• Employers know it is right to prioritize employee wellbeing, but there are business benefits too.
• Indeed data analyzed by Oxford researchers shows that companies with higher employee well-being are better rated and achieve higher returns on investment and higher profits.
• Indeed provides companies with tools to measure employee well-being and promote a successful work environment.

Investing in workplace wellbeing not only boosts employee morale, it can also bring tangible business benefits.

Oxford recently analyzed Indeed’s workplace wellbeing data and highlighted a strong correlation between workplace wellbeing and business performance. The findings, presented in the Global Work Wellbeing Report 2024, show that higher levels of employee wellbeing are associated with improved company valuation, return on investment, and gross profits. In addition, companies with higher levels of employee wellbeing consistently outperformed the stock market.

The Indeed-Oxford study also examined whether happier employees today mean better business results later. Based on data from before and after the COVID-19 pandemic, the results show that companies with happier employees before COVID-19 performed better afterward on all three performance indicators (valuation, return on investment and gross profit).

In addition, the Indeed-Oxford study shows that it has a positive long-term impact on employee wellbeing. Indeed has further strengthened the business case for workplace wellbeing with the launch of the Work Wellbeing 100, an index that ranks the top 100 publicly traded companies according to their Indeed Work Wellbeing Score.

The Work Wellbeing 100 shows that companies with higher wellbeing collectively outperformed leading stock indices such as the S&P 500, Nasdaq Composite and Russell 3000, demonstrating that prioritizing wellbeing benefits both people and companies. This index ranks companies based on their Indeed Work Wellbeing Score, a composite metric on Indeed Company Pages.

“We hope to use our vast amounts of data to actually make a difference. Employees stay longer and work harder when they feel psychologically safe and have a sense of purpose in life.”

— LaFawn Davis, HR and Sustainability Officer at Indeed

Given these findings, it’s clear that integrating employee wellbeing into your core business strategy is critical. However, the report shows that only 22% of respondents feel they are thriving at work. Here are some ways prioritizing wellbeing can help you stand out from the competition and increase your success.

1. Make your company more competitive for talent

Employees’ expectations regarding their wellbeing are increasing and employers must adapt.

In a 2023 study by Indeed and Forrester Research¹ A significant share of Millennials (54%) and Gen Z adults (59%) said their expectations for well-being at work have increased compared to last year. For this demographic, simply having a job isn’t enough – these people want to work for a company that truly cares about them.

This dynamic offers employers an opportunity to differentiate themselves in a competitive job market. Companies that prioritize employee wellbeing can foster a more engaged and productive workforce. To do so, however, they must view workplace wellbeing as a business strategy rather than just an HR measure.

2. Increase employee retention by understanding what matters to employees

Knowing how their employees are feeling helps employers identify where they are doing well and where they can improve to better meet the needs of their workforce. This strategy should include measuring employee wellbeing as a key metric, among other initiatives.

For example, the Indeed Work Wellbeing Score is a composite metric on Indeed company pages that measures key workplace wellbeing outcomes: happiness, purpose, satisfaction, and stress. Developed in collaboration with leading happiness and wellbeing experts, Indeed also measures and displays key factors that lead to workplace wellbeing—including belonging, fair pay, flexibility, and more.

This Indeed initiative is based on data from over 25 million surveys and is the world’s largest study of workplace wellbeing. The ratings are freely available to Indeed users, allowing employers to assess and improve their reputation. This transparency not only helps companies understand what matters most to their employees, but also serves as a valuable guide for job seekers to find companies where they can succeed.

3. Create a resilient future through employee wellbeing

Ultimately, employees who aren’t successful at work aren’t performing to their full potential—which impacts both the individual employee experience and company performance. But every employee deserves the opportunity to succeed at work, and employers have a responsibility to give their employees that chance.

When companies focus on employee wellbeing, they not only increase their attractiveness to current and prospective employees, but also create a more resilient and adaptable workforce. Investing in wellbeing to support and empower this workforce is not a trade-off with other business priorities – rather, it is an opportunity to deliver impactful business performance benefits.

At a time when the future of work is increasingly focused on the employee experience, incorporating wellbeing into your business strategy is one of the smartest moves you can make.

“The discussion about the future of work cannot take place without employee wellbeing being at the center,” Davis said.

Indeed is committed to measuring and understanding workplace wellbeing to help individuals, companies and society. To learn more about how companies can strengthen their employer brand by focusing on workplace wellbeing, Click here.

This post was created by Insider Studios with Indeed.