The concept of corporate wellness has become increasingly popular in the modern business world. As companies look for ways to optimize their employees’ wellbeing and performance, they are investing more resources into corporate wellness initiatives. Corporate wellness is a comprehensive approach to ensuring that employees have the tools and resources necessary to maintain physical, mental, emotional, and spiritual wellbeing while working. It has been proven to reduce absenteeism, improve productivity, increase morale, decrease healthcare costs, boost job satisfaction and engagement levels among staff members.
Overview:
The corporate wellness market was valued at USD 59.67 billion in 2021 and is expected to reach USD 89.26 billion in 2032, registering a CAGR of 7.63% during the forecast period.
Many businesses and enterprises from different industries have started to implement employee health programs. This has increased market demand. Implementing workplace wellness programs can help companies increase productivity and lower operational costs. As more people realize the importance of employee well-being and health, the market for corporate wellness will grow.
Employees’ mental health has been severely affected by the COVID-19 outbreak. The transition to work from home was made, which caused a lot of stress for employees. Many people’s mental and financial health were affected by the pandemic. Virtual services have been used by wellness service providers to provide services such as virtual meetings with psychologists and health coaches.
Corporate wellness programs include policies, benefits, and programs that address multiple risks and conditions. These programs can be used to influence employees as well as the company. According to the National Center for Chronic Disease Prevention and Health Promotion, (NCCDPHP), corporate programs that promote well being and health and offer disease prevention plans for employees can have a significant impact on healthcare costs.
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Employers should encourage healthier lifestyles. This will increase productivity and reduce costs. The estimated USD 148 billion loss of productivity due to illness absenteeism will occur in the next few years. The increase in obesity and overweight will cause financial hardship for employers.
Market drivers
Two of the benefits include a longer work week and a longer life expectancy
There are many factors that influence the market and help drive the growth of corporate wellness. Employers and employees need to consider all of these factors in order to create a holistic approach that allows them to get the best results and maintain their work culture. To keep pace with corporate demands and increase competition, employees must work longer hours. This increases life expectancy and leads to healthier lives. There are a number of wellness programs and policies that the company offers to help with efficiency and well-being.
Increased awareness about stress and the majority chronic diseases
People in the working class have developed a dependency on work and become overworked. They are overwhelmed and have trouble managing their lives. This can have a negative impact on their mental and physical well-being. The increased stress and depression in the workplace is a major factor that affects employees’ mental and behavioral health management. This has resulted in a greater demand for health products. This is a great way to increase market growth and serves the critical purpose of health products.
Major shift in well-being attitudes
There are many opportunities to feel connected and fit, something that is highly valued in today’s society. Customers are looking for ways to break out of the digital rut, return to balance and personal growth. Globalization has led to increased global market expansion. Many methods can boost immunity and improve health and fitness. Market demand is rising due to a shift in attitude and concern for health.
Restraining Factors
The shortage of qualified and skilled professionals
According to the Health Resources and Services Administration, there will be a 22% drop in adult psychiatrists in the US by 2031. This is due to a decline in the number of professionals who enter this field. Emerging countries have a greater shortage of qualified professionals to work with corporate wellness programs and mental healthcare specialists. India has 0.76 psychiatrists per 100,000 people. This makes it difficult for companies to develop and manage holistic wellness programs, especially in developing countries.
High cost
For many policies and programs, occupational health guideline scans can be quite expensive. Businesses may have gyms that require regular maintenance. The company may also have to pay trainer fees. This increases its operational costs. This raises the overall cost of the company and, more importantly, the company must cover the significant workplace costs. This is a significant factor in limiting corporate wellness programs’ growth.
Stringent regulatory requirements
Many countries have strict regulations about commercial and sales services. Different regulations may apply to employees who have multiple business locations. This could affect the quality and standardization of services. Operational obstacles and many employees also slow down the market’s growth.
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Market Trends
To grow the market, new products were introduced
Certintell Inc. selected Wellsource, Inc. as the trusted vendor for a Medicare-related risk assessment (HRA) in July 2020. The Wellsource HRA is essential to the telehealth provider’s focus on chronic care management, and care management solutions.
The Gateway Program was introduced by Vitality Group in February 2018 by Vitality Group, a health tech company. It helps employees connect to resources that can improve their overall health. Many companies created this program, including Vida Health, Zipongo and Wellness Corporate Solutions.
