How Can Employee Wellness Increase Productivity?

Employee wellness and productivity are tightly linked. When people feel healthy, supported, and energised, they bring more focus, creativity, and commitment to their work. Here’s how wellness directly translates into higher productivity, and why it’s more than just a “nice to have”.

Fitness and physical health

As an employer, you can encourage physical health by providing employee benefits such as gym memberships, in-house exercise classes or physical group activities, such as walks or runs.  By promoting physical activity within your team, you can boost productivity.  Research shows that physical activity can improve concentration, memory, learning, mental stamina, creativity, and stress...  If you want the best from your employees, encourage physical activity to benefit both your employees and you. Just a few hours a week can drastically change the dynamic and productivity of the office.

Hours Worked

There have been numerous scientific studies that support working less increases productivity in the workplace.

The average working hours in the UK are widely known as 9-5 (40-hour week); however, research suggests that the average worker is only productive for two hours 53 minutes (read more here) in an 8-hour day.  On average, work takes up 1/3rd of our day, but we are only productive 12% of it.

So what do we all do in the other 5 hours and 7 minutes at work?

A study by the Bureau of National Statistics showed that nearly 2,000 full-time office workers aren't working most of the time.

The most popular unproductive activities listed were:

1. Reading news websites–1 hour, 5 minutes

2. Checking social media–44 minutes

3. Discussing non-work-related things with co-workers–40 minutes

4. Searching for new jobs–26 minutes

5. Taking smoke breaks–23 minutes

6. Making calls to partners or friends–18 minutes

7. Making hot drinks–17 minutes

8. Texting or instant messaging–14 minutes

9. Eating snacks–8 minutes

10. Making food in the office–7 minutes

According to a recent experiment conducted by the Swedish government, working fewer hours could lead to higher productivity. Reports found that a shortened workday led to an overall increase in productivity. At the same time, their baseline was slightly narrow, with the experiment being conducted among 68 nurses working at Svartedalens retirement home. Their working hours were brought down to six while still being paid their eight-hour salary. The principle behind the experiment holds true for almost all industries and professionals.

Statistically speaking, 50 per cent of the nurses expressed having more energy after a six-hour workday, compared to 20 per cent of the eight-hour workers. At the same time, a 4.7 per cent reduction in total sick days taken and a noticeable decrease in absenteeism were observed. Furthermore, nurses working the six-hour workdays confessed to being less stressed and more physically active, with neck and back pain in check. One of the metric researchers also surmised that this enabled them to carry out 64% more active work while dealing with elderly patients.

While this experiment was limited to certain professionals in Sweden, companies worldwide are taking a leaf out of its book. According to a UK-based Guardian report, people in the Netherlands work five hours less per week than in Britain and Germany, six hours less. Subsequently, at the time of this study, the Dutch and German economies flourished significantly in some sectors, even giving Britain a run for her money.

Not only is there evidence to show that working a shorter day is more productive, but it is also suitable for your employees.  Maintaining a good work/ life balance is a top priority these days, with more people valuing time over money; it also builds morale,  improves overall health and reduces absenteeism and employee turnover rates.

It's not only shorter hours that show an increase in productivity. Flexible working hours have also been shown to help increase productivity and engagement and meet customers' changing needs – when work is about more than showing up, things get done.

Time outside of work

Family & friends, fun & recreation, romance & significant others

Understanding your employees' lives outside of work is crucial as an employer.  People need to have enough time to do things they want without thinking about work and other to-do lists. Do all you can to ensure your employees have enough spare time by introducing flexible working hours, enough holiday time or even early finishes to reward great work. Thinking that the weekend is enough time for people to have a life outside of work is naïve and can result in low tenure in your staff, not to mention adding stress, pressure and low performance in your employees.

Personal growth, development and academic studies

As an employer, educating your employees through training and courses can enhance their well-being and yours.  Having employees who are continuously learning means you have a more knowledgeable workforce and a happy, progressing team.  Invest in training your team by providing training sessions, courses and talks so your employees are less likely to feel as though the grass is greener in another company.

Community and environment

Being part of a team is great for individual wellness as it brings feelings of belonging and value.  It's essential to have a close-knit team who can trust and lean on one another for personal sanity and company culture. Feelings of animosity or resentment in the office can destroy your culture and the people within it.

Being around the same people in the same environment can often be stressful on employees, so it is your responsibility as an employer to create an environment where people want to be – that could include making the office a welcoming, fun place to work or it could mean mixing people's workplaces up.  Let people work from home, in a coffee shop, or even in another office if you have more than one.

Regarding team building, try doing activities outside of work together, like celebrating birthdays, meals or physical activities.

Wealth

Financial difficulties and struggles can put significant stress on people, and as an employer, you are responsible for paying your employees a fair rate. Not only should the position and workload be considered, but you should also consider things like location, working hours and commute as part of your packages.  Not only will paying a fair amount provide your employees with less financial stress, but it will also contribute to employee tenure and deter people from looking elsewhere for new positions.

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Wellness FAQs

• How does employee wellness directly impact productivity?

  Employee wellness improves productivity by increasing energy, focus, and engagement while reducing stress, absenteeism, and burnout. Healthy employees are more present, make better decisions, collaborate more effectively, and sustain high performance over time.

• Are wellness initiatives expensive to implement?

  Employee wellness initiatives don’t have to be expensive. Many effective wellness initiatives, such as flexible working hours, walking meetings, remote work options, or encouraging regular breaks cost little to nothing. Even small changes can deliver significant productivity and retention gains.

• What types of wellness initiatives have the biggest impact?

  The most impactful wellness initiatives for employees tend to focus on:

  • Physical health (movement, ergonomics, rest)

  • Mental wellbeing (manageable workloads, psychological safety)

  • Flexibility (working hours and location)

  • Work-life balance (time outside of work)

  • Financial wellbeing (fair pay and stability)

  The key is addressing wellness holistically rather than relying on one-off perks.

• Can wellness improve employee retention?

  Absolutely, wellness can improve employee retention. Employees are far more likely to stay with organisations that respect their time, health, and personal lives. Wellness-focused cultures reduce burnout, increase loyalty, and lower the cost and disruption of high turnover.

• Is employee wellness only relevant for large organisations?

  No. In fact, smaller organisations often see faster and more noticeable benefits. Simple actions like flexible hours, supportive leadership, and investment in development can dramatically improve morale and productivity in small and mid-sized teams.

• How can employers measure the success of wellness initiatives?

  Success can be measured through:

  • Reduced absenteeism and sick leave

  • Improved engagement survey results

  • Higher productivity and output quality

  • Lower employee turnover

  • Stronger team morale and collaboration

  Wellness ROI shows up in both performance and people metrics.