Happy employees get hurt less: How wellness programs can help prevent workers' compensation claims

Do you know the true cost of a workplace injury? According to OSHA, employers pay nearly $1 billion per week in workers' compensation costs, including indirect costs like lost productivity, HR support expenses, training for replacement employees and reputational damage.

Chronic health conditions play a big role in those costs — half of all workers have at least one chronic health condition, and treating an injured worker with a chronic condition costs twice as much as treating one without, according to a study by Travelers Insurance.

But stress, disengagement and poor mental health — the biggest drivers of employee absenteeism — also influence employees' physical health and their likelihood of workplace injuries.

If you're looking to minimize workers' compensation claims, shorten employee recovery times and altogether reduce workplace injuries, understanding the impact employee well-being can have on workplace injuries is a good place to start.

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How employee well-being influences workplace injuries
While most employers focus on encouraging employees to enroll in company-sponsored healthcare to target physical health issues, many underestimate the impact wellness programs can have on employee health and safety.

An employee's health and well-being directly impact their engagement, satisfaction, productivity and presenteeism, all of which contribute to their safety at work. Any employee who is chronically stressed, sick, tired or unhappy can get distracted while doing their job and put themselves at risk of an injury.

Where workplace wellness programs come in
Whether it's by giving employees resources for managing their stress, mental health issues or chronic health conditions, your workplace wellness programs can target the issues plaguing your employees and contributing to workplace injuries and workers' compensation claims.

Think mental health benefits for those struggling with workplace stress or mental health issues, financial wellness programs for those trying to support a family, child care benefits or flexible work schedules for working parents and gym reimbursements for those with chronic health issues.

But it's important to select the right program tailored to your employees' specific needs.

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Choosing the right wellness program
Start by looking at your benefits utilization and claims history. Are your employees struggling with chronic health issues, like diabetes, hypertension or heart disease? Are they going to the doctor regularly and getting treated for these issues?

Employees with underlying or undertreated health issues tend to experience longer recovery times. Look at the data from your return-to-work program to uncover how long, on average, it takes your employees to recover from an injury. 

Finally, anonymously survey your employees. Ask them about the struggles they are facing, and what they need to be their best selves at work.

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The importance of maximizing benefits utilization
It's not enough to merely offer wellness programs; it's equally crucial to ensure that employees actively engage with these resources. Encouraging employee enrollment and use of your wellness initiatives will generate long-term benefits in the form of healthier employees who stay engaged at work and get injured less often, effectively driving down healthcare costs and workers' compensation claims.

By understanding the relationship between well-being and safety, and strategically leveraging wellness programs, employers can proactively prevent workers' compensation claims and foster a safer, healthier workforce.