Wellness Program Blog

Company Wellness Programs first became popular during the economic boom of the late 1980s and early 90s. Programs featured onsite gyms and massages, and were used as recruitment tools for young workers searching for nontraditional work environments. However, when the tech bubble burst, so too did the willingness to spend money on perceived perks, and employers returned to a more traditional benefit structure focused on managed healthcare.

In recent years, as Health Care costs have spiraled out of control, employers have explored the potential of Company Wellness Programs as a cost-saving strategy. Companies such as Johnson and Johnson, General Motors, Motorola and Union Pacifi c Railroad have all seen a signifi cant return on investments in employee health (See Case Studies, p.20). Company Wellness Programs can help decrease the costs associated with:

Health Care premiums – The cost a company pays for health care insurance: According to a 2005 study by Hewitt, the Health Care cost per employee in the United States in 2006 will average $8,046, with employers absorbing nearly two-thirds of that cost.

Prescription costs – The price of a drug plan: According to a 2005 study by Mercer, the average annual drug costs for big employers grew 11.5 percent, making it nearly a decade straight of double-digit rises in cost.

Short-term disability (STD) – The cost of offering short-term disability insurance to workers: According to a 2004 study by insurance provider Cigna, the average short-term disability claim results in $13,094 in direct disability payments and medical costs. The report also found that 26 percent of claims related to medical events were a result of chronic conditions that could likely be mediated through Company Wellness Programs, and that these cases amount for 56 percent of the STD-related medical costs.

Rates of Absenteeism — The cost of missed work: Rates of Absenteeism cost employers $660 per employee in 2004, with nearly one-third of employers characterizing the trend as a weighty concern.

Presenteeism — The cost associated with workers who work at decreased productivity levels: Sixty percent of the total cost of employee illnesses come from presenteeism, according to a 2004 study by the Institute for Health and Productivity Studies at Cornell University.

The evidence is clear that strategically designed Company Wellness Programs can decrease both direct and indirect Health Care costs. A 2004 review of Company Wellness Programs revealed that, in total, an investment of $1 by a company in Wellness Programming returned a median cost savings of $2.05 to $4.64.

Health Testing:

• Blood pressure

• Breast cancer Testing

• Skin cancer Testing

• Diabetes Testing

• Cholesterol Testing

• Eye exams

• Body-fat Testing

• Flu shots

• Posture screening, spinal analysis

• On-site child immunizations

• Prostate cancer screenings

• Fitness Testing

• Depression Testing

 

Physical Fitness Activities:

• On-site fitness center or exercise room

• Walking and/or running club (during lunch hour or breaks)

• Bike rack on premises (so employees can ride to work or during lunch)

• Mind/body classes (yoga, tai chi) initiatives

• Team sports (volleyball, basketball, softball)

• Host an exercise equipment swap

 

Lifestyle Change or Behavior Change Initiatives:

• Smoking cessation

• Weight management initiatives

• Substance abuse initiatives

• Physical Fitness activity

• Stress management initiatives

 

Safety and Prevention Initiatives:

• Back-injury prevention and training

• Ergonomic education

• Hand-tool safety initiatives

• Fire safety initiatives

 

Health Education, Awareness, and Support Initiatives:

• Lunch-and-learn or brown-bag wellness seminars (see your EAP for a list)

• Nutrition and diet information, plus provide healthy food alternatives in your vending machines and cafeteria, and provide food storage and preparation facilities to encourage healthier eating

• Prenatal care initiatives

• Work / Life Balance initiatives

• Elder care initiatives

• Cancer survivor support groups

• Financial education

 

Stress-Reliever Initiatives:

• Laughter bulletin board where employees can post jokes and cartoons (in good taste)

• Visiting massage therapist

• Stretch breaks

• Group lunches or celebrations

 

Disease Management Initiatives:

• Back pain

• Asthma

• Diabetes

• Depression

• Cancer

• Obesity

• Hypertension

• violence in the workplace

• equity in the workplace initiatives

• harassment policy and training

• literacy/numeracy Initiatives

• professional development and skill enhancing training

• air quality and sick building testing

• smoke-free workplace

• fire safety initiatives

• hazard control and WHIMS Training

• injury prevention, CPR/First Aid, emergency response Initiatives

• improved signage

• installing guard rails

• work station design, ergonomic and repetitive strain reduction training

• stretching initiatives

• health and safety written and implemented policies

• Safety Audits

• access to bike racks, showers and change areas

• make stairs attractive and post signs to promote their use

• proper lighting

• monitoring noise levels

• shift work strategies related to lighting, noise, air, breaks etc.

 

Why Complete a Employee Health and Wellness Program Environment Assessment?

 

The purpose of completing the assessment is to identify your jobsite’s strengths and areas in need of improvement. The assessment will lead your workgroup to recommend actions for changes to make the worksite more supportive of healthy behaviors (i.e. healthy food choices in vending machines, policies to enforce no smoking on worksite grounds or encouraging walking during break times). You may find some of the actions for supporting healthy behaviors are easy to do and others may not be feasible or efficient in your worksite.  The assessment results can also be used as a baseline measure for evaluation.  The initial assessment can later be compared with a follow-up assessment several months later to note progress.

 

Who should do the Employee Health and Wellness Program Environment Assessment?

 

Identify a workgroup (at least 4-5 individuals) who will be responsible for completing the assessment.  This may be a subset of your wellness workgroup.  Forming a diverse group from all areas and levels of your company is important for meaningful assessment and successful planning and implementation. Suggested members include: human resources, staff members from various departments, administrators, supervisors, worker or wellness staff.

 

When should the Employee Health and Wellness Program Environment Assessment be Done?

 

Use the assessment as a starting point for your wellness initiative. Once you have completed the assessment, determine which areas the workgroup will focus on (i.e. healthy eating, physical activity, general health, etc.). Create a time for the workgroup to meet and monitor the progress. Also determine a schedule for annual assessments, so that the assessment can serve as a tool for continuous improvement and accountability over time.

 

Part 1 – Wellness Assessment Checklist

 

Complete a Worksite Wellness Assessment Checklist to determine what wellness components you currently have at your worksite.   This can be done with the full workgroup or you may want a few key personnel (such as the Human Resources lead, Wellness Coordinator or Workgroup Coordinator) to do a preliminary scan based on information they gather and then let the full workgroup react to their findings. Ask your broker for a sample wellness assessment checklist or create your own.

 

Completion of the checklist provides a reference point of the wellness functions that are currently in place or in process and it provides an overview of some of the items that should be considered for a comprehensive Employee Health and Wellness Program.

 

 

Checklist Components:

 

Categories.  There are six major categories (General, Physical Activity, Nutrition, Health Screening, Tobacco Use and Emergency Response Plan).  Each category has several questions that address what you currently have in place at your worksite.

 

Current Status.  Initially, list whether you have the component (Yes), are in the process of instituting the component or you are planning for the component (In Process) or don’t have the component at all (No).  At the end of each category, sub-total the number in each column and then total all of the categories at the end of the checklist to get an overview of where your worksite Employee Health and Wellness Program currently rates. You should also use this baseline measure as a benchmark for later evaluation.  By evaluating where your worksite is on each wellness component, you will be able to get a general idea of your status across each category and all 57 items.

 

Potential Priorities.  After you have completed the assessment and the employee interest survey, you can use the potential priority column to indicate what components you might want to focus on that are either currently in process or don’t exist.  This can serve as a first testing of possible areas to focus on as you develop your action plan.

 

Part 2: worker Input

 

Why would we want to do an employee survey?

 

You should conduct an employee survey to get a better understanding of your target audience (your company’s staff members) and get an initial idea of their current health habits and interest areas.  The survey can be tailored to your worksite and can be done in paper form or through the use of survey instruments on the internet or that can be purchased.   You can create your own employee survey or ask your broker for a Workplace Wellness Needs and Interest Survey. 

 

As was the case with the worksite environmental assessment, the employee survey results can also be used as a baseline measure for later evaluation.  The initial survey results can later be compared with a follow-up survey several months later to note progress.

 

You should also consider engaging staff members in focus groups or informal interviews to gather information on their wants and needs.  This can be done either before or after the survey, or if you don’t have the resources to survey staff members, you could use this method to gather information in place of the survey. 

 

Whatever method you use to gather information, make it as easy as possible for staff members to complete and submit the information so you get a high return rate.  Look at offering an incentive or prize for individuals who complete the survey.

 

Ten Steps Toward Strategic Employee Health and Wellness Programs

 

The Employee Health and Wellness Program management world is evolving rapidly. Each month, there are new research findings that support the premise that Employee Health and Wellness Programs and disease management have a long-term impact on healthcare costs. Many large businesses that started Employee Health and Wellness Programs three to five years ago are showing savings in health, disability, and workers compensation costs. Small to mid-size businesses are watching all this and wondering where to start with wellness.

 

Getting upper management support and budget approval is one of the challenges at the beginning of a Employee Health and Wellness Program. This is the case because Employee Health and Wellness Programs can be expensive, averaging $150-300 per worker per year in large businesses. Most of the savings are not realized for a number of years. This long-term investing is hard for businesses on the move.

 

The key to success for Employee Health and Wellness Programs is to take a strategic approach. Here are ten steps to consider when starting a Employee Health and Wellness Program.

 

1. Begin with upper management. Without upper management support, a health promotion strategy can fall flat. Begin with the health of your executive team and discover your wellness champions at the top of the company.
2. Analyze the problem. Look at your healthcare claims and analyze the trends. Which conditions are driving your medical, disability, and workers’ compensation claims and which are modifiable? What’s worked and what hasn’t thus far? What is the long-term impact of doing nothing?
3. Hold an initial wellness meeting. Invite your primary stakeholders both inside and outside the company. Ask your broker to facilitate the meeting and invite primary health vendors including health, disability, Employee Assistance Program (EAP), fitness, and occupational nursing. Review claims and utilization information and identify primary areas of concern. Look at current offerings and see how they can be tailored to the needs of the population.
4. Look at both healthy and unhealthy staff members. Since 85 percent of claims are usually attributed to 15 percent of claimants, it is essential to reach those with the most costly conditions while also reaching individuals who are at risk for developing preventable diseases in the future. Voluntary Employee Health and Wellness Programs such as lunch and learns wellness seminars miss many of the individuals who need them most. Look at initiatives that are population-wide or target intact workgroups. Wellness incentives help but do not motivate everyone.
5. Set short-term goals for the Employee Health and Wellness Programs. Set some realistic short-term goals based on your primary areas of concern. Are there any plan design changes that could have an immediate impact on spending? Are there some programmatic actions that could have immediate results?
6. Find out what staff members are thinking. Hold some focus groups to determine where individuals are with wellness. What’s working? What isn’t? How much interest do individuals have in the Employee Health and Wellness Programs? What obstacles and barriers are staff members experiencing when they try to change behavior?
7. Ensure that you have a high-impact Employee Assistance Program (EAP). Your first wellness dollars should go into upgrading your Employee Assistance Program (EAP). A highly utilized Employee Assistance Program (EAP) can provide a foundation for all of your future wellness activities. A good Employee Assistance Program (EAP) is a trusted link to the hearts and minds of staff members. At no additional cost, the Employee Assistance Program (EAP) can provide needed follow-up coaching and personal attention for staff members who are working on modifiable health behaviors or involved in disease management initiatives. Nutritionists, fitness, pregnancy, and stress management specialists are all part of a high-value Employee Assistance Program (EAP).
8. Set three to five year goals for healthcare savings and measure them. Get help from your broker and insurance carrier help you on long-term goals for your health, disability, and workers compensation plans. Create program metrics that will help you to measure return on investment. Go beyond participation rates, completion rates and program satisfaction. Measure changes in readiness, changes in behavior, and changes in risk factors. Create rigorous methods to measure healthcare savings over the long term.
9. Set goals for organizational health. Look at the more intangible benefits of a wellness initiative and quantify them whenever possible. Include worker turnover rates, cost of new hires, worker morale, benefit satisfaction information, and employer of choice issues in setting goals. Create ways to measure success in these areas.
10. Add specifics to your short and long-term plan. Include a Employee Health and Wellness Program strategy, a communication strategy, and a Employee Health and Wellness Program incentive strategy that will fit with your corporate culture. Focus on integration of related components along a health continuum with communications that are focused, simple, and human. Create a budget that includes primary components such as consumer education, health promotion, health risk assessments, and regular biometric screens.

Employee Health and Wellness Programs are crucial to improving the health of our nations. Most adults spend more of their waking hours at work than anywhere else, making it a excellent venue for promoting healthful habits. The worksite organizational culture and environment are powerful influences on behavior and this needs to be put to use as a means of assisting staff members to adopt a healthier lifestyle. Benefits to Employee Health and Wellness Programs include:

• Weight reduction
• Improved physical fitness
• Increased stamina
• Lower levels of stress
• Increased well-being, self-image and self-esteem

 

Employers can also benefit from Employee Health and Wellness Programs. According to recent research, employers’ benefits are:

 

• Enhanced recruitment and retention of healthy staff members
• Reduced healthcare costs
• Decreased rates of illness and injuries
• Reduced worker rates of absence
• Improved worker relations and morale
• Increased productivity

 

A U.S. Department of Health and Human Services report revealed that at worksites with physical activity initiatives as components of their Employee Health and Wellness Programs have:

 

• Reduced healthcare costs by 20 to 55 percent
• Reduced short-term sick leave by six to 32 percent
• Increased productivity by two to 52 percent

 

Thanks to modern medicine, life expectancy for Americans has continually increased. How much we enjoy these additional years, however, depends greatly on how we have lived our lives. If our quality of life is to remain high so that we can fully enjoy these extra years, we must practice good eating habits, be active and refrain from using tobacco products.

 

Who needs Employee Health and Wellness Programs? If you work in an office or a worksite or are a member of an company who spends a considerable amount of time at work, you will benefit from a well-designed worker Employee Health and Wellness Program. Employees spend a minimum of about 200 hours a month at work – a considerable amount of time.

 

Furthermore, stress, distractions and the pressures of the job can take its toll on the worker, which makes it important that a Employee Health and Wellness Program is implemented. Today, all across America, Canada, Europe and Asia, top Employee Health and Wellness Programs are being used to help improve worker conditions at work and reduce the cost of worker healthcare.

 

Some of the top Employee Health and Wellness Programs currently in use today include:

 

Health Risk Assessments (HRAs)

 

Health Risk Assessment is a top Employee Health and Wellness Program currently in use globally. Organizations that implement it determine the safety and health concerns of workers by the assessment of appropriateness of the facilities and equipment against the needs of the staff members.

 

It can, for example, guide the company into determining how much air quality within an office room affects the users and then help the assessment team to come up with the measures necessary to correct the problem. An HRA can also evaluate the level of exposure workers have to certain hazardous or dangerous materials and practices.

 

Immunizations

 

This isn’t always practiced in every country since there are regions where government sponsored immunization shots are available. However, it has also become an important component of the top Employee Health and Wellness Programs in many businesses in North America.

 

Immunization, flu shots, such as those used to combat flu, for example, are offered to workers for free.

 

Employee Assistance Programs (EAPs)

 

Employee Assistance Programs (EAPs) consist of a wide variety of services. It can range from providing educational resources to staff members regarding health issues to sponsoring health services and medical care. In many businesses, medical and insurance have also become a staple part of their benefits system.

 

Weight Management Programs

 

This is another Employee Health and Wellness Program that businesses use, particularly those that offer in-house commissary or cafeteria services. Instead of serving richer, high-calorie fare, cafeterias offer options for a healthier diet, usually in the form of low-calorie foods and sugar substitutes.

 

Employee Wellness Newsletters – Health Education Programs

 

One of the top Employee Health and Wellness Programs that businesses can implement is a self-powered tool using a newsletter to promote wellness, coupled with a visible campaign. The campaign may be done periodically and focus on a specific topic, such as smoking hazards, cancer, stress, carpal tunnel syndrome, safety in the workplace, etc.

 

The newsletter in itself can be an effective means to deliver information to staff members or members of an company but it is far from perfect. Some staff members, for example, may not read the newsletter in its entirety or even pay attention to it. If the issues outlined in the newsletter are promoted through an active and highly visible campaign, it will be easier to maximize positive results.

 

Physical Fitness and Exercise Programs

 

Another top health promotion program for businesses is one that involves physical activities. Companies often sponsor exercise-related events such as marathons and company sports initiatives to promote staff members to remain fit or lose excess weight. In mid- to large-sized businesses, businesses may even pay for gym memberships or in-house exercise facilities.

 

Employee Health and Wellness Program Incentives

 

Some of the top Employee Health and Wellness Programs implemented by businesses involve incentive rewards. This involves company-sponsored initiatives that reward staff members for achieving specific wellness goals. Participation in health campaigns and signing up for Employee Health and Wellness Programs are two of the most commonly rewarded schemes. Rewards can range from special recognitions to points (for bigger rewards) to specific gifts. In a few cases, cash may also be used.

 

However, incentive systems have had mixed reactions and levels of success. But it continues to be one of the top choices among businesses who are willing to modify it in order to fit their unique needs.

 

Group Activities

 

In many businesses, businesses take advantage of peer pressure in order to encourage workers to participate in Employee Health and Wellness Programs. This is currently one of the favorite worker Employee Health and Wellness Programs currently in use today and growing in popularity. Peer pressure is often leveraged to help promote competitions and to persuade staff members to be active in company-sponsored health fairs.

 

Benefits of Nutrition Programs

 

Nutrition directly impacts nearly every aspect of physical and mental health. A healthy diet can help protect against such conditions as heart disease, diabetes, arthritis, stroke, certain cancers and depression. Obesity, which is among the most common conditions linked to diet, affects a record number of Americans.

 

The American Journal of Health Promotion estimates the cost of obesity to U.S. company to exceed $12.5 billion in health care, sick leave, and life and disability insurance. Further, one study reports that obesity raises healthcare costs by 36 percent and medication costs by 77 percent. To offset the health risks of obesity and poor diet, many businesses have committed to helping staff members ensure proper nutrition and undertake weight control initiatives.

 

Popular nutrition initiatives:

 

          Fruit and Vegetable Consumption

1. Offer healthy eating reminders and prompts to staff members via multiple means (i.e. e-mail, posters, payroll stuffers, etc.).
2. Offer appealing, low-cost fruits and vegetables in vending machines and in the cafeteria.
3. Offer cookbooks, food preparation, and cooking classes for staff members’ families.
4. Ensure onsite cafeterias follow healthy cooking practices and set nutritional standards for foods served that align with the U.S. Dietary Guidelines for Americans.
5. Offer healthy foods at meetings, conferences, and catered events.
6. Use point-of-decision prompts as a marketing technique to promote healthier choices.
7. Offer healthy cooking demonstrations that teach skills (i.e. fruit and vegetable selection and preparation).
8. Offer taste-testing opportunities at the workplace.
9. Offer worker-led campaigns, demonstrations or programs.
10. Offer local fruits and vegetables at the workplace (i.e. workplace farmer’s market or community-supported agriculture drop-off point).
11. Use competitive pricing (price non-nutritious foods in vending machines and cafeterias at higher prices).
12. Offer protected time and dedicated space away from the work area for breaks and lunch.
13. Make kitchen equipment available to staff members.
14. Offer an opportunity for onsite gardening if possible.

 

          Sweetened Beverage Consumption

1. Make water available throughout the day.
2. Offer appealing, low-cost healthful drink options in vending machines and the cafeteria.
3. Modify worksite vending contracts to increase the number of healthy options.
4. Price non-nutritious beverages at a higher cost.
5. Use point-of-decision prompts to promote healthier choices.

 

          Portion Control

1. Label foods to show serving size and/or nutritional content.
2. Offer food models, food scales for weighing and pictures to help staff members assess portion size.
3. Offer appropriate portion sizes at meetings, workplace events and in the cafeteria.

 

Nutrition initiatives in action

 

While many businesses address weight management through fitness initiatives, businesses are increasingly focusing on nutrition through separate programming. Recognizing the productivity boost and lowered medical expenditures that come with maintaining a healthy weight, many businesses may help pay for obesity treatments for staff members. For example, to improve the health of dangerously obese staff members, drug maker Wyeth reportedly pays for stomach-shrinking surgeries that carry price tags of up to $40,000.

 

A 2003 Society of Human Resource Management study shows that 24 percent of employers offer weight loss initiatives. In Ohio, Honda offers an onsite, registered dietitian who provides individual or group consultations on weight management. Body fat analysis and body mass index (BMI) measurements are available to staff members at any time.

 

At Grange Insurance’s Columbus headquarters, the cafeteria chef analyzes meals and provides staff members basic nutrition information, including Weight Watchers points. Many businesses partner with the American Cancer Society to offer nutrition information through the ”5-ADay” program, which provides employers free signage and educational materials about the importance of eating five servings of fruits and vegetables a day. The program also offers a fruit and vegetable ”frequency card” that gives staff members a free portion of fruit or vegetables after he or she has purchased a preset number.

Wellness programming means different things to different businesses. Effective wellness initiatives can be as simple as bringing bushel baskets of fresh fruit into break rooms to encourage better eating. They can be as extensive as building fitness facilities onsite or paying for obesity treatments.

 

A driving factor behind the push toward wellness spans businesses of all types, sizes and cultures: that is, healthcare expenses are spilling over the corporate belt buckle. The annual cost of medical services in the United States is rising at seven times the rate of inflation. And the rise in medical costs is one boom pundits expect our economy to sustain.1

 

This trend makes it increasingly challenging for employers to maintain current levels of insurance coverage. In 2003, healthcare inflation forced 65 percent of businesses to increase staff members’ share of health costs.

 

Seventy-nine percent of large firms said they will increase workers’ share of health costs in 2004.2 But with lost benefits and increased financial burdens come lost morale and productivity.

 

Employers are searching for another way. While businesses cannot control many of the supply-side elements contributing to rising healthcare costs—malpractice insurance rates, the nursing shortage—they can help curb demand. That’s why efforts are being redirected from illness to wellness.

 

The case for Employee Health and Wellness Programs is supported by an ever growing body of evidence demonstrating the high costs associated with controllable health risks:

 

• One study reports that obesity raises healthcare costs by 36 percent and medication costs by 77 percent. 

• Michigan officials estimate physical inactivity cost the state nearly $8.9 billion in 2002, a cost estimated to be largely borne by employers through insurance premiums and lost productivity.

• The not-for-profit National Committee for Quality Assurance reports that the estimated average cost for postnatal care for women who did not receive prenatal care was $2,341 more than for women who had. And the indirect costs of unhealthful behavior can be just as high.

 

Information shows that healthier staff members are more productive, spending more time at work and showing increased “presenteeism,” or productivity, while there. Further, healthier staff members use fewer medical services. The five leading causes of death in the United States — heart disease, cancer, stroke, chronic obstructive pulmonary disease and diabetes —  are directly linked to unhealthy lifestyles. Clearly, encouraging healthful habits presents an opportunity to improve staff members’ well being, reduce the need for healthcare services and help control costs.

 

Offering worker wellness benefits — large or small — represents an intersection between corporate social responsibility and responsibility to stakeholders. Between worker health and corporate health. It’s often the right thing to do for staff members and employers.

 

Research by Traveler’s Corp. shows a $3.40 return for every dollar invested in Employee Health and Wellness Programs. For many businesses, the choice to offer worker wellness benefits is easy—one where conscience and pragmatism align.

 

The challenge arises in selecting the initiatives that will deliver the most impact based on trends in your staff members’ health risks and medical claims costs. From large businesses to the corner deli, company owners welcome ways to boost productivity, reduce rates of absence and cut costs. Likewise, Employee Health and Wellness Programs can range from modest to elaborate.

 

In determining where to focus a company’s limited resources, looking at costs, benefits and best practices is a good starting point. This section profiles six aspects of wellness and explores their benefits to staff members and employers.

 

A gap analysis is an assessment tool that enables a company to compare its current capabilities and performance with industry benchmarks and expectations for performance. A gap analysis is used to identify areas that have room for improvement.

 

Gap analysis can also be used for your Employee Health and Wellness Program to determine where the program stands now and how the Employee Health and Wellness Program can better follow evidence-based recommendations.

 

To start a gap analysis, ask these simple questions about your Employee Health and Wellness Program:

• What is the current state of the Employee Health and Wellness Program?

• How does the Employee Health and Wellness Program measure up to evidence-based practices? (i.e., the desired state)

 

The gap is the difference between the current and desired states.

 

After the gap has been identified, the next step is to determine the action steps that are needed to close the gap. These actions answer the question: “How can the Employee Health and Wellness Program move forward towards the desired state?”

 

Sometimes the gaps that need to be filled can be addressed through Employee Health and Wellness Program changes; other gaps might require policy changes. However, using a gap analysis will help you identify areas for Employee Health and Wellness Program improvement and the actions needed to make progress towards those goals.