Wellness Program Introduction

Risky health behaviors by employees cost a company. Changing those behaviors can save the employer money and increase the employee’s productivity.

Because work gives an employee a stable setting and support system, Wellness Programs programs can have a great impact on reducing high-risk behaviors. This impact results in lower health claims cost, less absenteeism, and less short-term disability.

Health promotion programs can include:

• Raising awareness: Single health topics addressed in newsletters and emails.
• Health assessments: Screenings, health fairs, health risk appraisals.
• Education: Speakers or programs at lunchtime/staff meetings.
• Skill building: Activity challenges, healthy cooking, CPR, stress management.
• Interventions: Massage, smoking cessation, and skills to help you get the most out of your doctor visit.
• Physical environment: Healthy items in the vending machines and cafeterias, clean air practices, ergonomics, bike racks, flex time, welllit stairways.
• Evaluation: Initial needs assessment, baseline evaluation measures, ongoing evaluation of program effectiveness.

Why Offer Wellness Programs

The typical employer spends about $8,000 a year on an employee’s health care. This includes health insurance, disability and worker’s compensation. As these costs climb, health insurance is expected to rise at least 10% per year.

A 1999 study showed that corporations using health and productivity management programs had a return on investment (ROI) from $1.49 – $13 in benefi ts per dollar spent. The amount depended on the nature of the program used. (S. Aldana, American Journal of Health Promotion, 2001; 15:296-320)

One study showed that a “stop smoking” program can save between $404 -$40,829 per employee, depending on the age and sex of the employee.

The health benefi ts program at Traveler’s Company included a selfcare book, a newsletter, single-topic brochures, and videotapes. The program saved the company $7.8 million in employee benefi t costs, decreased doctor visits, and it reduced absenteeism by 1.2 days per employee per year. The estimated ROI was $3.40 per dollar spent.

In 1998, the Health Enhancement Research Organization (HERO) reported a study of 46,026 employees from six large employers for three years. Employees with an inactive lifestyle had 10% higher costs; employees with depression had 70% higher costs.

Benefits of Wellness Programs

• Increased Productivity – The Canada Life Assurance Company realized a 4% increase in productivity after starting an employee fitness program.
• Increased Job Satisfaction – According to employee opinion surveys conducted by the Silverstone Group, employees’ morale increased, which helped support a more creative work setting.
• Improved Recruitment & Retention – In the midst of a tight labor market, health promotion programs could be a vital tool to draw new recruits.
• Decreased Absenteeism – Canada Life Assurance Company’s absenteeism dropped 42% among employees in the health and fitness program.
• Decreased Workers Comp & Disability – In one year, Boeing Company’s number of back injuries decreased by 34%. Six million dollars was saved by tracking injuries as they occurred.
• Managed Healthcare Costs – Golden, Colorado Adolf Coors Company’s wellness programs returned $6.19 for every dollar spent.

Wellness Program ROI is a topic of interest to virtually anyone involved in wellness program initiatives.  Most CFO’s fail to see the logic behind health promotion and thus demand that wellness coordinators show some measure of Wellness Program ROI.  Enter one such company that has demonstrated their wellness program ROI and are sharing the information with the world.

Quad/Graphics is a champion of value-based benefit design with reports that its subsidiary, QuadMed, has reduced healthcare costs to approximately $6,800 per employee – 30 percent less than the average similar-sized manufacturer in the Midwest. A member of The Center for Health Value Innovation (www.vbhealth.org), the nation’s premier organization dedicated to establishing value and producing evidence for sustainable health and financial improvement, Quad/Graphics is the largest privately held commercial printer in the world with 10,500 employees and $2B annual sales.

Starting with a small worksite health-care clinic at the Quad/Graphics’ plant in Pewaukee, Wisconsin, QuadMed took the ground-breaking approach of bringing nearly all primary healthcare services in-house – eliminating costly middlemen and burdensome paperwork. Today, QuadMed employs its own medical staff, operates its own laboratory, pharmacy, fitness and rehabilitation centers, and contracts with local hospitals for specialized and advanced care. Employees more actively participate in preventive healthcare and spend fewer days in the hospital.

“Our mission is to control corporate healthcare cost trends by providing a full range of employer-sponsored healthcare services, while enhancing employee healthcare quality through best practice guidelines and protocols,” states Raymond Zastrow, M.D., president of QuadMed and a Fellow of The Center. “Our proactive approach and focus on holistic, evidence-based care is reflected in our operating values.”

The results have been remarkable: in 2006, the total costs for participants fell below the benchmark by 32 percent. QuadMed’s cost for their Lean You! incentivized wellness program of 2005 totaled $240,900 compared to the cost avoidance estimate of $550,000 for early diagnosis of four cases of cancer.

An analysis of corporate healthcare data revealed that obesity was a primary driver of employee healthcare costs, with 82 percent higher Rx costs in the overweight/obese population at Quad/Graphics than in the “normal weight” population; 80 percent higher inpatient costs; and 78 percent higher outpatient costs. The value-based design solution called for Quad/Graphics to remove barriers to care and create incentives to this high-risk group of employees. This translated into eliminating co-pays for weight management expenses or diabetes management.

“These results have earned QuadMed national recognition as a model for other companies concerned with out-of-control healthcare cost trends,” adds Zastrow. “QuadMed now offers this employer-managed healthcare option to other companies nationwide.”

Quad/Graphics has now initiated this program across all its locations, helping to identify potential employee health risks before they occur and subsequently directing employees to an appropriate course of treatment. With decreased utilization of inappropriate services, such as rescue drugs and emergency room visits coupled with a reduction in disability and worker compensation days, QuadMed has reduced the cost trend for Quad/Graphics.

According to Cyndy Nayer, president and executive director of the Center, “The Quad/Graphics experience is another triumph for value-based design. Our members learn valuable lessons from one another and benefit from the ongoing, collegial association.”

Benefits of a Corporate Wellness Program: For the Employee

A healthy lifestyle impacts every part of your day-to-day work environment. Corporate Wellness Programs translate into fewer injuries, less human error, and a more harmonious office environment. They also let you know that your organization is concerned about your general health and well-being.

A good Corporate Wellness Program will also help reduce stress, which the United Nations has called “the 20th Century Disease.” A large majority of office workers complain that their job is stressful – a problem that affects all levels within an organization.

Stress from the workday also affects our personal relationships and activities. Human beings are just not designed to magically morph into someone else as we leave our work environment.

Taking advantage of corporate wellness programs offered not only will help you succeed more during work hours, it will give you more energy and patience for your home and personal life as well.

Benefits of a Corporate Wellness Program: For the Employer

As reported in an Ipsos-Reid study released March 18, 2004 the main preventable contributors to employee absenteeism are:

• Depression/anxiety/other mental health disorders – 66%
• Stress – 60%
• [Negative] Relationship with supervisor or manager – 44%
• Co-worker conflict in the workplace – 28% more…

Benefits of a Corporate Wellness Program: Statistics

For well over a decade, research has been showing the effectiveness of Corporate Wellness Programs. For every dollar spent on a Corporate Wellness Program, the returns have been cost savings of between $2.30 and $10.10 in the areas of decreased absenteeism, fewer sick days, reduced WSIB/WCB claims, lowered health and insurance costs, and improvements to employee performance and productivity.

Statistics do show that a healthy organization increases employee morale, improves the ability to attract and retain key people, all while having more alert and productive employees. Some statistics of note:

• Canada Life Insurance reported a return of $3.43 on their fitness program, and an overall return on investment of $6.85 on each corporate dollar invested on reduced turnover (32.4% lower), productivity gains and decreased medical claims,
• DuPont’s Worksite Health Promotion pilot sites saw a saving of 11,726 disability days and a return of U.S. $2.05 for every dollar invested by the end of the second year,
• The Canadian government’s corporate wellness programs returned $1.95-$3.75 per employee per dollar spent (as reported by Dr. Roy Shephard),
• Municipal employees in Toronto, missed 3.35 fewer days in the first six months of their “Metro Fit” fitness programs than employees not enrolled in the program,
• Johnson & Johnson estimated an average saving of U.S. $224.66 per employee per year for the four years examined after the program introduction, with the bulk of the savings being in the third and fourth years,
• Pacific Bell reported that overall absenteeism decreased after implementing a program,
• Coca Cola report saving $500 every year per employee after implementing a fitness program, with only 60% of their employees participating,
• Coors Brewing Co. reported that for each dollar spent on their Corporate Wellness Program they saw a $5.50 return, and the employees who participated reduced their absentee rate by 18%, and
• Prudential Insurance Company reported that the benefits costs for employees participating in their program were $312, as opposed to $574 for non-participants

As you can see, a properly implemented program affects the bottom line as much as it builds goodwill.

First aid is one of those things that you hope you will never need, but is a good thing to have the training for if a situation arises. Bringing a trainer into the workplace can also be part of a team-building exercise, as it encourages people to work together to learn for a common goal.

Many Workplace First Aid courses also include a Workplace Safety component, which teaches staff to identify dangerous situations before accidents happen. This can have a significant impact on the bottom line in terms of both human cost (lost time, Worker’s Comp claims administration time) and insurance and claims costs.

First Aid Precautions (know-how)

1. The first rule in first aid is SAFETY. When assisting someone else do not become the second casualty. For instance, do not enter a burning building to rescue someone unless you are trained to do so, and if you are not a swimmer, do not enter deep water to rescue someone who is drowning.
2. Make sure that you are not doing more harm than good. Avoid going beyond your training; leave the medical stuff to the Paramedics and the Doctors.Stay away from medication unless the patient/casualty has their own medication prescribed by their doctor for the problem that they are currently experiencing.
3. You can keep injuries to a minimum by knowing what to do when faced with an emergency. Take a first Aid or C.P.R. course and learn how to save a life

Business First Aid Tips:

For Burns

Hold affected area under cold water; do not apply ointments or butter.

For sprains:

Use a cold pack.

Basic supplies for an office first aid kit:

This is a short list of items that every workplace should have on hand.

1. Sterile gauze pads
2. CPR pocket masks/key chain pocket masks (See drug store or Laerdal)
3. Cold pack
4. Adhesive dressings
5. Bandaids
6. Cotton pads (rolled)
7. Safety pins – mixed sizes

Offering healthy snack food alternatives is an easy start to showing your commitment to Workplace Wellness. Keep records to see that they are actually being used. Make sure the supply is fresh, clean, and attractively presented. If necessary, charge a fair price, but remember that the continued wellness of your employees impacts morale and your bottom line.

Healthy Snacking Tips

• Read the label!
• Choose snacks that are nutritious and unsweetened.
• Drink water rather than snack out of boredom.
• A microwave on site with popcorn helps cut down on the urge to run out and grab something unhealthy, as does a fridge and a water cooler.
• Bring fruit into the office – leave a large bowl in the kitchen area and in meetings.
• Share an exotic fruit with the office – try something new. Have “exotic fruit” day where everyone brings in something unusual!
• Bring Healthy snacks in through a vending machine or “honour system.”
• Start a “5 a Day Challenge” in your workplace.

Some Healthy Snack Choices

• Fresh fruit
• Vegetables (e.g. carrot sticks)
• Single serving applesauce
• Nuts (be careful of allergies)
• Dried fruit
• Cereals
• Yogurt
• Melba Toast
• Rice cakes
• Rice chips
• Cheese
• Cottage cheese
• Graham Crackers
• Healthy muffins (no, not chocolate – that’s a “cupcake”)

The 5 a Day Challenge

A well balanced diet of fruits and vegetables is an important step to healthy lifestyle. They contain vitamins, minerals, and fibre, which help to reduce your risk of obesity and high blood pressure. Nutritionists recommend eating between 5 and 9 portions per day, where a “portion” is considered to be a half-cup of the cut fruit or vegetable. The exception is leafy greens, which require a full cup to be considered an entire portion.

Many options for implementing a coporate fitness program as part of a corporate wellness program are available, from subsidizing gym memberships to setting up a walking program. There are just as many ways to provide incentives for your employees to participate.

The benefits are obvious – an improved health, alertness, and general well being, resulting in a reduction in the number of injuries, disability claims, and sick days. In effect, a fitness program will help your employees become a happier, healthier, and more productive workforce.

Corporate Fitness Program: First Things First

Ensure that participants are fit enough to safely take part. Take into account the age and body types of the people involved before choosing the elements of your program. As with undertaking any health regimen, a physical exam by a qualified health professional is advised.

There are different styles to consider: Aerobic, Strength, and Agility. A good program will incorporate elements of each.

Corporate Fitness Program: Some Options and Ideas

• If your office building has a lot of stairs or if you are on a lower floor, you might suggest walking up instead of taking the elevator.
• Try a “Walk to Work Day” for employees who live close enough.
• Provide handbooks for employees to find out more about the various options open to them.
• How about a lunch time group walk?
• Bring in a Personal Trainer to help devise a program for the group and/or individuals. They can also be brought in to measure progress.
• Subsidize memberships at a fitness club near the office.
• Group yoga is healthy, therapeutic, and team-building.
• Provide storage for bicycles and other equipment.
• Encourage regular physical activities: sponsor a company team or arrange regular activity nights.
• Allow flexible working hours to let personnel fit in exercise time before or after work.
• Install showers in the office.
• Bring in small exercise equipment that can be used throughout the day.
• Implement the Fitness Challenge, where the goals are to be the Most Improved, rather than to compete with each other.

Corporate Fitness Program: The Physical Activity Challenge

 30 minutes of physical activity three times a week can help set you on the path to improved health. Benefits include better self-esteem, reduced stress, increased relaxation, and slowing the aging process.

Reaching your thirty minutes of physical activity can be easier than you thought. 30 minutes does not have to be “30 consecutive minutes” – a minimum block of five minutes can be counted toward your daily total.

Fast ways to add minutes to your total:

• Park your car farther away from the office.
• Get off the bus a few stops early.
• If you live close enough, walk to work.
• Take the stairs instead of the elevator or escalator.
• Organize or join a lunch-time group walk.
• Organize or join a company sports team.
• Exercise while watching TV.
• Walk or bike while doing your errands.
• Go dancing!

Starting a Wellness Program

Before You Start a Wellness Program

The key thing to remember is that participation in your Wellness Program must be voluntary. Not all of your employees or coworkers are going to participate. Have your employees fill out the Employee Wellness Program Interest Survey to see how interested they are.

Once you tabulate the likely success of the wellness program, you will be able to determine whether or not a sufficient number of employees will participate to make the wellness program worthwhile.

Setting Up a Wellness Program

When starting a wellness program, you will need to select a wellness coordinator to be responsible for coordinating the effort. This person might be you, or a person who scored highly on the questionnaire. This person should be committed to a healthy lifestyle regardless of the wellness program, and be interested in speaking to others about it.

Next, determine the goals of your Wellness Program. They could include any number of the following:

• Improve general health and well-being
• Improve morale & attitude
• Improve the sense of being a team
• Improve productivity
• Reduce turnover rate
• Decrease absenteeism
• Decrease injuries

Then, depending on the size of your organization, select a Wellness Committee. This will allow tasks to be spread out, requiring less time from each person. Wellness Committee members will manage responsibilities, such as taking turns ensuring that healthy snacks are available, booking outside health care practitioners, or organizing events. They should plan to meet monthly to coordinate their efforts, and be made aware of the goals of the plan.

Consult the employees about what elements of the welness program they would use. Some options include:

• Fitness Program
• Onsite Healthcare or Onsite Employee Health Screening
• Healthy Snacking Program
• First Aid Courses
• Health and Wellness Resources

In addition, some other ideas that go hand in hand with Workplace Wellness are:

• “Green” office suppliers
• Office Recycling
• Safety in the Workplace
• Stop Smoking Programs
• Stress Management

Through discussions with management and staff, you can determine what mix of elements is right for your organization.

Managing the Wellness Program

Specific goals for your Wellness Program should be defined, such as improving morale or reducing the turnover rate. Monitor the program regularly to see if it is meeting the goals, or if it needs to be revised.

There will be early adopters and those who are resistant. Understand that it is a voluntary program that will have to be “marketed” to your employees. The more fun it is, the more likely people will participate.

Take into account the age and cultural backgrounds of your employees when choosing the elements of your Workplace Wellness Program. Make it flexible so that people can participate on their schedule, or choose components that work for them.

Be sure to reward the employees who are on the committee that oversees the implementation.