The 61st annual World Health Assembly is taking place this week in Geneva, Switzerland and at this assembly; the World Health Organization (WHO) is presenting its report titled “Preventing Non-communicable Diseases (NCD) in the Workplace through Diet and Physical Activity.”

The report calls for Employee Wellness Programs to be promoted and implemented worldwide.

Importance of Employee Wellness Programs

The report notes that Non-Communicable Disease related deaths have surpassed transferable disease related deaths and have become the leading global killers. Examples of Non-Communicable Disease’s are heart disease, diabetes and stroke. In 2005, 60% of worldwide projected deaths were caused by non-communicable diseases. They are predicting that this health trend will continue through at least 2030.

Diet, caloric intake, lack of physical activity and tobacco use are the major risk factors in the cause of Non-Communicable Disease’s. Now more than ever, the understanding of the importance of health and wellness is crucial.

Employee Wellness Programs are Effective Tools

The report notes that Employee Wellness Programs are found to be effective in improving health-related risk factors, such as obesity, heart disease and diabetes. The report also notes that Employee Wellness Programs will improve the health of workers, improve the corporate image, improve staff member morale, reduce staff member absences and sick leave, increase staff member productivity, and reduce corporate health care expenses.

Employee Wellness Programs Monitoring

Finally, the report mentions that to have a successful Employee Wellness Program, monitoring and evaluation through Health Risk Assessments and health outcomes are critical and should be included in the Workplace Health Promotion Plan implementation. The evaluations ensure that the Workplace Health Promotion Plan developed meets the proper needs of the workers. Employees should be reevaluated on an on-going basis to make sure the Workplace Health Promotion Plan is still working, or to see if there are any adjustments that need to be made.

Workplace Health Promotion Plan ROI: Fact or Fiction?

Employee Wellness Programs … do they provide a strong return on investment? This is a question that we are sure goes through ever organization’s mind. HR Magazine addresses the Workplace Health Promotion Plan ROI topic in their June 2008 issue.

Workplace Health Promotion Plan ROI: The Bottom Line

According to the article, titled “Finding Wellness’ Return on Investment,” determining Workplace Health Promotion Plan ROI is not an easy thing to do for corporations because it involves a lot of different variables and time.

However, the companies that have taken the time to determine the Workplace Health Promotion Plan ROI of their Employee Wellness Programs have found that it is quite significant. Not to mention, the Wellness program’s effect on the improvement of staff member health and the slowing of the rate of their staff member health care expenses.

Workplace Health Promotion Plan ROI Alliance

Workplace Health Promotion Plan ROI is such an important part of today’s corporate culture, that several large companies have come together to form the Alliance for Wellness ROI, Inc. According to the HR Magazine article, The Alliance for Wellness ROI was specifically created to address the lack of consistency in proving the value of Employee Wellness Programs.

The alliance, formed by BMW of North America, Henry Ford Health System, Kraft Foods Global, MasterCard Worldwide and Schlumberger Limited, strongly believes in showing the value of Employee Wellness Programs and want to develop a standard for how Employee Wellness Programs are measured.

Employee Wellness Programs Components

According the alliance, the following components should make up an corporate-offered staff member Employee Wellness Program:

 Employee assistance Program (EAP)
 Disease Management Programs
 Fitness and physical activity Programs
 Health Risk Assessments
 Worksite health care Programs
 Personal wellness profiles
 Preventive Health Screening and Biometric Testings and immunizations
 Smoking-cessation Programs
 Telephonic Employee Wellness Programs
 Weight Management / Loss Programs
 Self-Care Programs.

Wellness During the Summer

Wellness is important year-round; however if your workers haven’t gotten on the Wellness bandwagon, then now is the perfect time to get them there.

Summer is an ideal time of year to get back into shape and improve overall Wellness.  The weather is beautiful, workers can get outside and they are motivated by the thought of having to wear clothes with less coverage.  Fitness, or lack of fitness, is apparent in the summer.

Wellness in the Summer has Advantages

There are many advantages to beginning a Workplace Health Promotion Plan in the Summer.  Employees are more likely to get outside and walk or participate in group activities during the summer than they are in the cooler months of the fall and winter.  Summer is also a great time to establish a Wellness challenge with your workers and celebrate the completion of the challenge with a participant picnic or cookout.  Finally, it always seems easier to eat healthy during the summer with all the fresh vegetables and fruits that are available during this time.

Workplace Health Promotion Plan Kick-off

We recommend following these steps when starting a Workplace Health Promotion Plan in your office.

 Pick a wellness coordinator for the Workplace Health Promotion Plan who is willing and able to see it through.
 Make sure that you have the support of corporate leadership.
 Start a Wellness committee
 Make use of a Workplace Health Promotion Plan survey to uncover the obstacles and goals of your Workplace Health Promotion Plan
 Provide Health Risk Assessments
 Analyze the Workplace Health Promotion Plan and changes as needed
 Do not forget to stress that the Workplace Health Promotion Plan is for the workers.  Employee Wellness Programs have been found to prevent obesity, cancer, heart disease and hypertension.  taking part in in a Workplace Health Promotion Plan that provides all that should be an easy decision for the corporation and for the workers.

Employee Wellness Programs and Health Care Costs

Employee Wellness Programs are more important now than ever. A recent article in the Wall Street Journal, with the troubles in the economy it seems that the costs of corporation offered health care keep continuing to grow and it doesn’t seem like it is going to change. The article notes that during the year 2008, United States companies can expect to see an increase of 10% in health care costs.

This increase in health care costs is causing some small companies to reduce their staff member health benefits or get rid of them altogether.

Employee Wellness Programs for Healthier Lifestyles

Employee Wellness Programs do provide an option for small companies. The corporations can provide discounted co-pays and deductibles to those workers that fully participate in the offered Employee Wellness Program. Full participation means getting health screens, receiving a health risk assessment, and then working with their wellness coordinator to work towards a healthier lifestyle.

The healthier the workers, the reduce the overall health care costs for the corporation. Just one lengthy hospital stay can almost deplete a small business’ health care budget.

Employee Wellness Programs and Your Bottom Line

Employee Wellness Programs provide many advantages to a organization’s bottom-line. Workplace Health Promotion Plan Statistics from Prudential Insurance show a benefit expense of $312 per person enrolled in a Workplace Health Promotion Plan compared to an expense of $574 per staff member that wasn’t enrolled. Coors Brewing Company showed a positive side-effect of participant absenteeism dropping by 18%, thus greater production and less health care costs overall.

Employee Wellness Programs are an excellent investment, at least according to Lincoln industries in Nebraska.  CNN reported on this 565 employee corporation their committed investment in their staff member’s wellness.

Employee Wellness Programs are part of corporation Culture

The Employee Wellness Programs, according the story, has been in place for 16 years at Lincoln, and it doesn’t seem to be going anywhere.  The corporation has three full-time workers dedicated to the Workplace Health Promotion Plan and the wellness of the workers, who receive worksite massages and a round of instructor-led stretching before they start their shifts.

Employee Wellness Programs Assessed

According to CNN, one of the rules of the Employee Wellness Program, which workers are not required to participate in, is that they receive quarterly checkups where assessments are completed on their weight, amount of body fat and flexibility.  Based on these health assessments, the workers are then ranked from platinum all the way down to “non-medal”.  To become platinum level, where you receive a corporation-paid climbing trip, you must achieve certain fitness levels and be a non-smoker.  Smoking cessation classes are part of the Employee Wellness Program.

Employee Wellness Programs Bring a Big Savings

The Workplace Health Promotion Plan has been a wise investment for Lincoln Industries.  By having healthier workers, they have seen an average of $2 million in savings in health care costs per year.  The savings don’t stop there, since instituting a Employee Wellness Program, workers’ compensation claims have gone from $500,000 per year down to less than $10,000 per year.

Employee Wellness Programs Are Becoming Increasingly Popular

Employee Wellness Programs are Are Becoming Increasingly popular outside the worksite, showing the ever-increasing importance of disease prevention and health risk management.  Private insurance corporations, as well as state Medicaid and Medicare offices are working on ways to improve the health of the people they insure in hopes to save money in the long run.  They are finding that mini-Company Employee Wellness Programs are definitely the way to go.

Employee Wellness Programs Aid in Early Intervention

A recent article that appeared in The Indianapolis Star, companies, insurers and government agencies are turning to “early intervention to alter the behavior of those struggling with common but dangerous health conditions, such as asthma, diabetes, heart failure and coronary heart disease.”

The tactics that they incorporated to improve their beneficiaries’ wellness postcard reminders for different lab tests or check-ups; and possibly even phone calls from nurses to work with the patients to make sure that they are taking their medicines properly and following the lifestyle changes that were suggested by their health care provider.

Employee Wellness Programs Offer Quality Benefits

There are more benefits to a Workplace Health Promotion Plan than just the savings that an corporation or a state agency will see; there is the benefit to the actually patient.  The patient is going to get the motivation and the incentive to get better or to manage their health risks by having to answer to someone, whether that someone is a full-time wellness staff member at their corporation or a nurse affiliated with their insurance corporation.

Employee Wellness Programs are proven to improve productivity and decrease health care costs.  For a business, that makes a difference in the bottom-line. Today, more than 81% of America’s businesses with 50 or more staff members have some form of Workplace Health Promotion Plan with the most popular being exercise, tobaccos cessation classes, back care programs, and stress management. The majority of businesses offer Employee Wellness Programs simply because they think the benefit is worth the cost. Yet business leaders continue to ask themselves how to control huge annual increases in medical insurance premiums and health care costs.

For many companies, health costs can consume half of corporate profits or more. Some employer’s look to cost sharing, cost shifting, managed care plans, risk rating, and cash-based rebates or rewards. But these methods merely shift costs. Only Employee Wellness Programs stand out as the long-term answer for keeping staff members well in the first place.

Employee Wellness Programs are an example of health care reform that works. Results from America’s finest companies, summarized here, are reason enough to consider offering Employee Wellness Programs.  This investment in your most important asset – your staff members – can have a positive impact on your bottom-line.

Workplace Health Promotion Plan Statistics:

Providence Everett Medical Center, a member of the Wellness Councils of America, in Everett, Washington, saved an estimated 3 million or a cost-benefit ratio of 1 to 3.8 over 9 years of an outcomes-based Employee Wellness Program. By offering financial rewards ($250 – $325) to staff members who meet specific organizational and staff member health initiatives the Workplace Health Promotion Plan continues to meet cost containment expectations in the area of health care use, sick time, injuries, while improving health habits and self-care practices. 

During the first 4 years of the Workplace Health Promotion Plan there was a 28% average reduction in health care utilization compared to nine other Providence hospitals that were used as a control group. 

Du Pont saw that every dollar invested in their Workplace Health Promotion Plan returned $1.42 over two years in decreased rates of absenteeism costs at Du Pont Co. (Well worksite Gold in Delaware). Absences from illness unrelated to the job among 45,000 blue-collar staff members dropped 14% at 41 industrial sites where the Workplace Health Promotion Plan was offered, compared with a 5.8% decline at 19 sites where it was not. 

The Travelers Corporation claims a $3.40 return for every dollar invested Employee Wellness Programs, yielding total corporate savings of $146 million in benefits costs. Sick leave was lowered 19% during the four-year research study. In addition to improving the overall health of 36,000 staff members and retirees by lowering poor health habits and increasing good ones, The Travelers realized cost savings by decreasing the number of unnecessary visits to a doctor and emergency rooms. In a similar but smaller research study, members of a Travelers fitness center Workplace Health Promotion Plan were absent from work significantly fewer days than non-members. 

The Workplace Health Promotion Plan at Reynolds Electrical & Engineering Company, located in Las Vegas, cost $76.24 per staff member during the two years it has been in operation. Over half of the 1,600 staff members took part in the Employee Wellness Program. Participants significantly lowered cholesterol levels, blood pressure, and weight and experienced 21% lower lifestyle-related claim costs than non-participant. Resulting savings: $127.89 per participant in the Workplace Health Promotion Plan with a benefit to cost ratio of 1.68 to 1. 

Superior Coffee and Foods, a Bensenville, Illinois-based subsidiary of Sara Lee Corporation, attributes impressive results to the success of the corporation’s comprehensive Employee Wellness Program. Superior showed 22% fewer admissions to a hospital, 29% shorter hospital stays, and 42% lower expenses per admission when comparing costs for this division’s 1,200 staff members with costs for other divisions. Long-term disability costs were down by 40%. 

With health costs per staff member at $6,000, nearly twice the national average, Union Pacific Railroad introduced their Workplace Health Promotion Plan to its 28,000 staff members, mostly union and blue collar, in 19 Western and Southern states. Beginning with a modest health self-care initiative at an annual cost of $50 per person, the Workplace Health Promotion Plan achieved a net savings of $1.26 million. In addition, a voluntary Workplace Health Promotion Plan to help staff members reduce health risks projected a cost-benefit ratio of 1 to 1.57 after one year. Employees in a treatment group reduceed their risk of high blood pressure (45%) and high cholesterol (34%); others moved out of the at-risk range for weight problems (30%); and 21% stopped smoking. 

Average health costs of high-risk Steelcase staff members- those whose lifestyles include two to four health risks such as smoking, little exercise, overweight- are 75% higher than those of low-risk staff members. But high-risk staff members at this Grand Rapids, Michigan-furniture manufacturing corporation who enhanced their health habits through the company’s Workplace Health Promotion Plan and became low risk cut their average health claims in half thus lowering their health insurance costs by an average of $618 per year. If all high-risk staff members (20% of the total staff member population) in one location changed their lifestyles to become low risk, the projected savings could total $20 million over three years. 

Employees at Berk-Tec, a small manufacturing corporation in Lancaster County Pennsylvania, learned self-care techniques and reduceed their corporation’s health care costs in one year. By using a self-care guide, the 938 staff members and their family members made smart health decisions and saved $21.67 per employee and dependent a nearly 18% reduction in costs. By combining reductions in doctor visits and emergency room use, the corporation saved $39.06 per employee a 24.3% decrease in costs over the previous year. 

A health claims-based research study of 72,000 people insured through 285 Wisconsin school districts found a decreased demand for health services among those with access to Employee Wellness Programs and self-care programs. Reductions in health services results in savings for the Wisconsin Education Insurance Group of as much as $4.75 for each $1 spent, higher savings were found in the group receiving access to a 24-hour phone-based nurse advice line, a self-care reference book, and health education materials. 

CIGNA’s Healthy Babies prenatal Workplace Health Promotion Plan delivered an average savings of $5,000 per birth by offering expectant mothers with educational materials and rewarding early and regular prenatal care. And 80% of participants had normal births without complications compared with 50% for non-participant. 

With savings estimated to be as high as $8 million, the California Public Employees’ Retirement System sent its 55,000 retirees a health risk appraisal followed, in some cases, with individualized reports and letters and self-care materials to encourage change and help reduce health risks among retirees and at the same time reduce the health care claim costs. In another research study, Bank of America retirees in California who chose the full Workplace Health Promotion Plan and demand reduction program showed a decrease in total direct and indirect costs of 11% compared with an increase of 6.3% for those who completed only a simple health questionnaire. 

With decreased health care claims, health costs decreased 16% for workers in the City of Mesa (Arizona) who took part in the comprehensive Employee Wellness Program. The city realized a return of $3.60 for every dollar invested in the wellnss program for the city workers. 

To prevent back injuries among its workers, a county in California targeted white- and blue-collar staff members, offered classes and fitness training. As a result, there was a significant increase in staff member morale, lowered worker’s comp claims, health costs and sick days related to back injuries producing a net cost-benefit ratio of 1 to 1.79.

Employee Wellness Programs: Results

Employee Wellness Programs provide Long-Term Results

Employee Wellness Programs, according to an article in Crain’s Detroit Business, come in two choices:  Employee Wellness Programs or Health Insurance products that aim to reduce costs if healthy habits are followed.  Both options are good, but only one will really provide long-term health benefits for your workers and reduce costs over the years.

Employee Wellness Programs provide Help

Insurance-based products provide workers the opportunity, according to the article by Jay Green, to save money on their premiums if they follow certain steps, including performing an internet-based health assessment, visiting their medical provider, and agree to adopt a healthy lifestyle.  These plans usually involve one coach call to the staff member during the first 90 days.  We wonder if these brief wellness encounters will actually change a person’s lifestyle.

It is the overall change in a person’s lifestyle, as well as disease prevention that will lead to reduce medical cots in the future.

Employee Wellness Programs provide convenient Health Risk Assessments and health screening for things like diabetes, cholesterol and blood pressure.  As the article notes, these have initial start-up costs, but the savings accrue over time and workers are more likely to stay active in an workplace staff member Wellness Program.

Employee Wellness Programs Get Results

Finally, the article notes that corporations with an effective Workplace Health Promotion Plan can expect to see “500 percent reduce absenteeism, 400 percent fewer disability claims, and 350 percent reduce health care costs.”  These are numbers that are very hard to argue with.

Corporations are no longer able to trim extra savings out of their medical insurance programs, and most companies have been cost shifting, asking staff members to cover more of their health care costs. Health insurance costs continue to climb (10% or more per year) at 2-3 times the general inflation rate. With nowhere else to turn, businesses are – more than ever – looking to get staff members engaged in Employee Wellness Programs as a means of slowing health care costs and improving productivity.

For example, last year 53% of large businesses offered Health Risk Assessments for their staff, up from 35% just two years earlier, according to a Mercer survey. Change is being driven by cost, but Employee Wellness Programs a win-win solution for both businesses and staff members.
Here are other Workplace Health Promotion Plan trends organizations are implementing:

More companies are integrating Employee Wellness Programs into their benefits plans. If they want the best plans or the lowest personal costs, they need to participate in the Workplace Health Promotion Plan and meeting minimum objectives.

More companies are offering workplace weight loss programs as part of the Employee Wellness Program, especially after Duke University’s new research showing the high cost of overweight staff members and raised cost for worker’s compensation for sedentary and overweight staff members.

Corporations are offering more Employee Wellness Programs designed to assist staff members with chronic health conditions: health coaches, nurse advice lines, telephone counseling, and self-study guides

Corporations are offering more web-based Workplace Health Promotion Plan interventions and health information resources

More companies are offering regular workplace employee health screenings including cholesterol, glucose, A1c, blood pressure, weigh-ins, and other checks as a part of their Employee Wellness Program. Some Employee Wellness Programs even include bone-density checks and skin cancer screenings.

Many companies are offering fitness programs, either in the community or workplace, as a part of their Employee Wellness Program.

Corporations are offering more rewards, prizes and incentives getting engaged in Workplace Health Promotion Plan activities

Some companies are adding emphasis to health maintenance. It’s one thing to lose weight or stop smoking; it’s another to maintain these changes. Helping staff members stay engaged and maintain their health changes is important for long-term success.

Corporations are putting more emphasis on keeping healthy people healthy rather than just working primarily with high-risk individuals. Research shows this approach results in a greater Workplace Health Promotion Plan return on investment (ROI).

Wellness companies are offering great resources for organizations’ staff members over the Internet – online wellness centers, monthly health and wellness newsetters, wellness challenges, web-based points tracking systems, virtual fitness programs, web-based wellness coaching or interventions, interactive health calculators, healthy recipes, even downloadable health tips for your iPod.

Corporations who are becoming more proactive are making a big impact on their future health care expenses and productivity. Ohio State University announced that they expect to save $30 million dollars with their comprehensive Workplace Health Promotion Plan over the next 5 years!

Employee Wellness Programs and prevention are sound ideas whose time has come. Wellness is more fun and costs less than treating disease. 

References: TIME in partnership with CNN, “Businesses Help Workers Lose Weight.” Website accessed July 2007.

Employee Wellness Programs begin and end with individual health. Individuals, after all, are able to make decisions about maintaining and / or improving their health and wellbeing. Employee Employee Wellness Programs must therefore provide the tools and resources needed to assist and motivate individuals to actively participate in the program.

Studies suggest that for every $1 invested in Employee Wellness Programs, a corporation saves $3 to $5 in health and safety costs. Corporations that invest in Employee Wellness Programs reap the financial incentives through savings on health care costs, disability pay, rates of absenteeism, turnover and safety problems.

worksites have already proven to be a great place to promote wellness. After all, people spend more time at work than doing anything else. Eighty-two percent of the United States population is linked in some way to a worksite. Therefore, offering Employee Wellness Programs is a great way to reach a substantial number of people in your area.

Employee Wellness Programs in Small Companies

Unlike large companies, small companies frequently lack the resources to provide Employee Wellness Programs to their staff members. However, they may be the most in need of such services. Small businesses are the hardest hit by medical insurance costs and have the highest rates of substance abuse. Staff Member well-being and physical or mental illness can also be more disruptive in a small business setting. Employee Wellness Programs in small companies also makes sense because small firms employ the majority of working citizens.

Regardless of the size of a business, Employee Wellness Programs can pay. Statistically, even if there are only 100 people in a corporation:

• 60 sit all day to do their work
• 50 don’t wear their safety belts regularly
• 50 feel they’re under moderate stress
• 35 are overweight by 20% or more
• 30 smoke
• 27 have cardiovascular disease
• 25 or more have high cholesterol (over 200 mg/dl)
• 10 are heavy drinkers
• 10 have high blood pressure
• 5 have diagnosed diabetes and another 5 have undiagnosed diabetes
• 7 use marijuana
• 1 uses cocaine

Bottom Line Workplace Health Promotion Plan Benefits

At least one quarter of the health care costs incurred by working adults can be attributed to modifiable health risks (e.g., diet, exercise, tobacco use, etc.) Fortunately, there is a way to hold back the trend. Growing research links an individual’s lifestyle behaviors to their health risk.

The good news is Employee Wellness Programs can:

• Lower health care costs
• Lower workers’ compensation claims
• Lower staff member rates of absenteeism
• Raise worker productivity
• Improve staff member morale

The bottom line is that Employee Wellness Programs can benefit any size business — small or large.