Why Workplace Wellness Is More Than Just a Perk, It’s a Business Strategy

The True Cost of Ignoring Workplace Health in Australia

When companies overlook workplace health, the impact goes far beyond a few sick days. In Australia, the cost of absenteeism and presenteeism is staggering—and it’s rising. In 2024 alone, absenteeism cost Australian businesses an estimated $44 billion, while presenteeism—where employees come to work unwell and underperform—cost an additional $35 billion (AIHW, 2024).

For businesses of all sizes, the message is clear: ignoring employee wellbeing is expensive.

Absenteeism vs Presenteeism: The Hidden Drain on Performance

• Absenteeism is the tip of the iceberg. While days off can be counted, the underperformance that happens when unwell employees push through is harder to track—and potentially more damaging.

• Studies show that presenteeism can cost up to 3x more than absenteeism because of reduced productivity and increased errors (PwC Australia).

Mental health issues are a leading contributor. According to Safe Work Australia, one in five Australians experience a mental health condition in any given year, and many of these issues go unaddressed in the workplace until they become costly compensation claims.

The Link Between Poor Health and Rising Claims

Mental health-related workers' compensation claims have doubled in the last decade, now accounting for 9% of all serious claims in Australia. These claims also result in significantly longer time off work, on average, 26.9 weeks per claim.

Chronic lifestyle-related diseases are another contributor. Conditions like high blood pressure, diabetes, and skin cancers often develop silently but can lead to expensive absenteeism and hospitalisation if not detected early.

Prevention Pays Off

Here’s the good news: workplace health programs reduce risk, improve outcomes, and boost morale. Prevention is not just better than cure, it’s also more affordable.

Some of the most effective initiatives include:

• Onsite Skin Checks
  Australia has one of the highest rates of skin cancer in the world. Early detection through skin checks can save lives and reduce time off due to surgery or treatment.

• Health Assessments
  Regular workplace health checks identify risks early—such as high cholesterol, stress, or poor sleep—so they can be addressed before leading to burnout or chronic illness.

• Mental Health Support
  Proactive mental health programs, including access to EAP alternatives, mental health champions, and preventative apps, can reduce stress-related absenteeism and improve retention.

Real ROI for Australian Employers

Workplace wellness is not a “tick the box” exercise. Research shows that for every $1 spent on workplace health, there is a return of $5.81 in reduced absenteeism and increased productivity (Medibank Private, 2023).

At Complete Corporate Wellness, we help businesses across Australia implement strategic, evidence-based wellness programs that not only support your team—but protect your bottom line.

Ready to reduce absenteeism and invest in real workplace wellness?
Contact us today to create a customised wellness solution for your team.