The Real ROI of Employee Wellbeing

Why investing in your people delivers measurable business results

“Employee wellbeing” has become one of the most talked-about business topics of the last decade.

But while most employers agree it’s important, many still ask the same question:

What’s the real return on investment?

The truth is, wellbeing isn’t just a nice-to-have.

It directly impacts productivity, performance, retention, and profit.

What We Mean by ‘Wellbeing’

Wellbeing isn’t just about gym memberships or free fruit.

It covers everything that supports your employees’ mental, physical, and financial health, including:

• Access to healthcare – e.g. Private Medical Insurance, Health Cash Plans

• Emotional support – via Employee Assistance Programmes (EAPs)

• Financial security – through Group Protection schemes

• Work-life balance and flexibility

• A culture of openness and care

When these areas work together, employees feel valued, supported, and empowered to do their best work.

The Business Case for Wellbeing

Let’s look at what the research shows:

• According to Deloitte’s latest report, for every £1 invested in mental health and wellbeing, businesses see an average return of £5.30.

• The CIPD found that organisations with strong wellbeing strategies report 30% lower turnover and higher engagement scores.

• The Mental Health Foundation estimates that mental ill health costs UK employers over £45 billion a year in absence, presenteeism, and staff turnover.

In other words - doing nothing costs more than doing something.

Where the ROI Comes From

1. Reduced Absence

When employees have access to support - whether that’s counselling, private treatment, or cash-back on everyday healthcare - they’re more likely to recover quickly and return to work sooner.

Fewer sick days = direct savings and less disruption.

2. Improved Retention

Benefits and wellbeing support show employees they’re valued.

That sense of care and stability leads to lower turnover, reduced recruitment costs, and better continuity.

3. Higher Engagement and Productivity

People who feel well and supported perform better.

They’re more focused, collaborative, and resilient - which improves business performance.

4. Stronger Employer Brand

In competitive markets, wellbeing benefits help attract talent.

They show prospective employees that your business stands for more than just profit - it stands for people.

How to Measure ROI in Practice

Measuring wellbeing ROI doesn’t have to be complicated.

Start with these indicators:

Area	What to Measure	What to Look For
Absence	Sickness days before and after introducing new benefits	Fewer days = positive ROI
Turnover	Resignations per year	Lower turnover = improved retention
Engagement	Pulse surveys, wellbeing scores, employee feedback	Higher morale = cultural impact
Usage	EAP calls, Cash Plan claims, PMI appointments	Higher usage = better awareness
Productivity	Output per employee, project delivery rates	Stable or rising performance even under pressure

Even small improvements across these areas can deliver significant returns.

What Drives the Best Results

To see a strong ROI, wellbeing strategies need three key ingredients:

1. Accessibility – employees know how to access help and can do so easily.

2. Consistency – communication is regular, clear, and supportive.

3. Integration – wellbeing links with your wider culture and benefits, rather than being a standalone initiative.

Final Thoughts

Employee wellbeing isn’t a cost - it’s an investment.

One that pays back through loyalty, productivity, and culture.

Businesses that understand this see the long-term value, not just the short-term spend.

Because when people feel good, they do good work - and everyone benefits.

Speak to Excellect to explore cost-effective ways to enhance your employee wellbeing and get real business results.