If you’re wondering how to invest more in the health of your employees during times of cost-cutting, often it’s best to think more holistically about well-being.

Today, your people face a multitude of work and lifestyle pressures which impact their capacity to thrive in life - what we call “vitality”. To keep your employees and your business healthy, you need to understand and look after every facet of vitality, from the physical to the social, spiritual, and intellectual elements of daily life, to the occupational and financial.

Vitality is flagging, so what’s the reason?

The Cigna Healthcare Vitality Study 2023 found only one in five people report high vitality with the lowest levels seen in developed markets such as Hong Kong, Singapore, and several European countries.

A key factor that determines high or low vitality is mental ill-health and stress. About 90% of people with low vitality are stressed, and despite a small decline since the peak of the pandemic, 80% of us are still feeling symptoms of stress.

Stress is not just an individual’s problem. It can negatively impact an organisation’s success, too.

Disruption of sleep, depression, and procrastination are some of the top impacts reported in our study. In fact, the World Health Organisation reports 12 billion working days are lost each year due to depression and anxiety^[1], which translates into US$1 trillion of lost productivity.

Employers see a return of US$4 for every dollar invested in mental health treatment^[2],according to research published in 2021 by the US National Safety Council and NORC at the University of Chicago. This return arises from reduced total medical costs, increased productivity, lower absenteeism and decreased disability costs. Research by McKinsey found a similar pattern, with every $1 invested in health bringing an incremental economic benefit of $2 to $4^[3]. With research from the Economist commissioned by us in 2021 finding that for every dollar spent on healthcare, a US employer saves $6 in overall medical cost^[4], the results speak for themselves.

Your employees’ priorities have changed

Employees everywhere have been re-evaluating their work life priorities since the pandemic. Compared to pre-pandemic levels, the majority of us now want to be closer to family and friends, or want more time for ourselves, or place greater emphasis on health and well-being.

The result of this sweeping change in attitudes has been the move to flexibility at work - something that has stayed with us since the height of the pandemic. The Vitality Study finds that globally, flexible time off or work arrangements are the second most sought after element of a workplace well-being program, after a private health insurance plan.

Solving the big employer dilemma

The changing dynamics of employee well-being means you must work harder than ever to motivate and retain people with benefits that support all aspects of well-being. However, confronted by“uncomfortably high”^[5] inflation and an uncertain economic outlook, you may find yourself torn between maintaining profitability and investing in employee well-being.

Here are some ways you can address this dilemma:

1. 1. Approach well-being the way you run your business: This starts with creating clear plans with milestones and deliverables, and then monitoring and communicating the results to ensure that all employees and decision makers understand the return on investment of the changes.
   
   

2. 2. Take a long-term view of cost and benefit: Build programs that support employees through their entire health journey, from preventive care and lifestyle change to treatment and rehabilitation. In the long run, this helps your organisation reduce total healthcare costs by improving health outcomes.
   
   

3. 3. Invest in intellectual capital: Our Vitality Study finds that intellectual health is now one of the most highly valued aspects of vitality. By supporting your employee to learn and upskill, not only can you enhance their overall state of well-being, but also build capability for your business.
   
   

4. 4. Regular, transparent communication channels: The availability of appropriate platforms to encourage people to voice their opinions and talk about their challenges is key to providing support that is fit for purpose. Anonymous pulse surveys, one-on-one check-ins or support groups are some effective ways to do so.
   
   

5. 5. Leadership support: Leaders must empower their employees by allowing them the autonomy to develop programs that suit their needs. They must also invest time and resources into supporting vitality –the 5% Pledge by Cigna Healthcare is an example of leadership commitment to advance mental well-being at work.
   
   

Now more than ever, employers need to understand and embrace the broad range of interconnecting factors that determine the vitality of their employees, which in turn defines the health and success of the organisation. In the face of economic uncertainty and a competitive talent market, by investing wisely in your people’s vitality, you can reap the return of a committed, productive, and high-performance workforce.