Author: Cheryl Clements, Head of Business Development of Tusker

High-performing organisations recognise that employee wellbeing is not just an advantage, it’s a necessity for business success. A holistic wellbeing strategy goes beyond compliance with health and safety regulations; it fosters a thriving workforce, boosts productivity and improves retention.


In recent years workplace dynamics have experienced dramatic shifts: Hybrid work models have surged, artificial intelligence has altered operations, and mental health awareness has risen. With employee pressure mounting, companies that prioritise wellbeing can see high levels of return on investment (ROI) and outperform competitors.

The Business case for employee wellbeing in 2025
Employer wellbeing is no longer optional, it’s a primary driver in organisational success. Here’s why:

1) Rapid change means employees require more support
- The shift towards hybrid and remote work settings, as well as increasing return-to-office demands have enhanced the diversity of employee needs. For many, this has fragmented human connection and workplace culture, with outside demands impacting employee routines, for example how parents navigate childcare. These constant changes can spur loneliness, stress and burnout.

2) Cost of living & financial wellbeing
- With inflation and rising living costs, financial stress is a top concern for employees.
- Recent studies highlight how 32% of UK adults admitted anxiety around paying bills in the last two weeks, while 15% felt stressed about job insecurity.
- 76% of people who suffered from financial stress could identify at least one instance where it had a negative impact on their work.
- 49% of employees expressed financial support as the top priority from their employer, yet only 24% of employers recognised it as a priority. These statistics highlight how a lack of financial support in your benefits program negatively impacts employee productivity and focus.

3) Changing employee priorities: Gen Z and sustainability
- Younger generations, including Gen Z and Millennials, who together make up more than half of the UK workforce, have broadened expectations for workplace wellbeing.
- Most significant shifts include greater demands for employer sustainability. Eco-friendly workplaces, such as green offices and carbon-neutral benefits like electric vehicles, improve morale and attract talent.
- Research has found that 33% of 16–24-year-olds are anxious when hearing about climate change, while 42% of young workers morale is adversely affected by poor sustainability initiatives.

4) Wellbeing is a competitive advantage
- Wellbeing is measurable and there is clear evidence it is vital to business success; from enhanced engagement and productivity, to reducing sickness absence and strengthening an employee value proposition. Research includes how:
- Return on investment in wellbeing which tackles mental health problems is on average £5.30 for every £1 spent.
- 99% of HR leaders say wellness programmes have enhanced their employee productivity
- 89% of HR leaders see reduced absenteeism from wellbeing initiatives
- 37% of UK employers have reported increased employee retention rates after implementing employee wellness programs.

5) Your competitors are likely already ahead
- Data indicates more than 87% of organisations worldwide have at least one wellbeing initiative, whilst 83% have a wellbeing strategy. Additionally, 41% have fully integrated wellbeing into their overall business strategy.

In 2025, having an employee wellbeing strategy isn’t just an employee privilege, it’s a business imperative. As workplace dynamics shift, financial pressures rise, and younger generations demand more from employers, companies that prioritise holistic wellbeing will see higher productivity, retention, and overall success. With clear ROI and growing competition, now is the time to invest in a strategy that supports your workforce and strengthens your business.

See part two of this article to understand what to focus on and where to begin.

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