Tax Break for Employers: Smart Way to Improve Mental Health
Feb 06, 2017 11:26 AM EST
Tax break for employers which in return would provide key evidence-based action to improve the wellbeing of their employees at work is the subject of a trial study conducted by National Health Service in England. This idea is based on the reason that the employers will be granted tax break provided they must ensure an overall workplace that could improve the mental health of the workers. Once the employer has provided the necessary workplace for their employees then the employees would have better mental health and can produce better work outcomes. And of course better employers' products will give a positive result in the country's economy.
Mental sickness-related absences in work that occupy a large percentage (80%) for total sickness absences have ignited the idea of giving a tax break for employers. It is estimated that the cost to employers and taxpayers of sickness absence reached to 22 billion pounds a year. A staggering cost that could be lessened if employers will provide an effective nice-recommended workplace health programs for employees. Engineers Employers Federation conducted a survey and found out that 41% of companies had experienced an increase in long-term absences over the past two years.
Aside from the idea of sickness-related absences that caused trial study of a tax break for employers, there is also the cost of being present while under sickness. This resulted in a low performance in work thus resulted also in producing a low quality of work. Employers then would have to terminate the employment of such workers. It is sad but a lot of ill-health termination had happened. Once a citizen lost a job he also lost his earnings and his self-esteem decreases and this is caused by poor workplace condition.
According to The Guardians, the NHS England chief executive Simon Stevens argue that tax break for employers who have provided their employees an effective nice-recommended workplace health programs should be offered. The NHS boss emphasized in his Five Year Forward View for the NHS back in 2014 the putting more effort into prevention.
The employers' responsibility for improving the wellbeing of the people at work includes training of line managers on how people are treated at work, the culture in the workplace, and the support people receive when struggling with ill-health. The tax break for employers also called as well being premium trial study if proven very effective will give the country a quality producing employees and employers, and will help the country's economy.
Tax breaks for employers have been in effect last year in Britain as reported by GOV.UK and it was seen as giving benefits to businesses. But this time in England alone it was aimed to alleviate the mental health of the employees.
The tax break strategy would also be reflected in other countries and be imitated. If proved effective then it would be beneficial to both the employees and employers.