New Study Suggests Promoting a Healthy Workplace Fosters Financial Success
According to a new study from JOEM, companies who have a "healthy workplace" environment may outperform those who don't
The College of Occupational and Environmental Medicine reported that companies with strong health and safety programs report a better return from investors. The study, which was published in the September issue of the Journal of Environmental Medicine, suggests that companies who received the Corporate Health Achievement Award (CHAA) from ACOEM have more success in the stock market.
The award is given to companies who are considered “the healthiest and safest companies in America” and who take strong measures to reduce risk in the working environment. The study tracked CHAA recipients from the mid-1990s to 2012 and found that they all outperformed the Standard and Poor’s 500 (S&P 500), a stock market index. COEM believes that this demonstrates that companies who promote a healthy and safe work environment will have good business results all around, from a healthier workforce, to lower healthcare costs, to better stock performance.
The article in COEM points out that the study was rather small and no concrete connection between better safety practices and higher stock performance can be made yet. More comprehensive research needs to be done before a strong relationship can be made.
The CHAA award was developed in 1996 and 29 companies have received it so far, including Johnson & Johnson, Cianbro, Marathon Oil Corporation, Union Pacific Railroad and more.
For more information, visit: http://www.acoem.org/CultureofHealth.aspx