The long-term benefits of investing in team health: improved retention and talent attraction

In a business landscape where skilled talent and employee retention are key pillars to growth, supporting team health isn’t just about the well-being of individuals; it’s a smart investment in a company’s long-term success. Especially for SMEs in Australia, the focus on promoting a healthy workplace culture has clear, measurable returns—from boosting productivity to enhancing a brand’s appeal to top talent. 

Here’s a look at why prioritising health can positively shape your business trajectory, drawing from insights found at Super Young, an innovative wellness provider.

The growing importance of team health for SMEs

As digital marketing firms like Budget SEO aim to drive growth for SMEs, the foundation of a successful agency starts with a healthy and motivated team. Health-focused policies aren’t just perks anymore; they’re expectations. Small and medium-sized enterprises are beginning to recognise that investing in team health is not only an ethical decision but a strategic advantage.

In recent years, organisations have increasingly adopted wellness programs tailored to their teams’ specific needs. This trend aligns with a growing body of research showing that team members who feel supported in their health are more likely to stay with a company and perform at their best. In fact, a study by Deloitte showed that organisations with effective health and well-being programs experience a 35% reduction in turnover, highlighting a clear link between health investments and retention.

Employee health as a cornerstone of retention

Retention is a critical concern for SMEs that face stiff competition from larger firms offering impressive benefits and perks. However, by implementing practical, accessible health initiatives, SMEs can foster a unique appeal for employees looking for more than just a paycheck. When team members feel that their well-being is valued, they’re more likely to engage with their work fully, resulting in higher loyalty and lower turnover rates.

1. A healthier, happier team reduces turnover
   High turnover can cost a business up to twice an employee’s salary in lost productivity and recruitment costs. When team members feel supported in maintaining their physical and mental health, they’re less likely to experience burnout—a common cause of turnover in high-stress industries like digital marketing. Encouraging practices that support work-life balance, mental health days, or offering gym memberships can make a significant difference in the well-being and longevity of your team members.
2. Fostering a sense of belonging
   People don’t just stay with companies; they stay with cultures. Employees who feel part of a supportive, health-conscious environment are more likely to see the company as a long-term fit. This is particularly relevant in smaller firms, where interpersonal relationships and the company’s culture are often key to job satisfaction. Creating opportunities for team-based wellness activities or even simple initiatives like walking meetings can strengthen the bonds between employees, reinforcing their loyalty to the company.

Health initiatives as a talent magnet

For small businesses to compete with larger companies, attracting skilled professionals means standing out as an employer of choice. Health-focused benefits have a powerful impact on a company’s appeal to new talent, especially among younger employees who value well-being as much as salary and career advancement.

1. Creating a differentiator in the recruitment process
   SMEs can set themselves apart by openly promoting their commitment to employee well-being. This can include policies for mental health support, flexible hours, or partnerships with wellness providers such as Super Young. Offering such benefits can make a substantial impression on job seekers who prioritise workplaces that take a proactive stance on health. With many employees now factoring wellness programs into their decision-making process, SMEs can leverage these offerings to attract candidates who might otherwise gravitate toward larger firms.
2. Appealing to millennials and Gen Z
   Younger generations are notably more health-conscious, and they actively seek workplaces that align with their personal values, including holistic well-being. These employees are not only focused on the nature of the work but also the environment in which they will perform it. When a company prioritises mental and physical health initiatives, it’s more likely to attract these younger professionals who view such programs as essential.

Practical ways to implement team health initiatives

Integrating health-conscious practices doesn’t require massive budgets. SMEs can implement several strategies that provide meaningful support to employees without stretching financial resources. Consider introducing cost-effective and impactful initiatives that can benefit both the team and the business’s bottom line.

1. Encourage flexible work schedules
   Flexibility is increasingly regarded as a cornerstone of modern work culture, with remote and hybrid work models gaining popularity across industries. Allowing employees to tailor their schedules can reduce stress, increase satisfaction, and support mental health, particularly in industries like digital marketing, where creativity and productivity can fluctuate based on mental well-being. Flexible hours allow team members to work when they’re most focused and refreshed, leading to improved output and greater job satisfaction.
2. Invest in mental health resources
   Support for mental health is a major draw for talent and an essential aspect of a healthy workplace. Providing access to resources, such as online counselling, mental health apps, or even “mental health days,” sends a clear message that a company cares about its employees beyond their productivity. Resources like those offered by Super Young can give employees access to wellness tools that are easily accessible, particularly for small teams where budget constraints may limit in-house options.
3. Create a culture of movement
   In sedentary office environments, encouraging movement can significantly boost physical health and energy levels. Simple practices like standing desks, walking meetings, or even lunch-hour exercise sessions can break up the day and invigorate team members. Regular movement is a natural stress reliever and can also encourage more collaboration as employees engage with each other in non-work-related activities.
4. Encourage open conversations around health
   The stigma around discussing mental and physical health at work is fading, and creating a safe space for these conversations can foster a more inclusive and understanding culture. This could include regular check-ins, open forums, or manager training on identifying and supporting team health needs. In SMEs, where employees often wear multiple hats, understanding when a team member might need support can lead to better morale and productivity overall.

Measuring the impact of health-focused investments

While the benefits of a healthy team may seem intangible, there are measurable ways to track how these initiatives impact your business. Regular surveys can offer insights into employee satisfaction, while tracking metrics like absenteeism, retention rates, and even productivity levels can indicate how well your health-focused policies are working. For instance, if turnover rates drop after implementing a flexible work schedule, that’s a clear indicator that these efforts are benefiting both your team and your business.

For SMEs, investing in team health goes beyond reducing sick days or increasing productivity—it’s a vital strategy to attract and retain top talent in a competitive market. Focusing on physical and mental well-being not only boosts morale but also builds a positive workplace culture that people want to be part of, ultimately leading to sustained growth for your business.

In a digital marketing landscape where agility, innovation, and creativity are essential, nurturing a team’s health is as critical as developing their skills. By integrating practical wellness programs and partnering with supportive services like Super Young, your SME can stand out as a place where employees are not only valued but supported in achieving their best selves.