Workplace Health Promotion Program ROI
For well over a decade, research has been showing the effectiveness of Workplace Health Promotion Programs. For every dollar spent on Workplace Health Promotion Programs, the returns have been cost savings of between $2.30 and $10.10 in the areas of decreased absenteeism, fewer sick days, reduced WSIB/WCB claims, lowered health and insurance costs, and improvements to employee performance and productivity.
Statistics do show that Workplace Health Promotion Programs increase employee morale, improve the ability to attract and retain key employees, all while having more alert and productive employees. Some Workplace Health Promotion Program return on investment (ROI) statistics of note:
• Canada Life Insurance reported a return of $3.43 on Workplace Health Promotion Program, and an overall Workplace Health Promotion Program return on investment (ROI) of $6.85 on each corporate dollar invested on reduced turnover (32.4% lower), productivity gains and decreased medical claims,
• DuPont’s Workplace Health Promotion Program pilot sites saw a saving of 11,726 disability days and a return of U.S. $2.05 for every dollar invested by the end of the second year,
• The Canadian government’s Workplace Health Promotion Program return on investment (ROI) was $1.95-$3.75 per employee per dollar spent (as found by Dr. Roy Shephard),
• Municipal employees in Toronto, missed 3.35 fewer days in the first six months of their Workplace Health Promotion Program than employees not enrolled in the program,
• British Columbia Hydro employees enrolled in a Workplace Health Promotion Program had a turnover rate of just 3.5% compared with a Business average of 10.3%,
• Johnson & Johnson estimated an average saving of U.S. $224.66 per employee per year for the four years examined after the program introduction, with the bulk of the savings being in the third and fourth years,
• Pacific Bell found that overall absenteeism decreased after starting a Workplace Health Promotion Program,
• Coca Cola report saving $500 every year per employee after starting a Workplace Health Promotion Program, with only 60% of their employees taking part,
• Coors Brewing Co. found that for each dollar spent on their Workplace Health Promotion Program they saw a $5.50 return, and the employees who participated reduced their absentee rate by 18%, and
• Prudential Insurance Company found that the benefits costs for employees taking part in their program were $312, as opposed to $574 for non-members
