Corporate Wellness Incentive Plans

Research studies have repeatedly demonstrated that comprehensive Worksite Health Promotion Programs, or Worksite Health Promotion Programs, are able to lower health care and insurance costs, decrease absenteeism, and improve effectiveness and productiveness. Other benefits demonstrated in research studies include improved ability to attract and retain key personnel, greater employee allegiance, and improved public conception of the organization.

Medical Care and Insurance expenses

A number of studies offer evidence of reduced medical and insurance expenditures for participants in Worksite Health Promotion Programs, particularly wellness programs involving physical activity.

For $30 per person, the Bank of America started a Employee Health Promotion Program for retirees using a risk assessment questionnaire, self-care books and other mailed materials. Insurance claims were reduced an average of $164 per year in this group while they increased $15 for the control group. Since they were able to document significant changes in risk behavior, they anticipate greater savings in future years.

Pacific Bell’s FitWorks participants claim $300 less per case for a 1-year savings of $700,000. Savings for conditions related to a sedentary lifestyle are $722 per case.

Coca Cola published a decline in health care|medical|medical care|healthcare} claims with an physical activity program alone, saving $500 per employee per year for the employees (60%) who joined their HealthWorks physical activity program. Prudential Insurance Company reports that the company’s major medical costs dropped from $574 to $312 for each participant in its wellness program.

Decreased Rates of Absenteeism

Rates of Absenteeism has been shown to be impacted by wellness programs. The evidence indicates a significant decrease in absenteeism and resultant dollars saved as a result of employee fitness programs.

Pacific Bell’s FitWorks program decreased absent days .8 percent to save $2 million in one year. FitWorks members also spent 3.3 days less on STD for an additional savings of $4.7 million.

Focusing Worksite Wellness Program efforts on elevated-risk staff members has the potential to lead a better outcome. A national manufacturing company reports a decline of 12.2% in illness days for these staff members.

A two-year study by The DuPont Corporation of the importance of its comprehensive Employee Wellness Program on absences among employees reports that blue-collar employees 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 Corporate Health Promotion Programs report documented improvement in job attitude, work effectiveness, energy level, and/or overall morale among program participants–all critical factors in enhancing work rate.

A Johnson & Johnson study found that employee attitude changes were greater at Worksite Health Promotion Program intervention sites with significant beneficial attitude changes noted in the categories of corporation responsibility, supervision, working conditions, job competence/security, and pay/benefits.

In a Canadian government study, the Canada Life Assurance Corporation experimental group realized a 4% rise in productiveness after starting a organization exercise program, compared to the control group. Further, 47% of program participants stated that they felt more alert, had better rapport with their co-employees, and generally enjoyed their work more.

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

The Bottom Line

The following sample of Worksite Health Promotion Programs wellness program results have been published by individual employers:

Business: Dollars Saved/Dollars Spent

• Bank of America (Fries): $5.96/$1
• PacBell: $3.10/$1
• Wisconsin School District Insurance Group: $4.47/$1
• Prudential Insurance: $2.90/$1
• Bank of America (Leigh): $4.73/$1
• General Mills: $3.50/$1

Summary

There is strong evidence that a large portion of the billions of dollars currently spent by employers on health-related costs is preventable by means of Company Health Promotion Programs. Well-planned, all-inclusive Company Health Promotion Programs (Company Health Promotion Programs and Company Health Promotion Programs) have been shown to be cost-effective, particularly when the Company Health Promotion Programs is matched to the health concerns of the specific employee.