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Drug Education and Intervention in the Workplace : Are Company Health Promotion Programs Cost-Effective?

Posted by admin | Posted in Drug Education and Intervention | Posted on 12-06-2009

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Research studies have repeatedly determined that accross the board Worksite Wellness Programs, or Worksite Wellness Programs, have the potential to decrease health care and insurance costs, cut down on absenteeism, and better effectiveness and productiveness. Other advantages determined in studies include improved ability to attract and retain key personnel, greater employee allegiance, and improved public conception of the corporation.

Health Care and Insurance expenditures

A number of studies support evidence of reduced medical and insurance expenditures for participants in Worksite Health Promotion Programs, especially wellness programs involving exercise.

For $30 per person, the Bank of America implemented a Workplace 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 reduction 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 fitness program. Prudential Insurance Corporation reports that the organization’s major medical expenditures dropped from $574 to $312 for each attendant 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 diminished absent days .8 percent to save $2 million in one year. FitWorks participants also invested 3.3 days less on short-term disability for an additional savings of $4.7 million.

Focusing Corporate Wellness Program efforts on high-risk staff members can lead a better outcome. A national manufacturing organization reports a decline of 12.2 percent in illness days for these staff members.

A 2-year study by The DuPont Corporation of the effect of its inclusive Workplace Health Promotion Program on absences among workers reports that blue-collar workers 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 Workplace Health Promotion Programs report documented improvement in job attitude, work effectiveness, energy level, and/or overall morale among program participants–all vital factors in enhancing productivity.

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

In a Canadian government study, the Canada Life Assurance Business experimental group realized a 4 percent growth in productivity after starting a company fitness program, compared to the control group. Further, 47 percent of program participants reported that they felt more alert, had better rapport with their co-staff members, and generally enjoyed their work more.

Swedish investigators found that mental performance 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 performance of non-fit workers.

The Bottom Line

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

Employer: 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 growing evidence that a large portion of the billions of dollars currently spent by employers on health-related costs is avoidable by means of Employee Wellness Programs. Well-planned, inclusive Employee Wellness Programs (Employee Wellness Programs and Employee Wellness Programs) have been determined to be cost-effective, particularly when the Employee Wellness Programs is matched to the health concerns of the specific employee.

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