Kadalyst research report demonstrates 327% average ROI for employee wellness programs (but you have to do it right!)

On average, employer investment in workplace wellness programs generate a more than 3 to 1 return for every dollar invested. Successful wellness programs generally break even within 3 to 5 years.

Those are two of the key takeaways from Kadalyst’s new e-book and research report, Unlocking The ROI of Workplace Wellness Programs: The Impact of Employee Wellness on Engagement, Productivity, Retention and the Bottom Line, now available by download at www.kadalyst.com.

The report is a survey of literature and findings from dozens of academic and industry sources in the United States, Australia, Canada and Europe – all of which confirm that employee productivity and engagement is closely tied to employee health. Moreover, the evidence is overwhelming that employers can intervene to improve employee health in many cases – leading to lower health plan expenditures and turnover costs and improving productivity.

Other key findings

  • Indirect and hidden costs of poor employee health are an estimated 2 to 3 times greater that of direct health care expenditures.
  • 60 percent of workplace accidents are attributable to stress.
  • 42 percent of workers surveyed report having purposely left a job because of workplace stress.
  • 73 percent of employers with 50-100 employees say that employee health and wellness programs are “worth the investment,” according to the National Small Business Association.
  • According to the American Heart Association, total ROI from wellness program expenditures tends to range from $3 up to $15 for every dollar invested.
  • Successful wellness programs typically have a break-even period of between 2 and 5 years.
  • Strong leadership at all levels can change the culture of an organization – and save both lives and money by improving assumptions and expectations concerning employee behaviors, health and wellness.

The report, written for employers, senior managers and HR professionals, is fully footnoted, with links to more than 50 studies and surveys from noted experts in industry, government and academia. The existing literature shows that when employers make a concerted effort to help workers improve their physical and mental health, they can and often do improve employee morale, productivity, competitiveness and profits.

Kadalyst’s research report goes on to discuss a number of prominent case studies from a variety of industries, and identify best practices in wellness program design, communication and execution.

Not every workplace wellness program achieves its objectives. The Kadalyst report also discusses the factors that lead to failure and how to avoid mistakes and pitfalls experienced by other employees. It is a must-read for employers, senior managers and HR professionals at all levels.

To read the full report, click here, or visit www.kadalyst.com to download the complete e-book.

About Kadalyst

Benjamin, Kerwynn and Adam Prinzing founded Kadalyst shortly after Darrell, a friend and co-worker of Benjamin’s, died as a result of heart failure at the age of 39.

The “D” in Kadalyst is in memory of Darrell, who continues to inspire Kadalyst to help employers foster health and wellness among their employees and their families – saving thousands of dollars in long-term health expenditures in the process.


Kadalyst focuses on helping employers save money and improve productivity and engagement levels through the successful implementation and communication of best-in-class workplace wellness programs.


Leave a Reply

Your email address will not be published. Required fields are marked *