The American Psychological Association has recently announced its 2010 Healthy Workplaces. These are places that are committed to effective wellness initiatives for their employees. Some of them are investing a great deal of money in these programs but it appears that it’s paying off.
APA’s five top award-winners reported an average turnover rate of just 9 percent last year, compared with a national average of 41 percent estimated by the U.S. Department of Labor’s Bureau of Labor Statistics. Only 30 percent of employees surveyed at the winning organizations reported chronic work stress, compared with 41 percent nationally. And only 12 percent said they planned to seek employment elsewhere within the next year versus 31 percent nationally.
I recently presented at the MRA Annual Conference in Oconomowoc, WI. I spoke on management’s role in a creating a culture of wellness. When I read these statistics to a room full of HR professionals, there was a lot of excitement. These are seriously impressive results. It costs a company a fortune to lose employees.
It has been estimated that the return on investment for wellness initiatives is anywhere from $2.5 to $5 for every $1 spent. This includes decreased turnover, improved employee satisfaction, increased productivity, and improved quality of work. Who’s losing out in this deal? Only those who are afraid to make the investment.