Workplace health and wellness programs not only help address health care costs—they are also becoming table stakes to attract and retain talented workers, according to Optum’s 10th annual Health and Well-being at Work Study.

Optum surveyed 544 companies with 100 to 10,000-plus employees, and found that a significant majority (77 percent) say that workplace well-being programs are more important to their employee benefits mix than they were a decade ago—more than twice as many (33 percent) who said that in the 2009 survey.

Why? Not only do such programs help reduce long-term health care costs, most of the respondents say (80 percent); but other factors are now just as important: employers now offer well-being programs to also improve absenteeism/presenteeism (79 percent); to attract and retain talent; (78 percent); and to improve and maintain employee morale (76 percent).

“The top reasons for offering programs have evolved,” the authors write. “Well-being programs have the potential to create value for employers beyond containing health care costs. Employers recognize that well-being strategies play a critical role in driving a positive employee experience that results in healthy, happy, loyal and productive employees.”

A big part of this is a growing emphasis on behavioral health within well-being programs. Survey respondents say they are exploring a variety of ways to increase access to behavioral health services, including deploying digital tools (61 percent); expanding provider networks (56 percent); offering virtual visits (51 percent) and eliminating discouraging wait times for appointments (46 percent).

“Behavioral health remains a top concern for employers,” the authors write. “Nearly all employers say they plan to reduce the stigma surrounding mental health. A majority express concern about substance use disorders and access to behavioral health services.”

Other key survey findings include:

The proportion of employers using health-related mobile apps rose by 46 percent from 2016 to 2019, with now close to three-quarters of respondents reporting that the apps helped increase employee participation.
The proportion of employers that use fitness or activity devices rose by nearly 40 percent over the same time period, with 71 percent of employers reporting successful engagement by their employees.
The vast majority (84 percent) of respondents plan to increase investments in women’s health services. The largest increases from 2016 to 2018 include programs addressing fertility, up 35 percentage points, and neonatal and first year of life, both up 27 percentage points.
Telemedicine was one of the fastest-growing health programs adopted by employers, with the proportion of employers reporting its usage increasing 171 percent since 2014.
The percentage of employers offering programs to family members and retirees has risen significantly over the last decade, to 89 percent for family members and 77 percent for employees.

“Family members can frequently influence an employee’s exercise, diet and other lifestyle choices,” the authors write. “Well-being programs can be more effective when family members buy into them, too. Concerned about the dramatic rise in health care costs for older individuals, employers also are offering their well-being programs to their retirees.”

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Wellness programs evolving as employers up their investment

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