Employee well-being and safety lie at the heart of any functioning workforce. Safe working environments produce productive and engaged workforces that are able to bring higher levels of prosperity and success to the business.
Happy and healthy workers are also less likely to take sick days or leave the company. In addition, businesses with strong employee well-being programs are often seen as more attractive to potential employees.
Now, there are many ways to promote employee well-being and safety. Some common practices include providing healthy snacks and drinks, offering flexible work arrangements, and creating a positive work environment. Businesses can also offer employee assistance programs (EAPs) that provide confidential counseling and support.
But the first step always starts by ensuring the physical well-being and safety of employees. This means following OSHA and other regulatory guidelines to avoid workplace accidents, injuries, and illnesses.
In this article, we’ll talk about the impact of employee well-being and safety on business performance in some detail and learn how investing in employee well-being and safety is a smart business decision.
The Impact of Employee Well-Being & Safety on Business Performance
Increased Productivity
Growth-oriented businesses look for novel ways to increase workforce productivity and maintain high levels of employee engagement. While better pays and more flexible work environments do help, safety and well-being play a foundational role here.
And the logic is simple: If people are scared of sustaining physical or emotional harm at work, they won’t have the focus or energy to commit to their job.
On the other hand, when employees work in an environment where they are away from harm, work flourishes. People feel happier and more engaged at work. Increased engagement not only results in more productivity but a better quality of the work produced.
Better ROI
Occupational safety and health programs, as well as policies that protect employees’ mental health at work, all result in higher cost savings that ultimately help company finances.
According to the American Society of Safety Professionals, for every dollar that a company invests in workplace safety, the return on investment (ROI) amounts to $4.
These cost savings occur due to reduced expenses on employee medical care, paid time off, dealing with worker compensation lawyers, and reputation management.
Improved Customer Satisfaction
Workers who feel committed to their jobs and happy in their roles, feel a higher sense of ownership with the work they do. They are likely to think outside the box when providing customer service solutions and be more consistent in their level of service.
Intuitive customer services provided with dedication lead to more satisfied customers, fewer complaints, and more rapid resolutions.
Improved customer satisfaction directly impacts consumer loyalty, better sales, and increased revenues.
Better Retention & Lower Absenteeism
When employees feel valued at work, they are likely to stay with the organization for longer. Businesses and corporate cultures that prioritize employee well-being are instrumental in curbing employee burnout and stress.
A supportive workplace that offers sound safety practices, a focus on mental health, and a level of autonomy helps people feel loyal to their organization and perform better.
Relaxed, happy, and safe people don't skip work frequently. You directly reduce absenteeism when you prioritize employee health and well-being.
Protection from legal risks & costs
State and federal bodies have strict laws protecting employees at workplaces. These laws not only address physical health and safety, but also give clear guidelines on how to create work environments that are free of discrimination, harassment, and other harmful and unfair policies.
Failure to comply with these laws can result in hefty fines and other legal consequences and may expose the business to litigation and employee lawsuits.
But businesses that work towards creating safer and supportive work environments benefit from highly positive market reputations, and can even extend to establishing a positive employer brand.
With both these things come the opportunity to attract high-quality talent and improve business performance even further.
The Takeaway
Safe businesses are smart businesses. Only a regressive work model encourages using workforces without understanding how unsafe conditions — both physical and emotional — play a role in the demise or the stunted growth of the company.
For a business to thrive and flourish, it’s crucial to take care of the people who run it. Employee well-being directly affects the bottom line of a company and can have far more implications than just profits and revenue.