How to develop a workplace Well-being Policy that benefits everyone

A Well-being Policy is a key tool that helps organizations set out their approach to supporting staff and fostering a supportive and productive workplace. In this comprehensive guide, Vix Anderton shares her advice on creating an effective Well-being Policy and explores the benefits to both employers and employees.

What is workplace well-being?

Workplace well-being is the state of health, vitality, and performance of employees within the work environment. It goes beyond simply the absence of illness or injury and encompasses a multi-dimensional approach to employee health and well-being. It considers how work design, organizational culture, and management practices can impact employees’ physical, mental, emotional and social well-being.

Ultimately, a healthy and supportive work environment helps people to thrive and supports them in achieving their personal and professional potential.

With 1 in 4 predicted to experience a mental health problem of some kind each year, and 1 in 6 people reporting experiencing a common mental health problem (like anxiety and depression) in any given week in England, this is a pressing issue that employers need to take seriously.

Workplace well-being is not just a moral imperative, it’s a critical business issue. A well-designed workplace Well-being Policy can be a powerful tool to address these challenges and create a healthier, happier, and more productive workforce.

But what should be included in your Well-being Policy and how should it be implemented? We explore this in more detail alongside the benefits and implementation considerations.

QUICK LINKS

• The cost of poor staff well-being
• Embedding a well-being strategy
• What is a Well-being Policy?
• Rewards of a Well-being Policy
• What to include in your Well-being Policy
• Creating your Well-being Policy
• Implementing your Well-being Policy
• Investing in well-being is investing in success

The cost of poor staff well-being

Mental ill health, such as clinical depression, is the leading cause of long-term absence and three-quarters of respondents (76%) reported some stress-related absence, with heavy workloads and management style most commonly to blame.

For organizations, this translates to a substantial cost, not just in terms of productivity loss, but also in increased healthcare costs and presenteeism (employees physically present but mentally disengaged).

A 2024 study by Deloitte found presenteeism costs businesses roughly three times as much as mental health-related absenteeism. This highlights the importance of not just focusing on absences, but also on employee well-being and engagement.

The same report found that 35% of respondents expect support for themselves and their children / immediate family (for example by providing an employee support line, childcare support, or flexible working arrangements) but only 26% of respondents felt their organization did enough to support them and their family.

Embedding a well-being strategy

Well-being initiatives, like many other initiatives, can have limited effectiveness if they operate in isolation from the day-to-day business. For true success, employee well-being needs to be woven into the fabric of the organization. This means embedding well-being principles in the company culture and leadership practices, as well as everyday people management processes.

Developing a shared understanding of what a well-being strategy would look like at leadership level is an important step in defining a Well-being Policy. By taking this holistic approach, organizations can ensure that well-being initiatives are embedded as an integral part of the work environment, driving long-term positive outcomes for both employees and the business.

So what is a Well-being Policy and why have one?

A Well-being Policy outlines an organization’s commitment to supporting these various aspects of employee well-being, tailored to the organization and workforce’s needs. It serves as a roadmap for creating a work environment that promotes employee health and happiness, reduces stress, and fosters a positive work culture.

A well-designed Well-being Policy isn’t just a feel-good initiative – it’s a strategic investment that delivers tangible benefits for both employers and employees.  Here is how a strong well-being policy creates a win-win situation for both employers and employees.

The benefits of a Well-being Policy for organizations include:

• Productivity and performance: Reduced absenteeism, presenteeism, and employee turnover translate directly to increased productivity and improved business performance.
• Improved engagement and retention: When employees feel valued and supported by their organization’s commitment to their well-being, they’re more likely to be engaged and motivated, leading to higher retention rates.
• Stronger employer brand reputation: A focus on employee well-being can attract top talent and enhance your company’s reputation as a caring and responsible employer.

The benefits of a Well-being Policy for employees include:

• Reduced stress and anxiety: By providing resources and support for mental health and well-being, a policy can help employees manage stress and improve their overall mental well-being.
• Improved work-life balance: Initiatives promoting flexible work arrangements and healthy boundaries can help employees achieve a better balance between work and personal life, leading to increased satisfaction and reduced burnout.
• Increased job satisfaction: Feeling valued and supported by their employer contributes significantly to employee satisfaction. A well–being policy demonstrates the organization’s commitment to its employees’ well–being, fostering a more positive work environment. 
• Feeling valued and supported by the employer: A well–being policy sends a clear message to employees that their well–being matters. This can lead to increased trust, loyalty, a stronger sense of belonging within the organization and increased job satisfaction.

By investing in a Well-being Policy, organizations can create a healthier and happier workforce, leading to numerous benefits for both employers and employees.

What to include in your Well-being Policy

A Well-being Policy serves as a roadmap for your organization’s commitment to employee well-being. There is no one-size-fits-all approach but an effective, holistic Well-being Policy should at least consider these key elements:

1. Statement of commitment
This section clearly outlines an organization’s intent to support employee well-being. It should express a genuine desire to create a healthy and positive work environment for all staff.

2. Relevant definitions and principles
This section defines key terms related to well-being, such as stress, work-life balance, presenteeism and mental health. It can also outline your core principles regarding well-being, such as promoting a respectful and inclusive work environment.

3. SMART objectives
Setting Specific, Measurable, Achievable, Relevant, and Time-bound (SMART) objectives allows you to track progress and measure the impact of your well-being initiatives. Quantifiable metrics might include reducing employee absenteeism by X% over 3 years or increasing employee participation in well-being programs by Y%. Conversely, it’s also important to include qualitative feedback that provides deeper insights into employee sentiment such as pulse surveys and townhalls. Measuring and monitoring your progress towards these objectives will help ensure your well-being policy is having the impact you hope for.

4. Roles and responsibilities
Define the roles and responsibilities of various stakeholders in upholding the Well-being Policy. This might include:

• Senior Leadership: Championing well-being initiatives and embedding them within the organizational culture.
• Line Managers: Providing support to employees and ensuring the implementation of well-being initiatives within their teams.
• Employees: Taking responsibility for their own well-being and utilizing the resources available.

5. Support initiatives
This section details the specific initiatives an organization offers to support employee well-being. Examples could include:

• Employee Assistance Programs (EAPs): Providing confidential access to professional counselling and support services.
• Flexible Working Arrangements: Offering options like remote work, flexi-time, or compressed workweeks to promote a better work-life balance
• Access to Health and Wellness Resources: Signposting resources and information on healthy living, stress management, and mental health awareness.
• Social Activities and Events: Encouraging employee interaction and fostering a sense of community through social events and team-building activities.

6. Aligning with other policies
Your Well-being Policy should complement and align with other existing organizational policies. Examples of the top policies your organization needs might include:

• Equality, Diversity, and Inclusion Policy
• Learning and Development Policy
• Sickness Absence Policy
• Grievance, Bullying and Harassment Policy
• Ways of Working or Flexible Working Policy
• Attendance and Leave Policy
  
• Menopause Policy
• Health and Safety Policy 

Creating your Well-being Policy

An effective mental health and Well-being Policy is a living document that should evolve alongside your organization. Whether you’re starting from scratch or revisiting an existing policy, here’s a roadmap for the process:

1. Review what you already have in place

Assess effectiveness: Conduct surveys, focus groups, or one-on-one interviews to understand employee experience and gauge the effectiveness of the current policy.
Capture what’s working: Build on existing initiatives and programs, even they haven’t been articulated in a formal policy.
Identify gaps: Analyze the feedback to identify areas where the policy falls short or doesn’t address current needs.

2. Employee involvement is key

Establish a working group with employee representation to ensure diverse perspectives are considered throughout the process.

3. Research best practices

Explore current trends and best practices in workplace well-being that align with your organization’s specific needs and industry.

4. Legal compliance

There’s no legal mandate for employee well-being per se, but employers have a duty of care to ensure employee health and safety under the Health and Safety at Work Act 1974. You should also consider other relevant legislation like the Equality Act 2010, the Flexible Working regulations, and the Worker Protection Act.

5. Gaining stakeholder and staff buy-in

Building strong leadership and staff support is crucial for a successful Well-being Policy.

• Present a compelling business case: Gather data and statistics showcasing the benefits of a Well-being Policy for both the organization and employees.
• Collaboration is key: Involve key stakeholders in the development process to foster ownership and understanding.
• Open communication: Address concerns and answer questions transparently throughout the process.

EW Group can support you in reviewing and updating your existing policies, creating new ones if they don’t exist, and training staff in their implementation. By working together, we can create a Well-being Policy that fosters a healthy and productive work environment for all your employees.

Implementing your Well-being Policy: Putting knowledge into action

A Well-being Policy is only as effective as its implementation. Training managers and staff on the policy is crucial for its success.

Many employees feel uncomfortable discussing mental health and well-being concerns. While line managers aren’t expected to be mental health experts, equipping them with the skills to listen effectively, identify signs of stress or struggle, and signpost employees to appropriate resources is crucial. Training empowers managers to have open conversations, offer support, and create a safe space for employees to seek help.

For employees, understanding the policy’s contents, available resources, and their rights and responsibilities empowers them to take charge of their well-being and access the support they need.

EW Group’s mental health & well-being training equips managers and staff with the knowledge and skills to navigate well-being conversations and support a healthy work environment.

Investing in well-being is investing in success

Workplace well-being isn’t just a buzzword; it’s a strategic investment that benefits both businesses and their employees. An effective Well-being Policy is key to creating a healthy and productive work environment.

The benefits of a strong Well-being Policy are undeniable and foster a win-win situation. By prioritizing employee well-being, organizations can create a thriving and productive work environment, while employees experience a more positive and supportive work experience.

EW Group can be your partner in developing and implementing a Well-being Policy that empowers your workforce and drives success for your organization. Explore our services or contact us today to learn more.