Transparency is extremely important to us, so we are letting you know that we may receive a commission on some of links you click on from this page. See our disclaimer.

Do companies with workplace wellness programs maintain stronger financial bottom lines?

A new study in the current issue of the Journal of Occupational and Environmental Medicine titled “Tracking the Market Performance of Companies That Integrate a Culture of Health and Safety: An Assessment of Corporate Health Achievement Award Applicants” looks at the question.

The study's aim “was to assess the hypothesis that stock market performance of companies achieving high scores on either health or safety in the Corporate Health Achievement Award (CHAA) process will be superior to average index performance.”

It's conclusion: “This study adds to the growing evidence that a healthy and safe workforce correlates with a company's performance and its ability to provide positive returns to shareholders. It advances the idea that a proven set of health and safety metrics based on the CHAA evaluation process merits inclusion with existing measures for market valuation.”

Another study in the same issue looks at the connection between companies that invest in employees' health and well-being by reviewing another set of award winners.

“The Stock Performance of C. Everett Koop Award Winners Compared With the Standard & Poor's 500 Index” concludes: “This study supports prior and ongoing research demonstrating a higher market valuation—an affirmation of business success by Wall Street investors—of socially responsible companies that invest in the health and well-being of their workers when compared with other publicly traded firms.”

The report continues: “In this analysis, companies that earned recognition by winning the Koop Award had higher stock valuation—an affirmation of business success by Wall Street investors—compared with the “average” S&P 500 Index companies.” The wellness programs are tied to companies that also may show strength in other areas of corporate social responsibility.

Yet another study in the same issue is titled “Linking Workplace Health Promotion Best Practices and Organizational Financial Performance: Tracking Market Performance of Companies With Highest Scores on the HERO Scorecard.” It seems to add supporting information to the first study, concluding: “Robust investment in workforce health and well-being appears to be one of multiple practices pursued by high-performing, well-managed companies.”