The health of Australia’s workforce  -  Nov 2005 - Medibank Private

Healthy employees are nearly three times more productive than unhealthy employees.

Unhealthy employees take up to nine times more sick leave than their healthy colleagues Poor employee health and absenteeism is costing Australian business $7 billion annually1

Healthy employees make a healthy business.

A Medibank Private study has found that the healthiest Australian employees are almost three times more productive than their unhealthy colleagues.

Employers have a unique opportunity to improve the health and well-being of their staff.  Employers can better understand and potentially influence the health problems and unhealthy lifestyles that can result in reduced worker performance and increased sickness absence.

Research commissioned by Medibank Private, in conjunction with vielife, found a measurable link between -

*        a person’s health and lifestyle; and

*        how productive they are at work. 

The results found that employees with poor overall health status are far more likely to be absent from work, and are nine times more likely to have sick days, compared to healthy employees.

Lifestyle ‘risk’ factors such as smoking, drinking, lack of physical activity and excess weight contribute to this time away from work.  Employee morale and stress in the workforce contributed significantly to absenteeism and sick leave.  The study also found that a worker’s health status impacts upon their productivity at work. The healthiest Australian employees are almost three times more productive than their unhealthy colleagues.  An ageing workforce, and a skills shortage faced by many industries, is making the issue of employee health more pressing for employers. Many employers are becoming increasingly engaged in the health of their employees not only to be socially responsible, but to improve company performance.

A study commissioned by Medibank Private recruited 3,620 employees -

*        from corporate (74%); and

*        small business (26%) Australia.

Each employee completed an online assessment covering eight key areas that measure health and well-being, including:

• physical activity

• nutrition

• body weight

• stress

• risk behaviour (smoking, drinking, irregular

• use of sun-block)

• sleep

• pain

• medical health

Each employee was given a score from 0 –100 based on their response for each of the areas above as well as for other indicators of health and well-being including job satisfaction, mood, life stressors and perception of overall health. The results were used to calculate an overall health and well-being (HWB) score to report on the employee’s health.

Employees with HWB scores below 30 are classified as having poor health behaviours.

Employees who scored within 70 –100 are classified as having good health and lifestyle habits.

The health profile of Australian employees

The survey revealed surprising information about the health profile of Australian employees.

Almost half (45%) of the employees surveyed have a HWB score between 0-30, and a further 26% have a score of between 30-50.

A summary of the research findings is outlined below.

This is significantly less than the amount recommended by the National Physical Activity Guidelines for Adults, which recommends adults do at least 30 minutes of moderate to intense physical activity on most days.

Almost half (46%) of the Australian workers surveyed live on high fat diets. Only 8% eat five or more serves of fruit and vegetables per day – the amount recommended by the National Health and Medical Research Council.

Of these, 28% are clinically obese and 34% overweight, as defined by the World Health Organisation.

53% of the Australian workers surveyed feel over-whelmed with stress and pressure a significant proportion of the time. Stress related claims cost Australian business over $200 million annually.

Risk behaviours include smoking, drinking and irregular use of sunblock. 21% of respondents smoke daily, 12% consume 15 or more standard drinks weekly and only 7% always apply sunblock when outside.

This includes back and neck pain (29%), hay fever (22%), heart disease (21%), migraine headaches (14%) and asthma (13%). Significantly, 12% of those surveyed reported that they were suffering from depression.

The following table shows the prevalence of different medical conditions within this sample of Australian workers:

Back, neck or spinal problems                               29%

Hayfever, rhinitis or sinusitis                                   22%

Heart disease                                                         21%

Migraine headaches                                               14%

Asthma                                                                  13%

Depression                                                             12%

Arthritis                                                                  11%

Eczema or other skin condition                               11%

Heartburn or acid reflux                                         11%

High blood pressure                                               11%

Anxiety                                                                  10%

High cholesterol                                                       9%

Other serious health problem                                    5%

Diabetes                                                                  4%

Bronchitis or emphysema (COPD)                           2%

Cancer                                                                    1%

Stomach ulcer                                                         1%

The information about an employee’s health and well-being was compared to how many sick days they took, their overall productivity and how effective they were while at work.

In the study, respondents were asked to document over four weeks:

*        the number of absent days they had in that time;

*        a rating of their overall performance; and

*        the total number of effective hours they worked for their employer.

When reviewing the data, keep in mind that 71% of the workers surveyed have a HWB score of under 50.

The relationship between employee health and well-being and workplace performance

International studies

A literature review by Monash University, commissioned by Medibank Private, examined the role of workplace health on work performance. A review of literature from more than 152 studies worldwide was consistent with the findings of the Australian online survey – that health impacts upon productivity at work.

For example, a Canadian study examining the link between an employee’s emotional well-being and their work productivity found that a 20% reduction in a person’s well-being leads to a 10% drop in their performance.  Conversely, a 20% improvement in morale leads to a reduction in absenteeism, turnover and workers compensation3.

High fat diet                                                             Healthy diet

Low energy levels and poor concentration                 Fit, energetic and alert

Obese or overweight                                                 Normal body weight

Irregular sleep patterns                                             More attentive at work, better sleep patterns

Poor stress management techniques                         Actively manages stress levels

Improving the health of your employees

Findings from workplace studies reviewed by Monash University suggest that companies that introduce workplace health programs enhance employee performance.

Research has found:

*    economic benefits of health and safety activities4 as they help curb absenteeism5 and enhance productivity and efficiency6;

*    employees that participate in workplace fitness programs report improvements in anxiety, stress and psychological well-being7; and

*    importantly, even employees who don’t utilise programs and benefits are still more likely to be loyal and satisfied with the organisation for being offered the program in the first place8.

6 Pelletier, B., Boles, M., & Lynch, W. (2004). Change in health risks and work productivity over time. Journal of Occupational & Environmental Medicine, 46, 746–754.

7 Harma, M. (1996). Ageing physical fitness and shiftwork tolerance. Applied Ergonomics, 27, 25–29.

For more information about the survey, please call Public Affairs, Medibank Private, on (03) 8622 5160