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Cultural shift as almost half manufacturers boost wellbeing spend

by Benefits Expert
10/06/2024
Manufacturing workers, dairy factory
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Manufacturers have increased spending on employee health and wellbeing in the past year, as 48.6 percent said they had grown investment in this area in spite of difficult economic conditions.

The research from manufacturers’ organisation Make UK also showed that a high proportion (45.7 percent) had kept spending in this area at the same level rather than cutting it.

This represents a cultural shift in the sector as health and wellbeing now takes up around 30 percent of company training budgets, Make UK said. 

The survey found that 40.8 percent of manufacturers train their senior team in health and wellbeing issues, while 53.4 percent provided bespoke sessions to embed this thinking in company culture.

Increased spend

Most companies, 58 percent, spent between £10,000 and £50,000 on staff wellbeing initiatives, up from a third of companies two years ago

Following this extra investment, 40 percent of businesses saw an increase in staff retention and nearly a quarter (24.6 percent) reported a drop in sick days. 

The research found that mental health issues are the main driver in sickness absence, with 40 percent of employers identifying this as the main cause of long-term absence at work. Make UK said that as a result of this, “more emphasis than ever” has been put on employer investment.

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Most manufacturers, 67.4 percent, used occupational health services primarily for workplace adjustments, while 59.4 percent offered health and wellbeing support to assess fitness to work and 57.7 percent offered employees access counselling or other mental health support. 

Make UK said that keeping the workforce safe continues to be of critical importance, with health and safety investment in technology a key driver in how manufacturing workplaces are evolving for the future. 

Almost half of companies, 44.8 percent, are investing in safety display screens, 37.4 percent are increasing spend on automation, and 36 percent are using smart personal protective equipment (PPE) as part of new measures. 

Close to a quarter of employers, 24.7 percent, said they have seen the benefits of software and devices to monitor health and safety risks and performance, adding that this technology has prevented issues and accidents from occurring.

Cultural shift

Make UK emphasised that it was not just employers that were improving health and wellbeing.

Employee understanding of the importance of health and safety has also grown, with more workers taking ownership of their wellbeing by making use of all the benefits on offer (27.4 percent).

Supervisors still have a key role in enforcing health and safety measures on the factory floor, but employees are increasingly encouraging colleagues to deal with their own wellbeing and safety, which Make UK said “demonstrates a cultural shift”.

Extend tax benefits

Ahead of the general election on 4 July, 2024, Make UK called on the next government to extend the scope of tax benefits for businesses investing in occupational health and wellbeing.

Jamie Cater, head of employment and skills policy at Make UK, said: “Investment in workforce wellbeing is more than just a perk for employees – at a time when recruitment and retention still pose a challenge for many manufacturers, it is a critical part of improving productivity. 

“Our research showing increasing levels of investment show that the sector understands the benefits of this, but remains on a journey from a culture of simply managing sickness absence to one of actively preventing ill health through a focus on wellbeing. To avoid the risk of more people leaving work due to sickness, the government needs to act by introducing a long-promised expansion of tax relief on health and wellbeing services.”

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Seasoned professionals examine the challenges and innovations in today’s employee benefits, reward and HR sector. Every episode, they will unbox a key issue and unpack what it really means for employers and how they can tackle it.

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Benefits Unboxed – Wellbeing: HR is supporting everyone, but who’s supporting HR?
byBenefits Expert from Definite Article Media

As the professionals responsible for helping their organisations navigate NI hikes, rising employee stress levels and looming redundancies, the pressure on HR, reward and benefits teams has never been greater. 

HR is expected to lead with strength and compassion. But who is supporting the supporters?

In this episode of Benefits Unboxed, co-hosts Claire Churchard, Carole Goldsmith and Steve Herbert explore the emotional and ethical pressures HR face today, from managing redundancies to implementing complex legislation. They discuss why HR’s own wellbeing may not be the first topic of conversation, the risks that poses to employers, and the practical steps businesses can take to better support the wellbeing of the people who support everyone else.

This conversation shines a light on the resilience of the profession and why looking after HR is not just the right thing to do, but a business imperative.

Benefits Unboxed – Wellbeing: HR is supporting everyone, but who’s supporting HR?
Benefits Unboxed – Wellbeing: HR is supporting everyone, but who’s supporting HR?
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Benefits Expert from Definite Article Media
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