Are Wellness Programs Cost-Effective?

Studies have repeatedly demonstrated that extensive health promotion programs, or Health Promotion Programs, can lower healthcare and insurance costs, decrease absenteeism, and improve performance and productivity.

Other benefits demonstrated in studies include improved ability to attract and retain key personnel, greater worker allegiance, and improved public image of the company.

Health Care and Insurance Costs

A number of studies provide evidence of lower medical and insurance costs for participants in health promotion programs, especially health promotion programs involving exercise.

For $30 per individuals, the Bank of America conducted a wellness program for retirees using a risk assessment questionnaire, self-care books and other mailed materials. Insurance claims were decreased an average of $164 per year in this group while they increased $15 for the control group.

Since they were able to document meaningful changes in risk behavior, they anticipate greater savings in future years.

Pacific Bell’s FitWorks participants claim $300 less per case for a one-year savings of $700,000. Savings for conditions related to a sedentary lifestyle are $722 per case.

Coca Cola stated a reduction in health care claims with an exercise plan alone, saving $500 per staff member each year for the employees (60%) who joined their HealthWorks fitness program.

Prudential Insurance Company reports that the company’s major health care costs dropped from $574 to $312 for each participant in its health promotion program.

Decreased Absenteeism

Absenteeism has been proven to be impacted by corporate health promotion and health promotion programs.  The evidence indicates a meaningful reduction in absenteeism and resultant dollars saved then of worker fitness plans.

Pacific Bell’s FitWorks wellness program lowered absent days .8% to save $2 million in one year. FitWorks members also spent 3.3 days less on short-term disability for an additional savings of $4.7 million.

Focusing wellness efforts on high-risk workforce can lead to better results. A national manufacturing corporation reports a decrease of 12.2 percent in disease days for these workforce.

A two-year study by the DuPont Corporation of the effect of its extensive wellness program on absences among workforce reports that blue-collar workforce at intervention sites had a 14 percent decline in disability days vs. 5.8 percent decline for controls. There were a total of 11,726 fewer net disability days.

Enhanced Performance, Productivity and Morale

A number of employers with health promotion programs report documented betterment in job attitude, work performance, energy level, and/or overall morale among health promotion program participants–all vital factors in enhancing productivity.

A Johnson and Johnson study found that worker attitude changes were greater at wellness intervention sites with significant positive attitude changes noted in the categories of organizational commitment, supervision, working conditions, job competence/security, and pay/benefits.

In a Canadian government study, the Canada Life Assurance Corporation experimental group realized a 4 percent increase in productivity after starting an employee fitness program, compared to the control group.

Furthermore, 47 percent of health promotion program participants stated that they felt more alert, had better rapport with their peers, and generally enjoyed their work more.

Swedish investigators found that mental performance was significantly better in physically fit personnel than in non-fit workers. Fit personnel committed 27 percent fewer errors on tasks involving concentration and short-term memory, as compared with the performance of non-fit workers.

The Bottom Line

The following sample of corporate health promotion health promotion program results have been announced by individual businesss -

Company -  Dollars Saved/Dollars Spent

o  Bank of America (Fries) -  $5.96/$1

o  PacBell -  $3.10/$1

o  Wisconsin School District Insurance Group -  $4.47/$1

o  Prudential Insurance -  $2.90/$1

o  Bank of America (Leigh) -  $4.73/$1

o  General Mills -  $3.50/$1

Summary

There is compelling evidence that a sizable portion of the billions of dollars currently spent by corporations on health-related costs is preventable by means of health promotion programming.

Well-planned, comprehensive health promotion programs (health promotion programs and employee health promotion programs) have been proven to be cost-effective, especially when the health promotion programming is matched to the health problems of the specific employee

Wellness Programs on a Budget.

Free Wellness Programs and Cheap Health Management Alternatives

Start a free health promotion program or run a successful health promotion program in the office for little or no cost to your company.  The advantages of company health promotion at work are many.

The articles on wellness program have generated a selection of questions, mostly from wellness providers but also from corporations attempting to begin their own wellness programs. There are a number of things to do to begin a successful wellness program at work.

Suggestions for Starting a Free or Affordable Wellness Program

Before beginning a cheap or free wellness program for your company, learn more about what personnel want. Survey personnel to learn more about their wellness concerns.

Keep the survey confidential to protect employees’ identities. Normally the most popular employee wellness topics are smoking cessation, losing weight concerns and heart and cholesterol health.

Look for Corporate Wellness Freebies

Find out who will come in for free to speak to staff members and explore partnerships with outside agents related to company wellness.

For  instance, consult a local branch of a well-known weight reduction business and ask when someone can come in and talk to workers. Look for agencies that are willing to come in and talk about topics related to wellness at no cost to workers, in exchange for something from you.

Find Corporate Wellness Partnerships

Working with a losing weight company to set up a speaking engagement for workers is the perfect opportunity to explore a potential wellness partnership.

The losing weight company may say that when 10 staff members join the health promotion program, they will hold weekly meetings at company headquarters for the individuals  who joined.  The losing weight group also may offer company staff members a discount when several individuals  join the health promotion program.

Nonprofits an Untapped Health Management Resource

There are also plenty of nonprofit agencies who would be thrilled to visit a organization to discuss health management. But it is up to you to offer them something in return.

For example, if the MS Society came in and talked about the signs of MS, the company could offer to organize an MS walk (in keeping with company health management goals, right?), or an auction with employee and company-donated items where the proceeds go to MS.

The people  at the nonprofit agencies would be happy to open a dialog with your company and to talk about what they would want in return for a speaking engagement. In many cases, they will not need anything at all for a first meeting.

Gathering Data and Analyzing Health Promotion Program Results

Collecting data and analyzing  results of a wellness program may be tricky because of HIPPA laws. Nonetheless, when at least 10 staff members joined the weight reduction program, or 20 people  participate daily in the all-new “Let’s Walk a Mile at Lunch” program, that sort of progress can speak strongly to senior-level management.

And, business successes will potentially give management more incentive to provide money for additional health management and wellness programs in the future.

Wellness Programs.

Small company health promotion programs are catching on. A well-designed health promotion program can increase productivity, boost morale and vitality, reduce stress, lower absenteeism, and control avoidable healthcare costs within an organization.

The beauty of it’s that you are simply helping staff members to make smart choices so the costs of implementing a health promotion program are minimal compared to the benefits.

Worker health is a major concern for small corporation owners. In a small shop, even a few sick staff members can disrupt the flow of the worksite and bring the operation to a standstill.

Instead of sitting back and hoping for the best, some owners are taking the matter of worker health into their own hands by beginning worker health promotion programs. Here is how they work . . .

Overview of employee wellness programs

Employee health promotion programs are programs initiated by the company to improve the overall health of their labor force and to help individual personnel overcome specific health-related hurdles.

These health promotion programs can be offered in a selection of formats -  In mandatory staff training sessions, as voluntary seminars, or through a third-party provider offering a wide-range of staff member assistance programs.

In every case, however, the company foots the bill for the health promotion programs because an investment in staff member health is a corporation investment that directly impacts the organization’s bottom line.

Why offer staff member wellness programs?

Apart from the apparent concern for the health of your staff members, there are several other reasons why employee health promotion programs make sense for small businesses. Right off the bat, your business will benefit from the lowered level of absenteeism that goes hand in hand with a healthful workforce.

Health promotion programs will also reduce the number of injuries that occur in the workplace, not just from accidents, but also from repetitive motion and other recurring sources.

Since even a minor blip in staff member attendance can have a big impact on a small business, a more reliable workforce will inevitably translate into a smoother work cycle and a more comprehensive bottom line.

Health Promotion Program Features

Health promotion programs can cover a broad range of health-related topics. Based on your employees’ needs, it’s entirely up to you to determine the kind of wellness programming you want to offer.

Nonetheless, most employee health promotion programs offer some at least some health promotion programs in the following areas -

o  Nutrition. Diet can significantly impact an staff member’s ability to do their job effectively. Nutritional programs educate personnel about food options and equip them to make healthful dietary options.

o  Fitness. In addition to diet, exercise is an important factor in a healthy lifestyle. Health promotion programs frequently provide employees with opportunities to incorporate exercise into their daily lives.

o  Use of tobacco Cessation. Statistics prove that smokers tend to fall ill more frequently than their non-use of tobacco peers. Since sick employees disrupt the worksite, use of tobacco cessation programs are a no-brainer for both employers and employees.

o  Physiological Testing. Many employers offer physiological as a regular part of their health promotion programs. Cholesterol tests, blood pressure (BP) screenings, and other simple exams can provide early warning signs for additional serious problems.

o  Stress Management. Stress itself takes a toll on employees. However, stress is also linked to other health problems such as depression, cardiovascular disease, diabetes, and obesity. Health promotion programs that help employees deal with stress improve not only the psychological health of your employees, but their physical health as well.

Employee Health Promotion.

Start a Health Promotion Program for Your Workers Today

The benefits to beginning a wellness program are many.

Several company wellness tips to get workers started on the path to a healthier lifestyle -

1. Look around, and determine if staff lead a healthful lifestyle before starting an staff member wellness program.

o  Precisely how many staff members dash outside during lunchtime for a smoke break?

o  Would a smoking cessation program help?

o  Just how often do the junk food-laden vending machines have to be replenished?

o  Is anybody exercising or taking advantage of local walking trails as part of their healthy living goals?

The answers to these questions will give corporations a better idea of the staff member wellness program that is right for them.

2. Survey workforce to determine their healthful lifestyle habits.

o  Are they exercising regularly?

o  Eat three square meals a day?

Have regular physicals? Really? Then what planet are they on?

Because we’d love to visit! A wellness program benefits most corporations because staff don’t have the time or energy to stay on top of wellness concerns at work or when they leave the office to go home.

3. Give wellness programs a big kick-off with a healthy living “fair.” Provide employees free flu shots, blood pressure checks, cholesterol screenings, body/fat ratio assessments, use of tobacco cessation programs and free mammograms- and contact the local hospital, because there’s plenty more where this came from.

Corporations keep their personnel hopping during the week. Provide personnel a chance to amp up their healthy lifestyle on the business dime. A health promotion program is an added benefit that personnel get for working for the company!

4. Incent to live- offer money for workforce to lose weight, commit to a smoking cessation program and generally enjoy a healthier lifestyle.

Be certain to encourage humankind’s innate competitive nature by offering prizes for wellness employee “winners.” And, encourage a healthier lifestyle by sponsoring staff members who want to enter a local 5K for charity race, run a marathon or play a sport.

Health Promotion Program Facts.

Health Promotion Program Introduction

The last ten years has brought major changes in employer attitudes toward wellness programs. Interest in self-help and self-care programs has increased as growth in healthcare costs have encroached substantially into profits.

Changes in the organizational structures of healthcare facilities, specifically the growth of the for-profit healthcare sector, and the need to contain costs are changing the ways in which purchasers of healthcare plans are viewing their own efforts toward provision of workplace healthcare programs and facilities.

Projections for the next decade indicate that health promotion programs will continue to become important factors in the provision of healthcare, including prevention activities, for both government and private industry.

In corporations with existing health promotion programs, administrative rationale for sponsoring these activities ranged from bettering staff member health (28%) to bettering staff member morale (9.7%).

Programs include interventions associated with safety, health risk assessment, tobacco use cessation, blood pressure control, nutrition programs and stress management. Benefits cited range from improved health and productivity to reducing healthcare costs.

Demographics of the U.S.  Workforce

o  110 million Americans were in the civilian labor force in 1981; by the year 2000 the civilian labor force is expected to be nearly 140 million.

o  44 percent of the 1984 labor force was female; 10 percent was Black.

o  The median age of the workforce is 32 years and is expected to increase to 32 years by 2030.

o  57.9% of all personnel work in businesses with between 2 and 500 employees; 45% work in businesses with fewer than 100 personnel.  An additional 7.5 million American Citizens are self-employed and 3 million are farmers.

o  18 percent of all wage and salaried workers in 1985 were union members.            

o  45% of all workers are employed in offices.            

Prevalence of Employee Health Promotion Activities            

Based on a 1985 survey, nearly 66% of worksites with 50 or more staff had employee health promotion activities in 1985.  The frequency of worksite-based activities by selected categories in 1985 was -             

Wellness Program Activities            

Tobacco use Control          35.60%   

HRA    29.50%         

Back Care             28.60%

Stress Management       26.60%      

Exercise             22.10%

Off the Job Accidents    19.80%         

Nutrition             16.80%

Blood Pressure (BP) Control    16.50%         

Weight Control          14.70%   

Workplace size is the strongest indicator of health promotion program prevalence.            

Most workforce believe the benefits of their corporate health promotion activities outweigh the costs, even though few formal investigations exist.            

The most frequently cited reason for beginning wellness programs and perceived benefit from programs is improved staff member health.

At most workplaces with activities (85.4%), all staff members are eligible to participate. 30 percent of workplaces with activities offer them to corporation dependents, and an equal percent offer them to retirees.

When workplaces seek outside health promotion program assistance, they turn to voluntary, not-for-profit corporations (57.1%), private for-profit providers-consultants (50%), local hospitals (44%), and insurance corporations (43%).

Tobacco use Cessation Programs

Tobacco use related medical problems cost United States organizations $26 billion annually in lost productivity and $7 to $8 billion in tobacco-related health care costs.

Employees who smoke are 50 percent more likely to be hospitalized than nonsmokers, have 2 times as many job-related accidents as nonsmokers and have absenteeism rates approximately 50 percent higher than nonsmokers.

Individuals  who smoked an typical of one or more packs of cigarettes per day had 118% higher healthcare expenditures than nonsmokers.

76% of current smokers and 80% of former smokers and nonsmokers feel that companies should restrict tobacco use to certain areas.

In 1985, 65 percent of smokers, 85 percent of nonsmokers and 78 percent of former smokers, felt that smokers should refrain from tobacco use in the presence of nonsmokers.

In 1986, 17 states had laws regulating tobacco use in offices or worksites either in government-controlled offices or offices of private employees.

Examples of use of tobacco cessation intervention program used by companies include -

o  offering nonsmokers a discount of health and life insurance;

o  compensating full or partial fees for use of tobacco cessation programs;

o  providing cessation programs on corporation or shared time;

o  offering cash payments to quitters after 6 of 12 tobacco-free months;

o  participating in national quit tobacco use days; and

o  Adopting a smoke free company policy and establishing deadlines for beginning the policy.

Physical Fitness Programs

An active 55-year-old man can lead as vigorous a lifestyle as a sedentary 35-year-old.

Differences in work-related activity has been proven to yield a two- to three-fold difference in cardiovascular deaths between active staff members and their more sedentary counterparts.

In addition to improving strength, balance, and flexibility, exercise programs may reduce  the probability of back injuries among certain occupational groups.

93 million workdays in the USA are lost yearly as the result of back problems.

Research findings support the notion that worksite exercise plans improve fitness and help reduce other health risks, although results related to improved productivity are weak as a result of lack of methods for accurately measuring productivity.

A very small proportion of worksites have onsite fitness facilities.

The majority of staff sponsored fitness programs involve skills training like aerobic dance, low impact aerobics, resistance training, preand post-natal exercise classes, and walking/jogging groups.

A lot of corporations subsidize worker participation in community “Ys,” health and fitness centers or other community programs when no onsite facilities are available.

Workplace fitness programs may reduce costs to businesss by lowering staff member health care claims and expenditures.

People  whose weekly exercise was equivalent to climbing less than five flights of stairs or walking less than a half mile, spent 114 percent more on health claims than those who ascended at least 15 flights of stairs or walked 1 1/2 miles weekly.

Health care costs for obese individuals  are roughly 11 percent higher than those for thin individuals .

Nutrition and Weight Control

One-third of the U.S.  population is obese to the extent of lowering their life expectancy.

Improvements in consuming habits can reduce  the risk of serious medical problems such as high blood pressure (BP) and cholesterol levels and is instrumental in the control of non-insulin-dependent diabetes.

The workplace offers several advantages for nutrition education; support and influence of coworkers and management, availability of a daily eating situation, and opportunities for follow-up and monitoring.

Worksite nutrition programs may be grouped in 6 broad categories -

o  cafeteria programs;

o  multi-component programs;

o  weight control programs;

o  cholesterol reduction programs;

o  programs for pregnant and lactating women; and

o  other nutrition education topics.

Men are less likely to take part in weight-loss programs than are female workers.

Stress Management

Estimates suggest that 50 percent to 80 percent of doctor visits may be attributed to psychosomatic or stress-related origins.

Company pays many of the costs related to worker stress, both directly in the form of healthcare costs and in lower productivity.

Job factors which are associated with stress include -

o  not authorizing staff members to participate in decisions about the work process;

o  positions which require more or less skill than the staff member has;

o  changes in work demands;

o  lack of clarity about expectations and standards; and

o  conflict with colleagues or supervisors.

Most worksite stress management programs are implemented thus of requests from personnel.

Stress management programs focus on three types of skills -  relaxation skills, coping skills, and interpersonal skills.

Worksite stress management programs are often delivered in one of three formats -

o  workshops conducted by trained specialists;

o  self-learning tools; and

o  personal teaching to assist with self-assessment, planning for changes, learning new skills and responding to life crises.

The two major techniques used in workplace stress management programs are -

o  Teaching people  to reduce the negative physical effects of stress; and

o  Teaching people  to recognize and control sources of stress at work and in personal life.

Seat Belt Usage

Motor car accidents are the largest single cause of lost work time and on-the-job fatalities of USA corporation.

Motor automobile accidents account for 27 percent of all work-related deaths and 45 million days of lost work yearly.

Greater than 36 percent of the 11,300 accidental work deaths in 1983 involved cars.

Workers who routinely fail to use seat belts may spend up to 54% more days in the hospital.

Traffic accidents caused about 3 times as many days of restricted activity as any other type of disability.

Motor car crashes cost $15.2 billion in lost productivity, 88% of which is attributed to losses from workforce activities and future earnings.

In corporate settings where seatbelt policies, requiring use of belts by anyone riding in a company automobile or using a private automobile on company company, have been enforced, 60% to 90% use has been reported.

Incentive programs, accompanied by education and use requirement restrictions have resulted in 40% to 70% initial usage rates.

Factors influencing the sources of workplace safety belt programs include -

o  Active commitment by management;

o  obviously defined and well enforced policy of required belt use on the job;

o  positive incentives; and

o  ongoing education and training programs.

Case Studies of Health Promotion Programs

Based on an extensive examination of its extensive employee wellness program, LIVE FOR LIFE, Johnson and Johnson announced the break-even point for the program occurs in year 3 and by year 5 they have a net advantage of $316 per employee. Their year 9 projected benefit is $677 per employee.

Workers at four Johnson and Johnson organizations who were exposed to the wellness program increased their daily energy expenditure in vigorous activity by 104 percent compared to an increase of 33 percent among workforce at organizations that were offered only an annual biometric test.

Participants in the United Methodist Publishing House’s health promotion program submitted more claims (1.14 per participating employee and .82 for the control in 1984, 1.44 and 1.3 respectively in 1985), but the average cost per claim was less for participants ($316 for participants and $567 for control, in 1984, $262 and $602 respectively in 1985, $270 and $566 respectively in the first four months of 1986).

The United Methodist Publishing House attributes some of the lower than projected use in healthcare costs for 1985 ($902,116 projected with actual costs $142,884) to the wellness program even though the results are not conclusive.

In 1985, the Adolph Coors Company conducted a telephone interview of a random sample of its 10,000 employees to determine changes in health practices since the introduction of an staff member wellness program 4 years earlier.

The sample of 495 personnel was stratified to match the business profile respecting age, sex and job description.

The survey announced that 65% of respondents began exercising in the last 4 years, 37% had improved their diets, 20% were regular users of the wellness center, 9% had stopped tobacco use as the result of the corporation’s tobacco use cessation program and regular participants of the wellness center miss an average of 1.96 workdays each year because of disease or injury compared to 3.08 days for non-participating staff.

The Coors Business also achieved a cost savings from a cardiac rehabilitation program that was implemented in 1981. In 1980 workforce were out of work 7.2 months after a heart attack or bypass operation.

In 1984, cardiac patients were out an typical 1.9 months saving $152,000 in lost work time and in 1985 cardiac patients missed an typical of 2.6 months, saving $125,000 that year.

Wellness Programs.

Corporate Exercise Plans Improve Employee Wellness

Instituting a wellness program improves the health of staff members, lowers staff member absenteeism and saves the organization money, too. Learn more about starting an staff member wellness program in the office.

Advantages of Health Promotion Programs

o  A business investment of $100-$150 per employee each year to participate in an employee wellness program can save companies $300 to $450 for each employee every year, as reported by Ron Goetzel, Director, Cornell University Institute for Health and Productivity Studies.

The savings can take several years to actualize, says Goetzel, and are seen in lowered health expenditures.

o  The Health Promotion Councils of America announced a $24 return for every $1 spent on a corporation health promotion program for small companies.

o  As reported by a 2005 survey by the Art of Wellness, businesses who instituted worker health promotion programs realized a 30% reduction in medical and absenteeism costs in less than four years.

A successful wellness program starts with company leaders. Corporation owners ought to lead by example, taking part in their organization’s employee exercise initiative and working closely with a wellness coach.

Company leaders should make sure employees are well cognizant of their wellness efforts, posting weight reduction results or smoking cessation results on corporation intranet or bulletin boards for everyone to see.

Worker Health Promotion Programs that Really Work

o  Make certain to encourage staff members to kick begin their own health promotion programs by visiting their doctor. A complete physical ought to include information about blood sugar, cholesterol levels and general health.

o  Target specific health-related concerns in a employee fitness program. Information about how to fight obesity, smoking, alcoholism and drug abuse should be at the forefront of an staff member wellness program, along with related conditions.

o  Hire a wellness coach to instruct employees on how to lead a healthful lifestyle.

o  Reward workers for participating in company wellness programs. Let workers accrue wellness points that they can redeem for prizes.

Make the prizes healthful, too- a free massage, private training session with the corporation’s wellness coach or health food gift certificate encourages even healthier lifestyle choices.

o  Acknowledge employee wellness leaders in organization newsletters, in posted bulletins and on the organization intranet.

Corporation Wellness Programs Yield Big Results

For organization owners who want to elevate staff member participation in a organization health promotion program, consider Johnson and Johnson’s approach.

Faced with only 26 percent of employees participating in their worker wellness program, Johnson and Johnson offered employees a $500 discount on medical insurance costs when they completed a health risk profile.

The number of staff participating in the Johnson and Johnson staff fitness initiative jumped after they offered the incentive — to more than 93%.

Ron Goetzel encourages those looking to pitch a corporate exercise program to corporation leaders to use basic facts about the benefits of worker wellness programs as part of their argument.

Keep it simple, and share results from other company’s staff member wellness program success stories.

Designing a Health Promotion Program.

Five reasons to have a wellness program   

1   The United States spends more dollars on healthcare than any other nation yet we are not the world’s healthiest

o  Largely sedentary   

o  Use of tobacco is still popular   

o  Stress is at epidemic levels (WHO)   

o  Alcohol continues to take its toll on American Citizens   

2   Much of the disease in the United States is preventable

o  Tobacco and alcohol are leading causes of death   

o  As much as 70 percent of the cost of healthcare is driven by avoidable illness   

3   Health Care costs continue to rise

o  Healthcare premiums continue to rise and to be passed on to the employee   

o  Health Care cost are generally the number one benefit cost to most employers    

4   The workplace is an ideal setting to address health and well being

o  Most American Citizens work   

o  Poor health habits take a toll on American business   

o  Businesss have a vested interest in health related issues.   

5   Research validates that wellness programs can improve health, save money, and even produce a Return On Investment.

o  Aldana,S.G. (1998). Financial impact of company wellness and methodological quality of the evidence.  The Art of Wellness. Vol 2, Number 1.   

o  Wilson, M.G. (1996). A extensive review of the effects of employee health promotion on health related outcomes -  an update.  The American Journal of wellness. Vol 10, Number 6.   

o  Wilson, M.G. (1996). A comprehensive review of the effects of corporate wellness on health related outcomes -  an update.  The American Journal of wellness. Vol 11, Number 2.   

o  Chapman, L.S. Proof Positive -  an analysis of the cost-effectiveness of employee health promotion. 3rd ed. Seattle -  Summex Business, 1996.   

o  Pelletier, K.R. A review of the health and cost-effective outcomes studies of extensive wellness and disease prevention programs at the worksite -  1993-1995 Update.  The American Journal of Health and Promotion. Vol. 10, Number 5.   

Key Components of a Wellness Program   

Physical Health Promotion - Focuses on the development, maintenance, or improvement of one’s physical fitness   

Sample Physical Health Promotion Programs / Workshops

o  Annual health testing

o  Regular exercise

o  Good safety habits

Emotional Wellness - Focuses on all aspects of mental fitness

Sample Emotional Health Promotion Programs / Workshops

o  Stress management workshops

o  Dealing with aging

o  Addictive behaviors

o  Parenting

Financial Wellness - Focuses on improving the quality of life of workers by helping families and individuals in becoming financially stable

Sample Financial Health Promotion Programs / Seminars

o  Financial management

o  Savings and Investing

o  Credit and Purchasing

o  Insurance and Estate Planning

Spiritual Wellness - Focuses on promoting a healthful inner self

Sample Spiritual Wellness Programs / Seminars

o  Be certain to encourage daily devotional readings

o  Give regular service opportunities

o  Give a daily/weekly/monthly chapel (meditation) time during work hours

Nutritional Wellness - Will meet the needs of the employees through group and individual nutritional services

Sample Nutritional Health Promotion Programs / Seminars

o  Individual nutritional Assessment

o  Individual and group counseling

o  Educational classes

o  Weight loss wellness programs

Health Promotion Program Return on Investment.

Many employers, as part of their efforts to contain rising healthcare costs, are beginning health promotion programs variously described as wellness, lifestyle programs, health and productivity management, population health management and, simply, health promotion programs.

The purpose of this article is to consider whether such health promotion programs improve health. When so, do they in turn reduce utilization of healthcare services and reduce healthcare expenditures?

The well-liked media have done much to promote the theory of corporate wellness. Last year, In Business -  Madison1 magazine printed a story accompanied by a table reporting an impressive range of Return On Investment (ROI) -

Return on Investment (Per dollar Return On Investment for lifestyle programs)

o  Coors $6.15

o  Kennecott $5.78

o  Equitable Life $5.52

o  Citibank $4.56

o  General Mills $3.90

o  Travelers $3.40

o  Motorola $3.15

o  PepsiCo $3.00

o  Unum Life $1.81

Source -  2004 T.E. Brennan Corporation, as reported

Would these ROIs stand up to rigorous empirical analysis of the data? What factors produce such disparate returns among these wellness programs? and does the published literature, subject to coworker review of scientific methods, support the ROIs reported here?

Health and Productivity Management

Illness and injury associated with an unhealthy lifestyle or modifiable risk factors is reported to account for at least 25 percent of employee health care expenditures.

The most meaningful of these risk factors are stress, tobacco use, overweight or obesity, physical inactivity, excessive alcohol use, and poor nutritional habits.

Over the past two decades, a variety of groups at the local, state, and national levels have promoted the theory that health risk reduction and care management programs can improve employee health, and that worksite health education, health risk management, and benefit counseling should complement standard medical insurance benefits.

The intensity of health promotion programs range from bulletin board, handout or newsletter information to onsite fitness facilities, health risk reduction classes, and personal lifestyle change coaching.

Wellness programs today often include a health risk appraisal  to evaluate each employee’s modifiable risk factors of disease. Program coordinators then target interventions to those that are at increased risk through personal communications and individual follow-up.

Extensive wellness programs could include courses on health risk reduction and job safety, fitness and exercise activities, health club memberships, and reductions in co-payments or premiums for workers who adhere to recommended health testing guidelines.

Along with this, some companys are restructuring health benefits and stimulating employees’ cost-sensitivity when accessing health care.5 These changes are intended to reduce employees’ need for and utilization of health care, yielding reduced group health care costs.

Demonstrated reductions in health care expenditures should then provide corporations with a powerful bargaining chip in negotiating lower medical insurance premiums during future terms.

Evidence basis -  A range of Return On Investment (ROI) estimates

The empirical research has produced results as varied as the well-liked media on Return On Investment. Notwithstanding, evidence continues to grow that well-designed and well-resourced wellness and disease prevention programs provide multi-faceted payback on investment.

Peer-reviewed examinations and meta analyses show that Return On Investment is achieved through improved staff member health, lowered benefit expense, and enhanced productivity.

o  Goetzel and colleagues, in their meta-analysis of two dozen articles summarizing economic evaluations of health and productivity management programs, found an typical return of $3.14 per $1 invested in traditional health promotion programs.  The Return On Investment (ROI) estimates for the individual health promotion programs ranged from $1.49 to $13.7,

o  Aldana reviewed 72 articles and concluded that wellness programs achieve an average ROI of $3.48 when considering health care costs alone, $5.82 per $1 when examining absenteeism, and $4.30 when both outcomes are considered.

o  Ozminkowski and collagues conducted a 38 month case study of 23,000 participants in Citibank, N.A.’s health promotion program and announced that within a 2 year period, Citibank realized a Return On Investment between $4.56 and $4.73.10

Follow-up studies found improvements in the risk profiles of participants, with the high-risk group bettering more than the “usual care” group1 as a result of more intensive wellness programming.

o  Chapman’s 2004 meta-evaluation of 42 studies, ranking overall validity of the studies, reports cost-benefit ratios from $2.05-$4.64.

In addition to immediately quantifiable cost reductions, scientists have reported a selection of spin-off benefits -  greater productivity, intellectual capacity, and reductions in disability12 and absenteeism.9,13,14,15

Such wellness programs might also have positive effects on employee perceptions of the corporation and employee morale, even among nonparticipants.  These outcomes go beyond savings in direct healthcare costs to provide non-health related Return On Investment (ROI).

Tailoring wellness program to maximize Return On Investment Health promotion programs aim to reduce the health risks of workers at high risk while maintaining the health status of those at low risk.

A variety of disease management (DM) interventions are available to fit the specific risk profiles of various workplaces. Insurers and organizations now seek to calibrate their interventions for achieve optimal risk reduction and costeffectiveness.

In 2001, University of Michigan researchers announced on stable trends in health care costs for over 2 million current and former employees in an 18 year data set.

The mean cost increase per risk factor gained ($350) was found to be more than double the mean cost decrease per eliminated risk factor ($150).

In other words, increases in costs when groups of staff members moved from low risk to high risk were much greater than the decreases in costs when groups moved from high risk to low risk. Their conclusion -  Programs designed to keep healthy people healthy will likely provide the greatest return on investment.

On the contrary, Pelletier’s meta-analysis and other wellness program investigations18 suggest that individualized risks reduction for high-risk workers within the context of comprehensive wellness programming is the critical element in achieving positive clinical and cost outcomes in worksite interventions.

Dose-Response?

Several factors might affect the impact of various wellness programs and the ultimate Return On Investment (ROI), including cultural and environmental factors, workforce demographics, level of participation and longevity of the wellness program.

Most cost-benefit studies have been conducted in large organizations with more than fifty staff. But scientists have shown that similar results can be acquired by small organizations with as few as five staff actively involved in a well-managed wellness program.

Various studies also suggest that even relatively modest levels of participation can achieve substantial health promotion program impact. Contrary to reports by the popular media that such health promotion programs require more than 70 percent participation, published reports of at least one case showed positive ROI with 51 percent participation.

Length of intervention appears to be a more salient variable -  an impact on medical costs ordinarily requires three-to five years of health promotion programming.

Future developments

Despite the abundance of positive wellness program evaluations, a few caveats remain. Negative results are less likely to be stated or published, thus biasing the Return On Investment upward.

Uncertainty persists regarding the specific impact of the various health promotion program components. But as these health promotion programs take hold, further research and examination will enable fine-tuning of health promotion program investments.

Meanwhile, the preponderance of data and the strength of the published research stand for a positive Return On Investment for wellness programs.

In truth, the corporation case for such wellness programs is now well enough defined that some insurance agents offer discounted rates to businesses that institute or subscribe to wellness programs.

Future questions will focus on how to best to combine comprehensive and focused interventions, the intensity of elements, and how to calibrate the dose-response model to achieve a target Return On Investment (ROI).

Here, companys, workforce, and researchers will need to collaborate to define mutual goals in terms of both clinical and cost outcomes.

Sources -

1. In Business -  Madison. Madison, WI -  September 2004. p. 39.

2. Anderson DR, Whitmer RW, Goetzel RZ, Ozminkowski RJ, Wasserman J, Serxner S. Health Enhancement Research Organization Committee. American Journal of Wellness 2000; 15(1) -  45-52.

3. Manning J. Health Promotion movement gains ground among businesses, health insurers. Milwaukee Journal Sentinel. August 19, 2004.

4. Chapman LS. Specialist opinions on “best practices” in corporate health promotion (WHP).  The Art of Wellness Newsletter, July/August 2004 - 1-6.

5. Fronstin, P, and Werntz, R. EBRI Issue Brief No. 267, March 2004. Washington, DC - Employee Benefits Research Institute (EBRI).

6. Powell C. Experts urge corporations to promote worker wellness strategies. Akron Beacon Journal. October 25, 2004.

7. Goetzel RZ, Juday TR, Ozminkowski RJ. AWHP’s Worksite Health, Summer, 1999.

8. Goetzel, RZ. Absolute Advantage. Washington DC - Health Promotion Councils of America. Vol 1(8); 2002.

9. Aldana SG. American Journal of Health Promotion 2001; 15(5) -  296-320.

10. Ozminkowski RJ, Dunn RL, Goetzel RZ, Cantor RI, Murnane J, Harrison M. American Journal of Health Promotion 1999; 14(1) -  31-43.

11. Ozminkowski RJ, Goetzel RZ, Smith MW, Cantor RI, Shaughnessy A, Harrison M.  The impact of the Citibank, N.A. J Occup Environ Med. 2000; 42(5) -  502-511.

12. Serxner S, Gold D, Anderson D, Williams D. J Occup Environ Med. 2001; 43(1) -  25-29.

13. Riedel JE, Lynch W, Baase C, Hymel P, Peterson KW. American Journal of Wellness 2001; 15(3) -  167-191.

14. Edington MD, Karjalainen T, Hirschland D, Edington DW. AAOHN J. 2002 Jan; 50(1) -  26-31.

15. Aldana SG, Pronk NP. J Occup Environ Med. 2001 Jan; 43(1) -  36-46.

16. Pelletier KR. American Journal of Wellness. 2001; 16(2) -  107-16.

17. Edington DW. American Journal of Wellness 2001; 15(5) -  341-349.

18. Leatherman S, Berwick D, Iles D, Lewin LS, Davidoff F, Nolan T, Bisognano M. Health Affairs 2003; 22(2) -  17-30.

19. Erfurt JC, Holtyn K. J Occup Med 1991; 33(1) -  66-73.

20. Serxner S, Anderson DR, Gold D. American Journal of Wellness. 18(4) -  1-6, iii, 2004 Mar-Apr.

21. Serxner SA, Gold DB, Grossmeier JJ, Anderson DR.

Developing a Health Promotion Program.

As corporations today continue to compete in the global economy, cost containment strategies are going to be increasingly important. Controlling the rising cost of staff member ill health is becoming a priority for corporate leaders.

The emerging corporate culture in the USA  is one which has an worker population centered in health, safety and wellness.

Developing a corporate strategy for wellness and disability management makes good organization sense.  The following eight-step process ensures a strategic, integrated, needs-driven and results-oriented approach.

The following process works best in companies with strong leadership and a long-term commitment to staff member health.

1. Identify Your Wellness Program Champion

This person must be a leader in your organization and a strong advocate of health. Ordinarily this is a personal who actively pursues his or her own personal quest for optimal health.

The health promotion program champion must have the resources and authority to drive the program forward.  The program champion’s key role is to ensure the strategic plan for health is aligned with the organization’s organization objectives, strategic focus and organizational values.

For example if the business promotes that “our strength is our individuals ” the wellness program must demonstrate how programs will nurture and protect that valuable resource.

2. Form Your Wellness Strategy Team

The Wellness Strategy Team should include decision makers and stakeholders from areas of the company that can influence health and the organization’s bottom line.

These areas might include; finance, human resources, training and development, health services, compensation and benefits, staff member assistance services (EAP), marketing and advertising, facilities, health and safety, rehabilitation, cafeteria or food services and the union. A team of six to eight representatives is recommended.

The role of the Strategy Team is to develop and implement the strategic plan, look for opportunities to promote health, ensure the wellness program is integrated into key areas of the company, streamline efforts, maximize company resources and wellness program examination.

3. Complete an Organizational Health Audit

The purpose of an Organizational Health Audit is to evaluate your existing health promotion programs and services, physical environment and policies and procedures that support health.

It’s also crucial to look at your organizational culture or “how things are done” around the corporation.

Members of the Strategy Team complete the Audit independently and then meet to discuss their investigation. During the investigation process, health issues and opportunities are discussed in preparation for the development of the strategic plan.

4. Analyze Your Corporation’s Cost Pressures

Cost pressures are identified by assessing  a number of areas including; benefit costs, Workplace Safety Insurance Board (WSIB) claims, drug usage, type of paramedic claims, absenteeism data and employee assistance program utilization.

This process helps to target areas that could be positively impacted by a wellness program and to provide a baseline for analyzing  change.

5. Conduct a Health Risk Assessment (HRA) or Worker Needs and Interest Survey

The next step is to determine your staff member’s health risks, interests and readiness to change. A confidential health risk assessment can accomplish many goals.

It provides a baseline from which to measure personal lifestyle changes, provides personnel with relevant health information, motivates personnel to take charge of their health and assists in health promotion program planning.

Most health risk appraisals provide individual reports and a corporate report identifying high-risk areas in the business.

A lot of businesses prefer to administer personalized needs and interest survey to evaluate staff member needs.  The benefit of this approach is that the business is able to gather information on the employees’ perceived health promotion program needs and interests.

This information could be incorporated into the strategic plan. Administering a recent survey also has the added benefit of fostering a sense of staff member ownership to the health promotion program.

6. Develop Your Strategic Plan for Wellness

The strategic plan should incorporate information accumulated from the Organizational Health Audit, your corporation’s cost pressures, and health risk assessment data or employee survey results.

The strategic plan should include your health promotion program mission, three or four goals and a few health promotion programs under each objective.  The strategic plan provides a framework to encourage, support and evaluate “best health practices.”

It is also important that the plan align itself with the vision, goals and goals of the business.

The sample strategic plan that follows was created for blue jeans maker Levi Strauss and Co. (Canada) Inc. Levi Strauss and Co.’s mission statement and aspirations (how workers interact with each other in a company environment) guided the development of the plan.

Levi Strauss and Co.’s aspirations include the following statement -  Above all, we want satisfaction from accomplishments and friendships, balanced personal and professional lives, and to have fun in our endeavors.

The wellness program plan included a number of components to ensure that it embraced this statement including the following -

1. A vision statement, which tied in with the corporation’s aspirations.

2.  An incentive system to encourage and reward the accomplishment of healthy milestones.

3. A recognition system to applaud success.

4. Friendly competitions between Levi Strauss and Co. locations to ensure a fun environment.

5. Opportunities to take part in small group educational wellness programs to foster team support.

6. Initiation of support groups for personnel completing wellness programs (i.e. use of tobacco control support group).

7. Programs dealing with work and family balance.

Other information that was analyzed and used to create the plan included -

1. Company demographics

2. Focus groups

3. Cultural audit

4. Top drug report

5. EAP utilization

6. Worker benefit services report

7. Health and dental claims

8. Operational performance summaries

9. Health risk appraisals

7. Put together a Corporation Case to Support Your Plan

Your company case for wellness provides the necessary details for approval at the senior level management level.  The company case includes -

1.  The Strategic Plan for Health

2. A proposed wellness program budget

3. Marketing strategies

4. Program leadership options

5.  An implementation plan

6. Analysis methodology.

In presenting the strategic plan it’s vital that you highlight how the plan aligns itself with the strategic direction of the business.

The wellness program budget ought to include educational resources, marketing and advertising costs, rewards and incentives, leadership costs and supplies.

Marketing strategies should address how the health promotion program will be promoted and rolled out to various groups within the organization i.e. decentralized locations, high risk staff, older staff.

Program leadership should address how volunteers will be used, internal resources  and whether consultants have been proposed. All play an equally important role in the implementation of your wellness program.

The health promotion program implementation plan should incorporate the following kinds of programs that help create awareness of positive health practices, assist personnel in making lifestyle changes and programs, which support long-term change.

Awareness wellness programs create an awareness of the importance of healthy lifestyle practices and motivate workforce to take the next step. Examples of awareness wellness programs include posting educational posters, newsletter articles and brown bagger seminars.

Lifestyle change health promotion programs are more extensive and longer in duration. They are designed to assist personnel in changing behavior. Examples of lifestyle change health promotion programs are nutrition education programs, stress management programs, back care courses and tobacco use control programs.

A supportive corporate environment encompasses everything from corporate policies and procedures, the physical environment and building a corporate culture that supports good health practices. Follow-up sessions and support groups for workforce who have completed 6-10 week wellness programs also provide a supportive environment for long-term change.

Investigating the effectiveness of wellness is ongoing. A formal investigation must be conducted annually and might include; re-administering steps three to five, health promotion program participation statistics and a year end survey to revisit “soft” issues like morale, health promotion program satisfaction and future health promotion program direction.

8. Solicit Input and Communicate Your Plan

Worker input is critical to the long-term success of your health promotion program.  An Worker Advisory Committee should be formed to roll out the plan. Another key responsibility of this team is to solicit feedback from all levels of the organization to ensure buy-in.

Front line Manager’s Information Sessions and focus groups are also important. This group needs to buy-in to the notion that they play a key role in supporting positive health practices.

Regular meetings are advised with front line managers to receive ongoing input, address issues and orient new managers.

Conclusions

The World Health Corporation’s definition of health is “a state of complete physical, mental and social well-being and not merely the absence of illness and infirmity.”

In order for us to create healthy workplaces, health promotion programs need to have have a health promotion program champion, have worker ownership, be upper-level management supported, results driven and strategically aligned with the overall corporation objectives of the corporation.

Wellness program that embrace these qualities will have a positive impact on an corporation’s bottom line. Canadian research points to many case studies where on-site health promotion programs have resulted in lowered absenteeism, lower claims and increased productivity.

Organizations who have embraced wellness as part of “how they do business” have one thing in common. They demonstrate a commitment to their most valuable resource â.” their people .

They understand the increased pressures associated with downsized corporations, a rapidly changing worksite, an aging work force and the challenge of balancing work and family obligations.  And they share a common belief that healthful personnel are happier, absent less and more productive.

References -

Design of Health Promotion Programs by Michael P. O’Donnell. 1995. Published by the American Journal of Wellness.

Pro Fit-ability by Veronica Marsden. Group Health Care Management. May 1997.

Meeting Expectations by Laura Mensch. Employee Health and Productivity. August 1999

7 Steps to Wellness by Daphne Woolf and Veronica Marsden. Group Health Care Management. February 1996.

Published in the Journal of Health Promotion for Northern Ireland, Issue 9, March 2000

Health Promotion Program Ideas.

Want some health promotion program ideas and wellness policy ideas to get you started? Or maybe you want to jump start or improve upon your current health promotion program?

The list below provides “best practices’ that can help meet any health promotion program budget! the Health Promotion Program ideas are divided into topic areas.

General Wellness Progam Ideas

o  Policy - Conduct an Employee Needs and Interest Survey

o  Policy - Create a management/employee Health Promotion Committee

o  Policy - Select health care plans that cover costs for weight control and use of tobacco cessation

o  Policy - Waive co-pay or reimburse for preventive health care visits

o  Program - Display brochures on a variety of wellness topics for workers to take

o  Program - Establish a wellness resource center or library with videos, books, magazines, DVD’s on a selection of topics of interest to employees

o  Program - Identify employees who are mentors or champions for healthful activities and ask them to present or to list as a contact for other employees

o  Program - Plan and promote periodic or regular educational sessions.

o  Program - Plan monthly educational sessions on the national health observance topic

o  Program - Post a Health Promotion Bulletin Board and update it monthly

o  Program - Promote messages from national health observances during the month

o  Program - Publish and/or post healthy tips in newsletters, paycheck stuffers, bulletin boards, etc.

o  Program - Sponsor a benefits fair

o  Program - Sponsor business fitness and healthy eating challenges

o  Program - Sponsor corporation health fairs or other onsite events

Nutrition Programs

o  Policy - Offer free, healthy snacks for personnel (fruit, nuts, popcorn)

o  Policy - Give healthful meal options in cafeterias and at business events

o  Policy - Give information to workforce about the nutritional content of food served in the cafeteria

o  Policy - Start a fresh fruit “snack basket” in the breakroom or cafeteria

o  Policy - Stock vending machines with healthier choices

o  Policy - Subsidize healthy foods in the cafeteria or vending machines (10¡ apples may  be more appealing than $1.00 candy bars)

o  Program - Coordinate a weekly or monthly healthful lunch club

o  Program - Have brochures available on a selection of healthy consuming topics

o  Program - Include nutrition articles in company newsletters

o  Program - Schedule a healthful food tasting contest Free

o  Program - Schedule educational sessions at lunch-time on a variety of nutrition topics of interest

o  Program - Sponsor an employee healthful food cookbook. Either sell the cookbook and use profits for programs, or buy a cookbook for all employees

Weight Loss Programs / Weight Management Programs

o  Policy - Consider flexible work schedules so that workforce can participate in weight-loss programs

o  Policy - Subsidize registration costs for weight-management programs

o  Program - Form a support group to help staff members who are trying to lose weight

o  Program - Locate registered dieticians near your workplace as a resource for staff who want information on healthful eating, meal planning or weight control

o  Program - Offer individual counseling for staff attempting to lose weight

o  Program - Offer on-site fitness and weight-management programs through your local hospital, Weight Watchers, TOPS or local, registered dietician

o  Program - Schedule an educational session on diet myths and healthful eating

Physical Activity Programs

o  Policy - Allow flexible work schedules to encourage exercise

o  Policy - Create a fitness space with aerobic equipment, and weights

o  Policy - Develop accessible walking paths, trails, and/or bicycle routes

o  Policy - Be certain to encourage staff members to walk more by parking farther away from the entrance

o  Policy - Establish a health and fitness center with aerobic equipment, weights, group exercise classes, fitness professionals

o  Policy - Hold walking meetings

o  Policy - Make the stairwells more appealing (carpet, fresh paint, artwork, posters)

o  Policy - Give reduced gym membership fees to all workers

o  Policy - Give facilities for staff members to secure bicycles

o  Policy - Schedule 5 â.” 10 minute stretch breaks during the day

o  Policy - Subsidize health and fitness center membership for personnel who participate a minimal number of days per week (ex., 3 days per week)

o  Policy - Support lunchtime walking/running clubs or corporation sports team

o  Program - Be certain to encourage stairwell use and incentives

o  Program - Install a basketball hoop outside

o  Program - Promote and support community walks or fitness events

o  Program - Promote walking during breaks and other off-time periods

o  Program - Give periodic fitness incentive programs to encourage exercise

o  Program - Schedule educational sessions on fitness activities

Tobacco use Cessation Programs / Tobacco Cessation Programs

o  Policy - Develop a smoke-free grounds

o  Policy - Develop a tobacco-free worksite

o  Policy - Make certain to encourage the use of 1-800-QUIT-NOW, North Carolina’s free Tobacco Use Quitline. Or check www.QuitlineNC.com

o  Policy - Reimburse for tobacco replacement products

o  Policy - Subsidize the cost of smoking cessation workshops

o  Program - Provide brochures and information on health effects from use of tobacco and tobacco cessation

o  Program - Schedule awareness sessions to motivate employees to attempt to quit tobacco use

o  Program - Schedule onsite use of tobacco cessation workshops

Staff Member Biometric Screening

o  Policy - Discount medical insurance premiums or reduce co-payments for employees who take part in screenings and who take part in managing their risk factors

o  Policy - Install blood pressure (BP) monitoring equipment

o  Program - Give flu shots for staff and family members

o  Program - Offer HRAs to all employees, including counseling and follow-up

o  Program - Give periodic blood pressure screenings and follow-up

o  Program - Make available periodic screenings for cholesterol, blood sugar, body composition, etc.

Stress Management Programs / Make sure to work Life Balance Programs

o  Program - Allow flexible schedules for family/work life balance

o  Program - Make available and promote an staff member assistance program

o  Program - Give information on substance abuse prevention

o  Program - Provide handouts and information on stress management and psychological health

o  Program - Give pamphlets and information on work life balance, such as financial planning, childcare, parenting, elder care, etc.

o  Program - Provide supervisor and manager training on communication, relationship building, organizational stressors, etc.

o  Program - Review corporation policies and work schedules to identify organizational stressors

o  Program - Review the worker assistance program to ensure it’s meeting the needs of the staff and company

o  Program - Schedule educational sessions on stress management and work life balance

o  Program - Schedule workshops on relaxation, stress management, and work life balance topics