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. 2016 Feb;58(2):e45-53.
doi: 10.1097/JOM.0000000000000653.

Corporate Health and Wellness and the Financial Bottom Line: Evidence From South Africa

Christina Susanna Conradie  1 , Eon van der Merwe Smit, Daniel Pieter Malan
Affiliations

Corporate Health and Wellness and the Financial Bottom Line: Evidence From South Africa

Christina Susanna Conradie et al. J Occup Environ Med. 2016 Feb.

Abstract

Objective: The research objective was to test the hypothesis that corporate health and wellness contributed positively to South African companies' financial results.

Methods: The past share market performance of eligible healthy companies, based on Discovery's Healthy Company Index, was tracked under three investment scenarios and compared with the market performance on the basis of the JSE FTSE All Share Index.

Results: The evidence supports the hypothesis that a culture of health and wellness provides a financial advantage, in so far as the portfolio of healthy companies consistently outperformed the market over the selected simulations.

Conclusions: Given the limitations of the investigation, namely small sample size, the brevity of the period of investigation, and the reliance on accessibility sampling, the research provides the first and preliminary evidence supportive of the direct financial benefits of companies' wellness programs.

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Figures

FIGURE 1
FIGURE 1
Equal-weighted portfolio versus ALSI (10-year period).
FIGURE 2
FIGURE 2
Equal-weighted portfolio versus ALSI (5-year period).
FIGURE 3
FIGURE 3
Equal-weighted portfolio versus ALSI (3-year period).
FIGURE 4
FIGURE 4
Equal-weighted portfolio with annual rebalancing versus ALSI (10-year period).
FIGURE 5
FIGURE 5
Equal-weighted portfolio with annual rebalancing versus ALSI (5-year period).
FIGURE 6
FIGURE 6
Equal-weighted portfolio with annual rebalancing versus ALSI (3-year period).
FIGURE 7
FIGURE 7
Portfolio weighted by market capitalization versus ALSI (10-year period).
FIGURE 8
FIGURE 8
Portfolio weighted by market capitalization versus ALSI (5-year period).
FIGURE 9
FIGURE 9
Portfolio weighted by market capitalization versus ALSI (3-year period).
See this image and copyright information in PMC

References

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    1. Fabius R, Thayer RD, Konicki DL, et al. The link between workforce health and safety and the health of the bottom line: Tracking market performance of companies that nurture a “culture of health”. J Occup Environ Med 2013; 55:993–1000. - PubMed
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    1. Patel D, Goetzel RZ, Beckowski M, et al. The healthiest company index. A campaign to promote worksite wellness in South Africa. J Occup Environ Med 2013; 55:172–178. - PubMed

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