Do Workplace Wellness Programs Save Employers Money?

Are employee wellness programs effective?

Workplace wellness programs have been touted as a powerful tool that can make employees healthier and more productive while reducing health care spending, but the results of a new Harvard study suggest such interventions yield unimpressive results in the short term..

What benefits would a company get by paying the costs for an employee wellness program?

With an effective wellness program you can also benefit from improved productivity (the average economic impact of health risks on productivity is $2,000 per year per employee), decreased worker’s compensation claims, decreased employee turnover (studies show a 20-30% decrease), and improved employee morale.

What do employees want in a wellness program?

Employees we surveyed said wellness programs should be: Personal—providing meaningful, realistic advice for employees’ specific situations. Flexible—allowing employees to participate with ease, wherever and whenever they want.

Are wellness programs worth it?

If your goal is to cut healthcare costs, a wellness program probably isn’t worth the investment for what you’ll receive back. But if you want to lower healthcare costs and improve employee health, a wellness program is probably a solid investment. … If you’re not sure what your goal should be, survey your employees.

How do you calculate ROI for wellness programs?

The Goals of an Employee Well-being Program These benefits can be quantified by summing the dollars saved by the wellness program divided by the dollars spent on the wellness program. This is the classic wellness ROI analysis, sometimes known as a benefit-to-cost ratio.

Why do employers offer wellness programs to their employees?

Wellness programs are now regularly part of a company benefits package. When done correctly, wellness programs give employees incentives, tools, social support, privacy, and strategies to adopt and maintain healthy behaviors. Most worksites do a pretty good job of helping employees improve health behaviors.

Does insurance pay for wellness programs?

Insurers and Employers Trending Toward Wellness Gym memberships, weight-loss clinics, weight-loss surgery, massage therapy, stress management programs, and tobacco cessation programs are just a few of the wellness benefits included in some insurance plans.

What is a workplace wellness program?

An employee wellness program includes any activity designed to support better health at work and/or to improve health outcomes. These programs often include medical screenings, incentives, behavior change interventions, fitness programs, social support or competitions.

What is Zoe wellness?

Zoe Wellness Center, a Duluth-based weight loss and ‘body balance’ spa, is taking the Gwinnett and Metro Atlanta area by storm. Dozens of clients are reporting a weight loss of up to 30 pounds in just 30 days through a technology-driven, medication-free program designed to accelerate noticeable change that will last.

How do you engage employees in a wellness program?

Ways to Engage Employees in Elements of a Comprehensive Worksite Wellness ProgramCreating a wellness committee.Developing an employee needs and interest survey.Using interviews and focus groups.Completing an employee needs and interests survey.Securing leadership support.Developing a strategic communications plan.More items…

Do workplace wellness programs reduce medical costs?

Comprehensive wellness programs that follow effective behavior change strategies will improve employee health behaviors and will reduce elevated health risks and, therefore, reduce healthcare costs. These programs will also help employees maintain these healthy behaviors for the rest of their lives.

What’s the Hard Return on Employee Wellness Programs?

Their research shows that the ROI on comprehensive, well-run employee wellness programs is impressive, sometimes as high as six to one. To achieve those kinds of results, employers cannot merely offer workers afew passes to a fitness center and nutrition information in the cafeteria.

What percentage of employees participate in wellness programs?

Our analysis of data from the large employer shows that only 20 to 40 percent of eligible individuals participate in a program in any given year. Participation rates as reported in our survey suggest a median rate of 40 percent.

How much can companies save with wellness programs?

A report by the International Foundation of Employee Benefit Plans determined that most North American employers saved $1 to $3 in their overall health care costs for every dollar spent on an employee wellness program.

How much does a wellness program cost?

Wellness programs typically cost between $3 and $7.5 per employee each month (or approximately $36 to $90 per year). Much of that costs comes from the modern benefits of a work-sponsored program. In 2019 a wellness program will often include mobile apps and a website that offers health risk appraisal.

How much do companies spend on employee wellbeing?

Employers stand to benefit from popularity of wellbeing products as employees spend average of £174 per month. Employees in the UK spent an average of £174 per month on wellbeing products in 2018,according to new research from Canada Life Group Insurance.

How do you plan a wellness program?

Step 1: Conduct Assessments. … Step 2: Obtain Management Support. … Step 3: Establish a Wellness Committee. … Step 4: Develop Goals and Objectives. … Step 5: Establish a Budget. … Step 6: Design Wellness Program Components. … Step 7: Select Wellness Program Incentives or Rewards. … Step 8: Communicate the Wellness Plan.More items…

How do wellness programs affect the workplace?

Workplace wellness affects your company—and its finances—in several ways. Wellness programs have the potential to lower health care costs, increase productivity, decrease absenteeism and raise employee morale.

What are health and wellness programs?

A program intended to improve and promote health and fitness that’s usually offered through the work place, although insurance plans can offer them directly to their enrollees. The program allows your employer or plan to offer you premium discounts, cash rewards, gym memberships, and other incentives to participate.

What is WellSteps?

WellSteps is a worksite wellness solution that incorporates innovative, research-based wellness programs into your workplace. WellSteps works with all employers large and small. WellSteps helps employees adopt and maintain healthy behaviors. This lowers health risks and reduces health care costs.