Indoor air quality (IAQ) is one of the most critical yet often overlooked factors in building management. Despite being a key determinant of health, well-being, and productivity, many businesses still fail to recognize its full impact. In recent years, numerous studies have shown that poor IAQ has far-reaching consequences, not only for the occupants of a building but also for its financial performance. Improving indoor air quality can yield a significant return on investment (ROI), making it a smart choice for businesses and property owners alike. In this post, we’ll explore why IAQ monitoring matters and how it can transform your workplace and your bottom line.
The hidden costs of poor air quality
Poor indoor air quality can have substantial economic repercussions. The World Health Organization (WHO) has declared air pollution a global public health emergency. While outdoor air pollution garners more attention, indoor air can often be up to five times more polluted than outdoor air. For businesses, this poses a considerable risk. Poor IAQ affects employee health, leading to symptoms such as headaches, dizziness, fatigue, and even “sick building syndrome,” where occupants experience flu-like symptoms due to prolonged exposure to poor air.
Economically, the impact is huge. The U.S. Environmental Protection Agency (EPA) estimates that poor indoor air quality contributes to losses amounting to billions of dollars annually due to decreased productivity, higher absenteeism, and increased medical expenses. Employees spend nearly 90% of their time indoors, making them particularly vulnerable to pollutants like volatile organic compounds (VOCs), carbon dioxide (CO2), and particulate matter (PM). These pollutants are often invisible but can significantly impair cognitive function.
One particularly noteworthy study by Harvard University found that a 500 μg/m³ increase in VOC levels reduced cognitive function scores by 13%. Furthermore, a 400 ppm increase in CO2 levels decreased cognitive scores by 21%. These declines in performance have a direct impact on a company’s efficiency and productivity, resulting in lost revenue over time.
The benefits of IAQ monitoring
Investing in IAQ monitoring provides businesses with real-time data on the air quality inside their buildings. This data allows facility managers to make informed decisions to improve indoor environments and optimize energy use. The financial benefits of IAQ monitoring are far-reaching, touching everything from operational costs to employee performance.
One of the most significant advantages of IAQ monitoring is its potential to cut energy costs. Heating, ventilation, and air conditioning (HVAC) systems account for a significant portion of a building’s energy consumption, often representing up to 40% of the total. Traditional HVAC systems, which operate at a constant rate, tend to waste energy by over-ventilating spaces that may not need it.
By integrating IAQ monitoring with demand-controlled ventilation (DCV) systems, businesses can adjust airflow based on occupancy levels. These systems can introduce fresh air only when necessary, rather than running continuously, resulting in energy savings of 10-21%. According to the EPA, this can translate into annual savings of approximately $0.10 to $0.20 per square foot. For larger commercial buildings, these savings can be substantial over time.
Boosting employee productivity and well-being
Healthy employees are productive employees. Numerous studies have shown that improving indoor air quality can lead to increased cognitive function, reduced absenteeism, and overall better workplace morale. According to the American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE), poor indoor air quality costs businesses billions each year due to medical expenses and lost productivity. By enhancing air quality, companies can mitigate these costs and create a healthier, more vibrant work environment.
A groundbreaking study conducted by Dr. Joseph Allen and his team at Harvard’s T.H. Chan School of Public Health found that cognitive function scores were 61% higher on days with good air quality compared to conventional days. The largest improvements were observed in areas like crisis response (97% higher), strategy (183% higher), and information usage (172% higher). These improvements are equivalent to a $6,500 increase in salary per employee per year, while the cost of improving ventilation is less than $40 per person annually, or as low as $1 per person with energy-efficient systems.
Furthermore, improving IAQ has a direct impact on absenteeism. Research shows that employees working in environments with better air quality take up to 35% fewer sick days. Professor Donald Milton’s research highlights that increasing ventilation rates can lead to a net savings of $400 per employee annually by reducing the number of sick days attributable to poor air quality. For businesses with a large workforce, these savings can be significant.
Green building certifications and property value
Indoor air quality is also closely linked to green building certifications such as LEED, WELL, and RESET. These certifications not only optimize a building’s environmental performance but also enhance its market value. Investors and tenants alike are increasingly seeking out buildings that meet high environmental standards, as these properties tend to attract high-value tenants who are willing to pay a premium.
WELL-certified buildings, for instance, typically command between 4.4% and 7.7% more in rent per square foot than non-certified buildings. Such buildings also experience increased occupancy rates, better tenant retention, and a reduced risk of obsolescence. Additionally, green-certified buildings tend to maintain higher property values over time, with a projected 5-10% increase in market value within 10 years of certification.
For property owners, these certifications not only represent a commitment to sustainability but also provide a competitive advantage. Green and healthy buildings tend to attract long-term tenants who appreciate the higher standards of air quality and energy efficiency. This not only improves the building’s financial performance but also minimizes vacancies and increases its overall market share.
A competitive edge in talent retention
Attracting and retaining top talent is one of the biggest challenges facing businesses today. Employees are becoming increasingly selective about their work environment, and IAQ plays a critical role in shaping their decision. Studies show that employees value indoor air quality above many other sustainability initiatives offered in the workplace. Smart companies are leveraging this by improving their air quality and achieving certifications like WELL and LEED to attract the best talent.
For example, CBRE’s WELL-certified offices in Madrid reported a 50% reduction in absenteeism and a 27% drop in staff turnover within the first year of achieving certification. Additionally, 77% of employees said that their workspace fostered greater collaboration and socialization, and 30% felt more innovative as a result of the improved environment.
Cundall, another company that invested in IAQ improvements, saw immediate benefits, with increased staff productivity and a noticeable drop in absenteeism. Such results highlight how investing in air quality improvements not only enhances employee satisfaction but also boosts long-term workforce performance.
Conclusion
Investing in IAQ monitoring offers a substantial return on investment by improving energy efficiency, enhancing employee productivity, and increasing the value of properties. For businesses and property owners, creating a healthier and more sustainable indoor environment is not only a moral responsibility but also a financial imperative. With the right IAQ strategies in place, organizations can expect to see lasting benefits across every aspect of their operations.
By prioritizing indoor air quality, companies can create healthier, more productive workplaces, attract high-value tenants, and increase their competitive edge in the market.
How AQSENSOR can help
At AIRQUALITY SAFE SL, we understand the importance of maintaining optimal air quality in your buildings. That’s why we offer AQSENSOR, an advanced air quality monitoring solution designed to track critical air pollutants such as VOCs, CO2, and particulate matter in real time. Our sensor is designed to integrate seamlessly with your building’s management system, providing accurate, actionable data to help you optimize your indoor air environment, enhance energy efficiency, and ensure the well-being of your occupants.
Whether you are aiming for green building certifications or simply want to improve workplace productivity, AQSENSOR offers the tools you need to monitor, analyze, and enhance your indoor air quality. Join the growing number of businesses that have made the smart choice to invest in a healthier future with AQSENSOR.
References:
World Health Organization. “Indoor air quality guidelines: Global update 2019.” WHO Report, 2019.re efficient solutions to improve the air we breathe indoors.
Allen, J. G., et al. “Associations of cognitive function scores with carbon dioxide, ventilation, and volatile organic compound exposures in office workers: A controlled exposure study of green and conventional office environments.” Environmental Health Perspectives, 2015.
U.S. Environmental Protection Agency. “Energy savings from HVAC retrofits: Reducing air conditioning loads in commercial buildings.” EPA Energy Report, 2016.
Milton, D. K., et al. “Risk of sick leave associated with outdoor air supply rate, humidification, and occupant complaints.” Occupational and Environmental Medicine, 2000.
Harvard T.H. Chan School of Public Health. “The impact of green buildings on cognitive function.” Harvard University Research, 2015.
