Investment in employee wellbeing increases in APAC

Investment in employee wellbeing increases in APAC | Insurance Business Australia

Insurance News

Investment in employee wellbeing increases in APAC

Top wellbeing issues identified

Insurance News

By
Roxanne Libatique

Overall employee wellbeing ranked the highest in Asia Pacific (APAC) compared to other regions in Aon’s 2022-2023 Global Wellbeing Survey.

The report found that 49% of companies in the APAC region deemed their employee wellbeing “excellent” or “very good,” slightly higher than the global average of 46%.

The increased ranking could be attributed to the growing significance of employee wellbeing in the region. Specifically, the attribute ranked among the top three priorities for APAC businesses’ human capital strategy, with 67% of employers saying wellbeing is more important, while 48% said it has increased in priority, compared to 2020.

Moreover, 49% of APAC companies increased their investment in employee wellbeing initiatives compared to only 43% globally.

Tim Dwyer, CEO for health solutions (APAC) at Aon, said the increasing volatile business environment and the evolving employee expectations exacerbated by COVID-19 compelled organisations to change the way they think about building a resilient workforce.

“Our study demonstrates the importance employers in the region place on employee wellbeing. Not only have they increased their financial investment, but more businesses are reporting integrating wellbeing with their business strategies and company culture,” Dwyer said. “Understanding and addressing the diverse needs of employees through a well-designed wellbeing strategy will ensure businesses make better decisions that create a more flexible, engaged, and resilient workforce.”

Top employee wellbeing issue in APAC

Mental health was identified as the top wellbeing issue in the APAC region. It was followed by burnout or languishing. Burnout was defined as unmanaged job-related stress, while languishing refers to a sense of being stuck and not making progress.

The report further revealed that companies have been taking a more strategic approach to employee wellbeing, with 85% of APAC organisations having a wellbeing strategy in 2022, a significant jump from 55% in 2020. Moreover, 77% of employers reported that wellbeing is integrated into their overall business and talent strategy.

Alan Oates, head of advisory and specialty for health solutions (APAC) at Aon, said: “As businesses in the region allocate ever-greater investments to improve the wellbeing of their employees, our data reveals gaps in what businesses think is important versus what employees need and are offered. Organisations must therefore avoid implementing one-off individual wellbeing initiatives with no connection to a larger business plan.

“Using data and analytics to identify employee needs and aligning interventions with those needs will ensure organisations make better decisions to improve wellbeing and overall workforce resilience.”

Early this month, Aon brought together its Australian human capital solutions, health and benefits, wealth solutions, and workplace risk capabilities under one practice to support organisations navigating new forms of volatility and help their decision-makers make better workforce decisions.