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Businesses that prioritise the wellbeing of their employees achieve up to three times higher shareholder returns, but many organisations continue to overlook the importance of employee welfare, a new report has revealed.
A new report published by UAre Group has uncovered data that makes a compelling argument for why investing in employees’ wellbeing is “no longer optional” but essential for business success.
Maximising Return on Investment in Your People 2025 consolidated findings from various prestigious global research institutions, including the likes of Harvard, Oxford, MIT, and Deloitte.
According to the report, organisations with elevated employee wellbeing scored triple higher shareholder returns, 50 per cent lower staff turnover, 21 per cent greater profitability, and a 400 per cent return on investment (ROI) in wellbeing programs they implemented.
In light of these findings, UAre Group co-founder and chairman Grant Ellison explained that the results reveal that there “leaves no room for doubt” that employee wellbeing is a financially strategic investment.
“The numbers speak for themselves – companies that actively invest in their people win in every meaningful way, from productivity and retention to bottom-line performance,” Ellison said.
“This isn’t just about reducing sick days or improving morale. The market is now rewarding businesses that can demonstrate a real commitment to employee wellbeing. Investors are tracking it. Regulators are scrutinising it. And the best talent is choosing workplaces that genuinely prioritise their people,” Ellison said.
The report also indicated that organisations that invest in employee wellbeing stand to gain substantial financial benefits, with research conducted by PwC and Deloitte suggesting that “for every $1 invested in employee wellbeing, businesses can expect at least a $4 return”.
Despite the apparent advantages, UAre Group’s report noted that fewer than 20 per cent of businesses currently implement a wellbeing strategy, even though 85 per cent of executives acknowledge that such a strategy offers a competitive advantage.
Ellison attributed one factor to the low number of organisations implementing a wellbeing strategy to their uncertainty about “where to start and how to measure impact”.
To assist these businesses, UAre Group has delineated six essential steps that they can follow to help them “implement a successful, measurable, and sustainable wellbeing strategy”.
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Establish a clear wellbeing business case: This initial step involves defining the strategic objective of your wellbeing initiative, quantifying the program’s financial impact through industry benchmarks and ROI models, and securing board buy-in for successful execution.
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Appoint an executive sponsor: UAre Group outlined how organisations should designate a C-suite executive to advocate for wellbeing initiatives and develop wellbeing champions within individual business units.
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Implement a data-driven reporting framework: It noted that businesses should “establish baseline wellbeing metrics” through sentiment surveys and workplace engagement data, as this allows organisations to “track key performance indicators”.
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Align wellbeing with strategic priorities: For wellbeing to be effective, UAre Group said it must be integrated into “leadership development, performance management, and organisational values”.
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Embed wellbeing in culture and leadership: It explained that, with managers playing a crucial role in supporting employee wellbeing, businesses must train them in this area. Additionally, UAre Group noted companies need to create “psychologically safe workplaces where employees feel comfortable discussing mental health”.
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Measure, adapt, and celebrate progress: UAre Group outlined that businesses must continuously elevate and adapt wellbeing strategies and ensure that organisations celebrate wellbeing success in company communications as it reinforces their importance.
