2% improvement in productivity, gained through wellness initiatives, doubles the ROI of the program resulting in an average return of nearly $5 on every dollar spent.

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