SOM: occupational health should be a core employee benefit

Occupational health should become a central part of employers’ employee value propositions rather than remaining a reactive, compliance-led service, according to a new report from the Society of Occupational Medicine (SOM).

The report argues that as employers face rising long-term sickness absence, an ageing workforce and growing pressure to improve productivity and retention, occupational health (OH) should sit alongside benefits such as private medical insurance, Employee Assistance Programmes and virtual GP services as part of an integrated workforce health strategy.

Despite this, the report says occupational health continues to be viewed by many employers and employees as a service used only after someone becomes unwell, rather than as a preventative resource that helps people stay healthy and productive at work.

Drawing on a rapid evidence review, expert interviews and industry insights, the report concludes that three barriers continue to limit occupational health’s impact: it is widely perceived as regulatory rather than supportive, awareness of services remains low and engagement often happens only once an employee reaches crisis point.

The report also highlights a fragmented health and wellbeing landscape, with many organisations purchasing multiple standalone wellbeing solutions that operate independently of one another. While digital benefits platforms are helping employers bring services together, occupational health is often procured separately on a pay-per-use basis, making it less visible and less accessible than other employee benefits.

According to the report, only around 30 per cent of UK employers currently provide access to occupational health services, with most organisations relying on external providers as required rather than embedding occupational health into their wider health and wellbeing offer.

Rather than positioning occupational health solely around sickness absence management and regulatory compliance, SOM argues employers should recognise its broader role in identifying work-related contributors to physical and mental ill health, supporting employees with long-term conditions and informing healthier work design.

Among its recommendations, the report calls on employers to improve the visibility of occupational health through digital benefits platforms and internal communications, involve occupational health teams in the design of wider health and wellbeing strategies, and equip managers with the confidence to engage with occupational health proactively rather than waiting until problems escalate.

The report also urges benefits consultants and occupational health providers to strengthen integration between occupational health, Employee Assistance Programmes, private medical insurance and other wellbeing services to create clearer referral pathways and reduce duplication across employee health support.

To illustrate the potential impact of a more strategic approach, the report includes examples of organisations integrating occupational health with broader wellbeing initiatives. One anonymised case study describes an energy company that reduced sickness absence costs by around 60 per cent and cut monthly sick pay costs from approximately £90,000–100,000 to around £35,000 after redesigning its occupational health strategy and introducing earlier intervention, generating estimated annual savings of £1.38 million.

The report concludes that repositioning occupational health as a strategic component of the employee value proposition could improve employee health, engagement and productivity while helping employers build more sustainable, preventative approaches to workforce health.

To view the report: https://www.som.org.uk/sites/som.org.uk/files/Repositioning_OH_within_Employee_Value_Proposition_2026.pdf