Building the business case for wellbeing

Almost three-fifths (58%) of chief executive officers (CEOs) agree that wellbeing is critical to their organisation’s financial success, according to Wellhub’s June 2025 research. This suggests prioritising wellbeing is worthwhile for those wanting to boost productivity and profit. So, how can employers build the business case for wellbeing in the workplace?

Where to start

Employers should start with a clear understanding of what they want their wellbeing strategy to achieve and how their objectives align with their culture and business goals.

First, it is important for employers to decide if they want a wellbeing strategy that will improve health and might impact motivation and productivity, or one that drives engagement, says Luke Bullen, VP and head of UK and Ireland at Wellhub.

“Are they trying to improve people’s health in a way that’s going to give a return on investment or just trying to keep them engaged?” he adds.

Organisations should have a clearly defined strategy underpinned by robust policies; analysing absence trends, benefits usage data and employee feedback, will ensure it reflects needs. 

It is important to assess what is already available within an organisation’s existing benefits package to identify any gaps, adds Beth Husted, associate director, health and benefits at Willis Towers Watson (WTW).

“Employers should compare this with their workforces’ health risks and demographics using engagement scores and survey feedback,” she says. “Consistency to absence management and support build a joined-up, inclusive approach. Wellbeing should be proactive and embedded into an organisation’s ways of working.”

Popular initiatives

Rising health costs, lifestyle-related conditions and NHS pressures are seeing organisations thinking more proactively, recognising that prevention is good for long-term sustainability.

There has been a growing interest in benefits for nutrition, sleep, the menopause and neurodiversity, says Husted.

“Mental health remains one of the leading causes of workplace absence, so we’re seeing continued investment in employee assistance programmes (EAPs), stress risk assessments, and resilience training,” she says. ”Budgeting, debt and financial planning support is becoming more common in response to economic pressures.”

For example, organisations that cannot fund private medical insurance (PMI) could offer employee or employer-funded health cash plans, covering counselling in addition to physical health support such as physiotherapy, private scans, dental and eye care.

“We see employers offer platforms with everything in one place,” says Bullen. “This can highlight other support, and remove cost and accessibility barriers. That is where employers get return on investment, by attracting people to start new habits they might not have done otherwise.”

Employee value proposition

Wellbeing initiatives can form a vital part of an organisation’s employee value proposition, and can present it as an employer of choice that supports its workforce. Initiatives can also address retention, absence and productivity.   

Employers should also look at what impact wellbeing initiatives will have on their business, goals or the metrics they are working towards or measuring, says Hannah Power, employee experience specialist at Reward Gateway. “If an organisation has a financial growth goal but high levels of absence, that’s a huge cost and will impact its bottom line,” she explains. ”There is additionally a reputational impact if [it does not] introduce support, which also forms part of the business case.”

By aligning wellbeing initiatives with business outcomes and employee needs, employers can implement meaningful and measurable options.

The key stakeholders for such decision-making will vary depending on the nature, scale and cost of initiatives. CEOs can be involved, along with heads of HR, benefits and wellbeing, wellbeing champions, and health and safety teams.

“If budget is required, finance will play a role,” adds Husted. ”If it involves physical workspace changes, facilities and risk teams need to be engaged. Employee relations teams can help ensure alignment with policy, while resource groups provide insight into needs and drive engagement.”

Wellbeing on a budget

A large wellbeing budget is not always required, but employers can instead be smart with what they have. A review of the policies and initiatives already in place, for example, might highlight where savings can be made or finances redirected.

“Employers should know what they’re spending,” says Bullen. “Are there any savings they can make, and could money be spent more efficiently? Those with limited budgets should explore how to be creative with their budget to properly invest in wellbeing.”

Employers can make the most of multi-service discounts if they have several schemes with one provider and ask what additional resources they could access, such as education, webinars and toolkits.

“There’s also a wealth of free or low-cost resources from charities offering education and campaigns, to public health bodies with guidance,” adds Husted.

Measuring for return on investment

Wellbeing initiatives or benefits will not show their full impact overnight, so it is important to use a range of measures to track progress. Feedback via staff surveys and exit interviews is a valuable tool to indicate whether the trajectory is positive. Informal conversations and employee resource groups can also offer feedback on the success or value of a wellbeing benefit. Survey scores will also give a good indication of employee engagement with the benefits, Power says. “If monitoring reduced sickness and absence, employers can quantify that to a cost to see what financial impact it has had,” she adds.

A campaign to drive engagement with wellbeing initatives should demonstrate the benefits these can bring to both employees and the employer. Take-up figues will show just how valued a scheme is. “Reporting internally is important; making sure senior leaders are seeing a wellbeing strategy’s tangible success [is] more likely to increase future funding,” says Buller.

There is no denying that there is a solid business case for wellbeing in the workplace, enabling organisations to reap rewards in terms of bolstered productivity and staff wellness.