The health and well-being of employees has taken centre stage – employers are realising that investing in the health of their workforce is not only beneficial to the individual but also to the overall success of the business.
Recent innovative approaches, such as a Japanese company’s decision to offer non-smokers six extra days of leave, highlight a growing trend of incentivising health through creative rewards. But does this approach work, and should more companies follow suit?
A Shift from Conventional Wellness Programmes
Traditional corporate wellness programmes—offering gym memberships, health screenings, or mindfulness classes—are often seen as a tick-box exercise. While beneficial, these schemes sometimes fail to drive genuine behavioural change. The challenge many companies face is ensuring that employees truly engage with these programmes.
This is where novel ideas, like the one implemented by the Japanese company Piala Inc., step in. By rewarding non-smokers with additional leave, Piala directly addressed the issue of fairness.
The company had noticed that smokers would take frequent breaks throughout the day, often leaving non-smokers to pick up the slack.
Their solution—granting non-smokers an extra six days of holiday—strikes a chord. It goes beyond offering a health programme and actively rewards positive lifestyle choices, acknowledging the commitment of those who avoid smoking. But could this strategy work more broadly?
Rewarding Healthy Behaviours
Incentivising health can take many forms. While Piala Inc.’s approach targeted smokers versus non-smokers, other companies could create equally effective reward schemes for various aspects of health:
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- Exercise Programmes: Employees who regularly meet fitness goals could be offered extra leave, gift vouchers, or even bonuses. Technology makes this easier, with apps tracking activity levels, providing employers with measurable data.
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- Mental Health Days: Similar to physical health incentives, companies could provide additional mental health days to employees who engage in activities that promote emotional well-being, such as meditation, counselling, or stress management workshops.
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- Dietary Challenges: Employers might introduce rewards for those participating in healthy eating challenges, promoting better nutrition in the workplace and reducing sick days caused by poor diet.
These tailored incentives could provide employees with a personalised approach to health, recognising that different individuals have varying needs and preferences.
The Ethical Dilemma: Is It Fair?
While rewarding healthy behaviours sounds positive, this approach also raises ethical questions. Should employees who engage in certain behaviours, such as smoking, be penalised? Does rewarding non-smokers indirectly punish smokers?
Piala Inc.’s decision to reward non-smokers with extra leave could be viewed as creating an unequal workplace. Smokers might argue that they are entitled to their breaks, and that extra leave for non-smokers creates divisions. However, one could argue that taking regular smoking breaks throughout the day already puts non-smokers at a disadvantage, and offering them additional leave merely balances out the time disparity.
This approach also begs the question: what happens when an employee changes their behaviour? For example, if a smoker quits, are they entitled to the additional leave immediately, or do they need to demonstrate their commitment to a smoke-free life over time? Clear guidelines would be essential to avoid ambiguity and frustration.
The Long-Term Benefits for Employers
Incentivising health isn’t just a goodwill gesture; it can also have significant business benefits. Healthier employees tend to take fewer sick days, are more productive, and contribute to a more positive work environment. The knock-on effects of a healthier workforce extend far beyond the individual employee:
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- Reduced Healthcare Costs: In many countries, businesses are responsible for a portion of employee healthcare costs. A healthier workforce means fewer claims, lower premiums, and less strain on corporate resources.
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- Increased Productivity: Healthier employees, both physically and mentally, are better able to focus and produce higher-quality work. When companies incentivise health, they foster an environment where employees are encouraged to perform at their best.
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- Enhanced Employee Retention: Companies that actively engage in their employees’ well-being often have higher retention rates. Employees appreciate when their employers invest in their health, and this creates a sense of loyalty and engagement.
The Role of Culture in Incentivising Health
It is also important to recognise that health incentives should align with the broader corporate culture. Piala Inc. operates in a culture where smoking is prevalent, yet also stigmatised. Introducing such incentives in cultures where smoking is less common or accepted might not have the same impact.
And corporate leaders need to set an example. Health initiatives should not be seen as arbitrary or performative, but as an integral part of the company’s mission. Leadership buy-in is crucial to the success of these schemes. If employees see managers prioritising their own health and taking advantage of incentives, they are more likely to follow suit.
A New Paradigm for Employee Well-being
The concept of rewarding employees for healthy choices marks a shift in how companies view workplace wellness. Instead of passive programmes that simply offer options, companies are creating active incentives that directly benefit employees who prioritise their well-being. This can create a powerful motivator for change, driving employees to adopt healthier lifestyles not only for their own sake but also for tangible rewards.
However, companies should be careful to ensure that these programmes are inclusive, considerate, and tailored to the unique needs of their workforce. Offering rewards for healthy behaviour can be effective, but it should not alienate or penalise those who are not yet ready to make changes.
Health Incentives – A Step in the Right Direction?
Incentivising health through rewards like extra leave days offers a novel way to motivate employees towards healthier behaviours. While not without its ethical challenges, the approach recognises the importance of both physical and mental well-being in today’s workplace. For businesses, it’s not just about cutting healthcare costs or reducing sick days—it’s about supporting a culture that prioritises long-term health, productivity, and happiness.
The future of health incentives lies in their ability to adapt to the changing needs of employees and the workplace. From non-smoker rewards to mental health days, the scope is broad, and the potential for positive change is significant. If done right, these schemes can be a win-win for both employers and employees, driving healthier and more engaged workforces.
