Employee Health and Wellbeing Benefits: Why They Matter in Today’s Workplace

Hannah Scanlan • October 2, 2024

Employee Health and Wellbeing Benefits:
Why They Matter in Today’s Workplace

In the fast-paced world of business, employee health and wellbeing have emerged as pivotal topics. Companies increasingly realise that supporting their employees' physical and mental health is not just a perk—it’s a necessity for fostering a productive and engaged workforce. Recent statistics show that only 40% of employers currently offer staff support for physical health, according to a recent study by GRID, the industry body for the group risk sector​. This low percentage is concerning, given the substantial impact health and wellbeing have on employee retention and overall job satisfaction.

The study further highlights that two in five employers provide their employees with access to private treatments, vocational rehabilitation, or other medical services. Employers who implement such benefits find themselves better equipped to address health-related issues, making group income protection and similar schemes not only a comprehensive but also a cost-effective way to manage employee wellbeing. By offering structured support, organisations can create an environment where employees feel valued and cared for, ultimately driving business success and sustainability.

“Offering structured health and wellbeing support isn’t just about being the best place to work; it’s about creating a safety net for your employees when life throws unexpected challenges at them."

In a UK Market Update, Hannah Scanlan, Recruitment Manager at People2People London, shared her insights on the growing importance of health and wellbeing benefits and how businesses can implement them effectively. Hannah highlighted how employers are beginning to see these benefits as a critical component of their recruitment and retention strategies.

“Offering structured health and wellbeing support isn’t just about being the best place to work; it’s about creating a safety net for your employees when life throws unexpected challenges at them,” said Hannah. She emphasised that companies that invest in wellbeing programs tend to see improved employee morale and engagement, which can lead to better retention rates and reduced absenteeism.

Hannah explained that employees are looking for more than just traditional benefits now. “They want flexibility, personalisation, and support that fits into their lives, not just their work environment,” she noted. This shift in expectations means that companies need to rethink their approach and look at benefits as a way to show genuine care and consideration for their staff’s diverse needs.

The conversation moved into a discussion around practical steps employers can take to implement these strategies. “Start by listening to your employees,” said Hannah. “Understand what they need and what kind of support will be most beneficial. Tailoring your benefits to suit the unique needs of your team will pay off tenfold in terms of loyalty and engagement.”

A key takeaway from the discussion was the need to integrate health and wellbeing benefits into a company’s core values and culture. It’s not enough to simply offer a gym membership or an Employee Assistance Program (EAP). “Employees want to know that their company genuinely cares about their wellbeing. This means creating a culture where using these benefits is encouraged, not stigmatised,” added Hannah. By fostering a supportive environment, businesses can empower employees to take advantage of the resources available to them.

Hannah also addressed the potential challenges of implementing such programs, particularly for smaller businesses with limited budgets. “Even small initiatives, like regular check-ins and promoting a healthy work-life balance, can have a significant impact,” she suggested. “The focus should be on creating a culture of openness and support, where employees feel safe to talk about their health and wellbeing.”

The discussion concluded with some practical advice for companies looking to strengthen their health and wellbeing offerings. Hannah emphasised that the foundation of any successful program is trust and communication. “If you’re not having conversations with your employees about what they need, you’re already behind,” she said. This approach not only helps in building a supportive workplace but also ensures that employees feel heard and appreciated.

Practical Tips to Boost Employee Wellbeing
To create a thriving and supportive work environment, consider the following strategies:

  1. Offer Personalised Benefits: Employees value benefits that cater to their individual needs. Consider flexible work arrangements, mental health days, and access to health resources that go beyond the basics.
  2. Promote a Healthy Work-Life Balance: Encourage employees to take breaks, use their leave, and avoid overworking. A culture that respects personal time helps prevent burnout and fosters long-term productivity.
  3. Implement Mental Health Support: Providing access to mental health services, such as counselling and therapy, can make a huge difference in employee satisfaction and overall wellbeing.
  4. Encourage Physical Activity: Support physical health through gym memberships, step challenges, or partnerships with local fitness centres.
  5. Create a Supportive Culture: Ensure that employees feel comfortable using the benefits provided. This could involve regular workshops, open discussions on health topics, and visible support from leadership.
  6. Provide Access to Health Professionals: Having health professionals, such as nutritionists, therapists, or wellness coaches, can offer employees a holistic approach to managing their wellbeing.
  7. Celebrate Wellbeing Initiatives: Recognise and reward employees who actively engage in wellbeing programs. This could be through incentives, shout-outs, or creating wellbeing champions within your team.

Find the job you love I Find the right talent
Get in touch with people2people
Australia I United Kingdom

As a white-collar recruitment agency, people2people specialises in accounting and finance, business support, education, executive, government, HR, legal, marketing and digital, property, sales, supply chain, and technology sectors. As the proud recipients of the 2024 RCSA Outstanding Large Agency Award and Excellence in Candidate Care Award, we are dedicated to helping businesses achieve success through a people-first approach.

Find the job you love I Find the right talent
Get in touch with people2people

Australia
   I    United Kingdom

In business since 2002 in Australia, NZ, and the United Kingdom, people2people is an award-winning recruitment agency with people at our heart. With over 12 offices, we specialise in accounting and finance, business support, education, executive, government, HR, legal, marketing and digital, property, sales, supply chain, and technology sectors. As the proud recipients of the 2024 Outstanding Large Agency and Excellence in Candidate Care Awards, we are dedicated to helping businesses achieve success through a people-first approach.

Recent articles

Calculator, pen, and financial documents with numbers and a graph.
By people2people UK September 15, 2025
The accounting industry is facing a growing talent crisis, with 94% of firms reporting that recruitment challenges are limiting their ability to grow. Staff shortages, an ageing workforce, and rising salary pressures are driving a shift toward outsourcing, offshoring, and tech investment.
Big Ben clock tower and Westminster Bridge in London, England.
By Liz Jones September 8, 2025
A workplace culture writer specialising in employee wellbeing, flexible working trends, and HR innovation. Helping organisations create healthier, more productive work environments through trusted insights and data-driven content.
By Liz Jones August 27, 2025
The latest data shows that the UK labour market continues to perform steadily in 2025, with employment levels holding firm and job vacancies remaining historically high. While pay growth has slowed slightly, overall workforce activity remains strong, supported by high participation and resilient hiring demand. Liz Jones, Recruitment Director at people2people UK, says that this steady picture aligns closely with trends identified in the firm’s 2025 UK Market Report. “We are still seeing a healthy labour market,” she explains. “Employment is growing, and job openings remain strong, especially in sectors such as healthcare, logistics and professional services.” Employment Rate Rises, Unemployment Falls According to the July 2025 bulletin, the UK employment rate rose to 76.4 percent, the highest in over a year. The unemployment rate dropped to 3.7 percent, a level not seen since early 2020. This marks continued improvement in labour force participation following a volatile period during the pandemic recovery. Jones notes that this trend is being felt across multiple industries. "Businesses are rebuilding workforces and candidates are returning to the labour market," she says. "It is encouraging to see stronger engagement from both employers and jobseekers." Pay Growth Slows but Remains Positive One notable shift in the July update is a softening of pay growth. Annual wage increases for the period stood at 5.2 percent, down from 6.1 percent earlier in the year. This reflects a more balanced economic climate as inflation eases and employers stabilise budgets. “While pay growth is slowing, it is still above historical averages,” Jones comments. “Employers are adjusting to cost pressures, but most remain committed to offering competitive salaries to retain talent.” Vacancies Stay High, Reflecting Continued Demand Despite slower wage growth, the number of job vacancies remains elevated. Sectors such as care, education, and IT continue to post consistent hiring demand, with temporary and contract roles seeing a modest rise in 2025. “Our market report shows that employers are being more selective, but they are still hiring,” says Jones. “The competition for skilled talent is keeping demand steady, especially for roles that require specialist expertise or qualifications.” Implications for Employers With a stable employment base and slower but sustained pay growth, Jones suggests that now is a critical time for companies to refine their recruitment strategies. She recommends: Reviewing salary benchmarking to stay competitive in priority roles Streamlining recruitment processes to reduce vacancy durations Investing in retention through training and internal mobility Enhancing employer branding to attract passive candidates “The market is not slowing down,” she says. “It is settling. Employers who respond with clarity and flexibility will continue to secure great talent.” Summary The July 2025 labour market update confirms a period of stability for the UK workforce. While pay increases are moderating, employment levels remain high and hiring activity continues across core sectors. For recruitment leaders, this is a time to invest in strategy, not to pull back. With the right planning, employers can navigate this market with confidence.
By Liz Jones August 20, 2025
Pressure to Return to the Office Is Driving Resentment Among UK Workers As flexible working continues to define the future of employment, new findings suggest the UK may be facing a growing disconnect between employer expectations and employee preferences. According to people2people UK’s 2025 Market Report, more than half of workers feel increasing pressure to spend additional time in the office, a shift that is impacting engagement and retention across multiple sectors. Liz Jones, Recruitment Director at people2people UK, says that rigid workplace policies are now a leading contributor to candidate reluctance and employee churn. "Our data shows that 54 percent of UK employees feel pushed to return to the office more than they want to," she explains. "This pressure is not just inconvenient. It is reshaping how people view their current roles and future opportunities." Where the Pressure Comes From The 2025 Market Report found that much of the drive to return to the office stems from top leadership, with executive teams leading the call for more on-site presence. This push is not always aligned with performance metrics or employee feedback. "This is not about output or productivity," says Jones. "It is about outdated assumptions. Leadership often equates visibility with value, but that mindset is increasingly out of step with how modern teams work best." The mismatch between executive expectations and employee needs is contributing to declining morale, particularly in office-based roles that could easily operate on a hybrid basis. Flexibility Still Matters Despite the push to increase office attendance, flexibility remains a top priority for candidates and employees. The Market Report confirms that roles offering flexible working continue to receive more applications, fill faster, and maintain lower turnover rates. "Flexibility is not a temporary trend," Jones adds. "It is now a standard part of what professionals expect. Candidates are telling us clearly that how they work matters just as much as where or for whom." The data reveals that teams which embrace flexible models tend to report stronger engagement, better collaboration, and improved retention outcomes, especially in sectors such as tech, finance, and professional services. What Employers Should Do To stay competitive, Jones advises that employers need to reevaluate their return-to-office strategies with both data and empathy in mind. people2people UK recommends: Involving employees in setting attendance expectations Tailoring policies by role, function, and team needs Communicating the reasons for on-site requirements clearly and consistently Measuring the impact of attendance policies on productivity and engagement "One-size-fits-all approaches no longer work," Jones notes. "Companies that listen to their teams and create flexibility within structure will outperform those that rely on top-down mandates." Looking Ahead As the labour market continues to evolve, the ability to offer meaningful flexibility will be a deciding factor in who attracts and retains top talent. The 2025 UK Market Report shows a strong correlation between adaptive working policies and long-term business resilience. "Employers have a choice," Jones concludes. "They can lead with trust and flexibility, or risk losing great people to those who do."
By Liz Jones August 13, 2025
Candidate availability in the UK labour market has increased at the fastest rate since December 2020. Our 2025 people2people UK Market Report highlights the same trend that has been flagged, with the volume of candidates rising sharply due to redundancies and subdued hiring activity. Market Supply Meets Reduced Demand Liz Jones at people2people UK notes that the shift represents a clear imbalance. "Candidate supply is surging as job openings contract," she commented, in line with findings from our 2025 market report. "More people are actively looking but there are fewer roles available. This impacts how recruiters and HR managers plan talent attraction and engagement strategies." Salary Impact and Recruitment Strategy The increase in candidate availability has also influenced pay trends. Salary growth has remained modest due to reduced hiring budgets and greater competition for fewer active roles. "With more talent available and slower demand from employers, organisations are better positioned to be selective," Liz shared from our analysis. "This is a chance to focus on quality of hire rather than speed of hire." What This Means for Employers In a market with rising candidate supply and fewer opportunities, jobseekers become more discerning. They are assessing potential employers based on culture, flexibility, development opportunities, and brand values. Liz Jones advises that businesses should: Clearly articulate what makes them stand out to candidates Review their employer value proposition against market expectations Consider investing in candidate experience platforms and employer branding Maintain recruitment agility so they can swiftly fill roles when market conditions improve Preparing for Market Recovery Our 2025 report shows that while hiring activity remains subdued, there are early signs of resilience in sectors such as engineering, logistics and healthcare. "This market may feel cautious," Liz explains, "but there are pockets of opportunity. Organisations that maintain readiness will be first to tap into recovering sectors and talent pools."

Latest Media Features


Get in touch

Find out more by contacting one of our specialisat recruitment consultants across Australia, New Zealand, and the United Kingdom.

Contact us