Blog. Why Now Is the Time to Invest in Employee Wellbeing
September 08, 2025 | Author Jeremy Gibson
The hospitality industry is facing unprecedented pressures: long hours, high stress, and unpredictable work environments are taking a toll on employees’ mental health and wellbeing. Now is the time to put employee wellbeing at the heart of your business, because it’s vital for both people and your business’s performance.
The Business Case for Action
- For every £1 invested in an Employee Assistance Programme (EAP), employers see an average return of £8. This is driven by reduced absenteeism, improved productivity, and better staff retention - clear evidence that wellbeing support pays for itself many times over.
- Companies with wellbeing initiatives report up to a 25–30% reduction in short-term sick leave, helping to keep teams at full strength and service standards high.
- High turnover remains a persistent challenge in hospitality, but businesses that invest in wellbeing see significantly lower attrition rates. Employees who feel valued and supported are less likely to leave, saving on recruitment costs and preserving service quality.
- Almost half of hospitality workers say they have a poor work/life balance, and of those, two in three (62%) junior hospitality employees say burnout is just part of the job - demonstrating an urgent demand for early intervention and proactive mental health support (source: HA, Mental Health Survey 2025).
- 40% of employees specifically want access to an Employee Assistance Programme (EAP), making it one of the most in-demand wellbeing benefits alongside management training and clear workplace policies (source: HA, Mental Health Survey 2025).
The True Cost of Doing Nothing
Poor employee wellbeing doesn’t only affect individuals - it directly impacts your bottom line. Struggling staff can lead to:
- Lower morale and engagement, creating a negative work environment. 52% of hospitality employees cite excessive workload and high expectations as a main workplace challenge, increasing stress and reducing day-to-day engagement within teams. (source: HA, Mental Health Survey 2025).
- Reduced service quality, affecting customer satisfaction and loyalty. 36% of hospitality workers consistently exceed their contracted hours, increasing fatigue and the likelihood of lapses in service quality or attention to detail (source: HA, Mental Health Survey 2025).
- Overburdened teams and unsustainable roles, with 57% of hospitality employees now citing understaffing and rota gaps as their main workplace challenge - a 21% increase from last year, driving up turnover risk and destabilising your business (source: HA, Mental Health Survey 2025).
According to research from the Chartered Institute of Personnel and Development (CIPD) in their 2022 report, employees in the hospitality industry take an average of 3.7 sick days per year. Based on comprehensive studies by CIPD and ONS, the average cost of a sick day in the UK, accounting for both direct and indirect costs, is approximately £538.
Replacing a single team member can cost up to 60% of their first-year salary - that’s £15,000 to replace someone earning £25,000, once you factor in recruitment, training, and lost productivity. Investing in employee wellbeing helps reduce turnover, protecting both your team and your bottom line.
A Solution Built for Hospitality
Hospitality Action’s EAP is designed specifically for the unique challenges of our sector. It offers:
- 24/7 confidential support via phone, WhatsApp, and live chat
- Flexible care options, from single-session counselling to long-term therapy
- Practical help with financial, legal, and family issues
- Support for managers and regular reporting to help you spot and address workplace trends
Real Results from Our EAP Users
Among employees referred to counselling through Hospitality Action’s EAP:
- 82% reported improved work performance
- 73% experienced a positive change in work attendance
- Absence rates dropped from 44% to just 19% after support
These results demonstrate how early, tailored intervention can make a meaningful difference to both your people and your performance.
Our Circular Model of Support
Unlike commercial providers, Hospitality Action reinvests any surplus from its EAPs directly back into the charity, supporting the wider hospitality community. Every pound spent not only helps your team but also strengthens the industry as a whole.
See the Impact for Yourself
Curious about the financial benefits for your business? Use our ROI Calculator to estimate how much you could save by prioritising employee wellbeing.