The World Economic Forum (WEF) published Thriving Workplaces: How Employers can Improve Productivity and Change Lives (January 2025). The report captures risks and opportunities related to worker health, drawing on data collected by the McKinsey Health Institute among other sources.
Human Level’s Take:
- Workers across sectors and geographies are experiencing challenges to their well-being, including more mental health disorders and obesity, unmet needs from chronic health conditions, and climate change-driven impacts to food security, infectious disease and access to healthcare.
- At the same time, there is a clear business case for supporting worker well-being amidst these challenges. WEF identifies close links between employee holistic health (including physical, mental, social and spiritual health) and organisational performance, specifically lower healthcare costs, higher productivity, improved talent retention and attraction, and overall company resilience.
- Some workers, like those who are women, LGBTQI+, younger, neurodivergent or have lower education or income levels, are more likely to experience burn-out and poor health. This points to the importance for companies of focusing their efforts on their most vulnerable workers. (Parallel research also points to the importance of prioritising workers in precarious employment).
- The report recommends a six-step action plan for companies: (1) understanding workplace health and root causes; (2) developing initiatives focused on long-term strategic change rather than easy wins; (3) piloting these initiatives and seeking input from workers; (4) tracking progress using metrics that capture the bigger picture of employee health; (5) demonstrating a commitment to a healthy workplace from the top levels of company leadership; and (6) targeting systemic shifts in the organisational mindset to ensure long-term benefits for workers and the business.
Some key takeaways:
- Why worker well-being matters: WEF underscores that “holistic” employee health — including physical, mental, social and spiritual health — is closely connected to their quality of work, productivity and overall performance. WEF finds that organisations that invest in worker health can lower healthcare costs, boost productivity, improve talent management and enhance overall performance and resilience. For example, investing in holistic employee health offers significant economic benefits, with potential global value ranging from 17% to 55% of annual pay per employee. In addition, well-being is increasingly prioritised by investors, regulators and consumers, with growing demands for transparency and compliance with ESG criteria.
- Some workers are more vulnerable to negative health impacts: WEF’s research shows that there are disparities in holistic health and burnout across industries and demographics, highlighting the need for tailored interventions. A top finding is that certain groups who could be more vulnerable in the workplace are experiencing poorer health outcomes, including employees who are women, LGBTQI+, younger, neurodivergent or have lower education or income levels. This shows the importance of understanding the root causes of poorer health in order to tackle them more effectively. What’s more, creating inclusive workplaces can help to mitigate the risks to vulnerable employees. Certain industries performed worse than others, with higher rates of burn-out and lower rates of holistic health in accounting, retail, agriculture/forestry/fishing/livestock, shipping/distribution, and arts/media/entertainment/recreation. Ultimately, WEF points out that a one-size-fits-all approach won't be effective; employers must work with employees to develop targeted interventions that enhance health and well-being while maximising organisational value.
- What’s needed from employers: The report points to the need to take a strategic approach to workforce health by investing in approaches that tackle both symptoms and root causes of poor health in the workplace. WEF suggests six principles to address worker health: (1) understanding the organisation's employee health and well-being status and demonstrating the value of safe, healthy workplaces for the company; (2) developing initiatives that are focused on long-term, systemic changes rather than easy wins - for example, programmes focused on diversity and inclusion and psychological well-being; (3) using pilot programs to test interventions, seeking input from workers; (4) monitoring progress using meaningful metrics that go beyond the traditional markers of sickness, absenteeism, disease, safety and injury. For example, companies could also track employee retention and attraction, turnover due to poor physical or mental health, and overall productivity; (5) ensuring commitment from and sponsorship by leaders to set the tone from the top, create accountability and more effectively integrate well-being into the core organisational strategy; and (6) embedding employee health into organisational culture, including as a part of daily practices, management analytics, leadership behaviours, the deployment of digital tools, policies and values. WEF underscores that creating a systemic mindset shift can also build worker trust and break down barriers such as privacy concerns or mental health stigma.
