Wellbeing pays: the ROI HR can’t ignore

Think wellbeing is a nice-to-have? The numbers say otherwise. From reducing absenteeism to boosting productivity, here’s why investing in employee wellbeing pays off – and why HR can’t afford to ignore the ROI.

For too long, workplace wellbeing was treated as a soft extra – something you offered if budget allowed. But in 2025, the conversation has changed. Latest research confirms what many HR directors have long suspected: wellbeing pays for itself. In fact, Deloitte even put a figure to this recently, saying, “Organisations can save £4.70 on every £1 invested in wellbeing.”

For businesses grappling with rising costs, skills shortages and the challenges of hybrid work, employee wellbeing is no longer a perk – it’s now a business imperative. World Mental Health Day (10 October) offers a natural point for employers to reflect – not just on the mental health of their workforce, but also on how their overall wellbeing efforts are supporting staff and strengthening business performance.

But what is employee wellbeing?

Let’s start with what it’s not: it’s not about costly away days or ticking boxes with a bowl of fruit in the staff kitchen. While both might be welcomed in the short term, true employee wellbeing is a much broader, more practical mix of interventions and initiatives that help staff feel supported and able to thrive.

This might include Employee Assistance Programmes (EAPs), discounted gym memberships, financial wellbeing support, or short courses to help build resilience and reduce stress. It could also mean fostering a psychologically safe environment, training managers to spot early signs of stress, offering flexible working hours, or introducing meaningful volunteering initiatives. The right mix will be determined by the culture and needs of your organisation.

Ultimately, it’s about creating an environment where people feel better, work smarter – and stay longer, too.

But does it really make a difference? The data says yes. Here are five ROI (return on investment) insights every HR director should know.

1. The evidence is in: wellbeing more than pays for itself

 Professor Jan–Emmanuel de Neve’s research at the University of Oxford’s Wellbeing Research Centre reveals that firms scoring higher on employee wellbeing consistently outperform on productivity.

The numbers are compelling. Wellhub’s 2025 Return on Wellbeing survey found that 82% of CEOs see positive ROI from wellbeing programmes. And in the UK, nearly half of employers report productivity gains when staff members feel their wellbeing is genuinely supported.

With the CIPD’s most recent Health and Wellbeing at Work report (September 2025) revealing mental health is now the single biggest cause of short- and long-term workplace absence, the case for proactive investment has never been stronger.

2. What wellbeing ROI looks like in practice

It shows up in the statistics that matter the most:

●     Fewer sick days: especially those linked to stress, anxiety or depression.

●     Lower turnover costs: employees who feel supported are less likely to resign under pressure.

●     More energy and engagement: teams are better able to deliver what their customers need.

According to Deloitte, poor mental health costs UK businesses around £51 billion a year. That’s why even small improvements to workplace mental health can deliver meaningful savings for companies of all sizes.

3. Why wellbeing matters even more in 2025

 Many businesses are navigating the impact of inflation, ongoing skills shortages, and hybrid working headaches. And that’s why wellbeing isn’t a luxury: it’s a buffer against burnout, churn and dips in performance.

Burnout’s expensive. Recruitment’s expensive. Replacing knowledge is expensive. By contrast, workplace mental health initiatives – from resilience training to line manager awareness – can deliver up to four times their cost in ROI.

4. Wellbeing makes you a talent magnet

 Top candidates are increasingly looking to work for organisations that take mental health seriously. It’s why so many employers are now highlighting their wellbeing initiatives – giving them the edge when recruiting for talent.

The link is clear: a strong wellbeing culture attracts talent, supports retention and strengthens your reputation.

5. Prevention is cheaper than the cure

 The highest ROI comes when wellbeing isn’t reactive. Training managers to spot early signs of stress, embedding mental health awareness courses and normalising flexible work all help keep staff healthier for longer.

Proactive mental health interventions don’t just reduce absence – they protect productivity, prevent resignations and sustain performance. The evidence shows around a 4:1 ROI when organisations take a preventative approach.

 Key takeaway: employee wellbeing is a smart investment

 This World Mental Health Day, companies have an opportunity to make a stand by showing employees their wellbeing is more than a tick-box exercise – and unlocking real business value in the process.

By protecting staff from burnout, you’ll have a healthier, happier, more resilient workforce – and a healthier bottom line too.

Not sure where to start?

 With Staff Skills academy+, you don’t need to reinvent the wellbeing wheel. Our LMS offers 700+ CPD-certified courses covering essential topics such as resilience, mental health awareness and stress management – alongside vital compliance training, leadership development and professional upskilling.

Plus, there’s also a Wellbeing hub containing hundreds of mindfulness resources to address common issues like stress, anxiety and sleep, and a wide range of Les Mills fitness classes to suit all needs and abilities.

If you’d like to find out more, please get in touch – we’d love to have a chat.

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