Wellness Program Blog

Increasing Health Care costs show no signs of slowing in the near future. Hewitt projects Health Care costs will jump another 9.9 percent in 2006, amounting to more than $11,000 per family (of which the company will absorb more than 60 percent of costs).  Greater than nine of 10 members of management see increasing Health Care costs as a weighty company concern that their company needs to address.26

The current Health Care climate represents an ideal opportunity for employers to reevaluate their Company Wellness  offerings and consider the more systemic approach of a robust Company Wellness . Despite the big number of employers that claim to offer disease management or Company Wellness  activities, as of 2005 only 23 percent of workers were eligible for Company Wellness Programs and only 13 percent were provided access to a fitness center through work.27 This is despite evidence that nearly two-thirds of workers would be open to company-provided HRAs and enrolling in programs that encourage healthier lifestyles.28

Company Wellness Programs are a chance for employers to differentiate themselves from competitors by increasing productivity, cutting costs and establishing a healthier work environment that is valued by current and prospective workers. Nearly onethird of workers polled in a 2004 study by MetLife given benefi ts as an important reason why they decided to work for their company and 38 percent said it is among the top reasons they remain at their work.29 Gary Grates, global director of Edelman’s Change and Employee Engagement Group, notes, “The return on investment in a Company Wellness  extends well beyond monetary Health Care savings. These programs can play a essential role in creating a more engaged workplace environment where workers are aligned with company objectives. Company Wellness Programs can represent more than a human resources initiative, they can be a bold symbol of what you as a company stand for.”

To date, employers have viewed Company Wellness Programs as merely another benefit to be managed by the human resources department. However, executives, and their employers, would be better served by adopting a more strategic and integrated approach to Company Wellness Programs. Companies that are able to develop Company Wellness Programs based on sound measurement, work within existing regulations, and involve workers around initiatives, will reap valuable rewards in terms of cost savings and long-term strength.