Employee Health Promotion

Growing Healthcare costs show no signs of slowing in the near future. Hewitt projects Healthcare costs will jump another 9.9% in 2006, amounting to more than $11,000 per family (of which the business will absorb more than 60% of costs). More than nine of 10 members of upper management see increasing Healthcare costs as a genuine business issue that their business needs to address.26 The current Healthcare climate represents an ideal opportunity for organizations to reevaluate their Employee Health Promotion offerings and consider the more systemic approach of a robust Employee Health Promotion . Despite the sizable number of organizations that claim to offer disease management or Employee Health Promotion activities, as of 2005 only 23% of employees were eligible for Employee Health Promotion Programs and only 13% were offered access to a fitness center through work.27 This is despite evidence that nearly two-thirds of employees would be open to business-provided HRAs and enrolling in programs that encourage healthier lifestyles.28 Employee Health Promotion Programs are a chance for organizations to differentiate themselves from competitors by increasing productivity, cutting costs and establishing a healthier work environment that is valued by current and prospective employees. Nearly onethird of employees polled in a 2004 study by MetLife cited benefi ts as an important reason why they decided to work for their business and 38% said it is among the top reasons they remain at their work.29 Gary Grates, global director of Edelman’s Change and Employee Program Engagement Group, notes, “The return on investment in a Employee Health Promotion extends well beyond monetary Healthcare savings. These programs can play a vital role in creating a more engaged workplace environment where employees are aligned with business goals/objectives. Employee Health Promotion Programs can represent more than a human resources(HR) plan, they can be a bold symbol of what you as a business stand for.” To date, organizations have viewed Employee Health Promotion Programs as merely another benefit to be managed by the human resources(HR) department. However, executives, and their organizations, would be better served by adopting a more strategic and integrated approach to Employee Health Promotion Programs. Organizations that are able to develop Employee Health Promotion Programs based on sound assessment, work within existing regulations, and engage employees around initiatives, will reap valuable rewards in terms of cost savings and long-term strength.