New Study Shows That Employees That Exercise Earn 9% More
Jun 7, 2012
Austin, Texas: A new study published in the June issue of the Journal of Labor Research shows that workers who exercise regularly earn 9% higher pay on average than those who don’t.
According to the study, There are three potential explanations for the correlation between exercise and earnings:
- 1) Exercise leads to higher wages
- 2) Wage changes affect individuals’ level of physical activity
- 3) Other, unobserved factors cause differences in both exercise frequency and earnings.
The study, published in the Journal of Labor Research, suggests that regular exercise can have an impact on the productivity and well-being of an employee. “It is widely acknowledged that regular exercise has a beneficial impact on well-being. In addition to the positive impact on heart health, weight and on a variety of other medical issues, studies in the literature show that exercise leads to improved mental function, psychological condition and higher energy level, ” Kosteas notes.
He adds, “All three of these traits can be translated into higher earnings by increasing productivity. Besides the direct effect, exercise can have indirect positive impacts on labor market outcome by serving as a signal to potential employers that the individual is dedicated and disciplined.” Since the employer benefits from these attributes, Kosteas recommends that employers embrace sponsored exercise programs and gym memberships not only for the good of employees, but also for the bottom line.
Any firm that is not seriously promoting exercise and fitness programs are basically costing themselves money, according to this study.
Not only will you be saving money on your insurance premiums, but you will get more output from your employees, as well. Looks like a win-win.
Start a wellness program right away to maximize the impact you can have on your employees.
A good place to start is WELCOA, the Wellness Council of America— which is chock full of resources on wellness programs.
Do the research and start developing your own wellness program as soon as possible.
Here’s to a Healthier Workforce!