The Importance of Employee Wellbeing - Why It Matters

19 Mar 2025

What Does Employee Wellbeing Mean?

Employee wellbeing refers to the overall physical, mental and emotional wellbeing of your staff at work. It’s not just about whether or not they’re happy or healthy. Instead, it’s a holistic assessment of how they feel their life and career are progressing, usually with reference to their core preferences, beliefs and expectations.

How It’s Measured

Research from Gallup has identified five core elements of wellbeing. They are:

• Career wellbeing
• Social wellbeing
• Financial wellbeing
• Physical wellbeing
• Community wellbeing

If you are fulfilled in all of these areas, you likely experience a high level of overall wellbeing. That being said, the extent to which you’re satisfied by your career tends to be the most influential factor on overall wellbeing. Why? Because your job has such a large impact on your life in general - it affects your financial situation, where you can afford to live, and whether or not you have time to do the things and see the people that matter to you.

The Importance of Stall Wellbeing

1. Increases Employee Loyalty and Retention

Employees who experience career satisfaction are more likely to feel loyal to their employer. This has a significant impact. Loyal staff are more invested in the success of their organisation, so they tend to deliver higher-quality work. They’re also less likely to seek alternative employment, so they remain at the organisation longer, sometimes for their whole careers. As a result, these employees gain a uniquely nuanced understanding of how their organisation operates, making them an invaluable asset.

2. Boosts Productivity

Feeling respected and valued at work is a key driver of employee productivity. Similarly, a dynamic and engaging workplace makes it easier for employees to focus, while chaotic or boring workplaces tend to have the opposite effect. For example, exercise programs like Corporate Pilates are a great way to reinvigorate the office atmosphere. Though it may involve employees being away from their work for an hour or so each week while they participate, the improvement in productivity can far outweigh the cost.

3. Reduced Absenteeism

Employees who feel stressed, burnt out, or disengaged tend to take more time off. This causes a disconnect between team members and can negatively impact overall productivity. In contrast, employees who see their workplace as a setting where they can get things done, form bonds with their colleagues, and receive recognition for their work are more likely to show up and put their best foot forward.

4. Improves Overall Wellbeing

Career wellbeing has a pervasive effect on overall wellbeing. If you create a working environment where your team feels fulfilled, it will undoubtedly have a positive impact on their other spheres of wellbeing (social, financial, physical and community). This contributes to a positive feedback loop where employees feel increasingly satisfied in both their personal and professional lives over time. As a result, organisations get to enjoy the benefits that come with having engaged and committed team members.

The Role of Corporate Wellness

The importance of healthy employees can not be understated.

Corporate Wellness Programs are a great way to strategically improve employee wellbeing. By introducing structured fitness and meditation into the workplace, you’re creating a more dynamic atmosphere while also giving your team the tools they need to improve their mental and physical health.

Our wellbeing experts can help you develop a program purpose-built for your team.

Speak to one of our friendly advisors today.

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