Return on investment in Worksite Wellness Programs

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Return on Investment in
Worksite Wellness Programs
Why Should your Business Invest in
a Worksite Wellness Program?1

Employees at small or medium-size
businesses with wellness programs
consistently report that they're working
harder, performing better, and are
motivated to stay with the company.
Wellness Program
Implementing a wellness program helps
retain current employees and improves
their overall health and production. As
the work population average increases
with age, it is important to implement
wellness programs to fit the needs of
your employees.
 You also save on costs from hiring and
training new employees by offering a
wellness program to retain employees.

Return on Investment
The next question to ask is how do we
determine whether or not a wellness
program will be beneficial to your
company.
 The answer is to implement an
assessment on your return on investment
(ROI) to see if there is a positive change
in your employees and your work
environment as a result from the Wellness
Program.

What to measure for ROI

To physically measure changes in health,
conduct biometric health screenings
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Blood pressure
Cholesterol test
BMI
Blood Glucose test
Cardiovascular screening
Measurement
Take a look at two major challenges that
may be present in the workplace,
absenteeism and presenteeism.
 Another way to measure for ROI is to
look at the rate of worker compensation
claims if they increase or decrease

Absenteeism
Recording absenteeism to record the
potential benefits of a worksite wellness
program may be problematic since there
are other factors to consider about why
someone would report an absence.
 Stress and personal illness are big factors
and with worksite wellness programs,
those absences can be reduced, but you
also have to keep in mind of other factors.

Reasons for Absenteeism
Presenteeism
Presenteeism is when employees come to
work but they are unable to work at full
productivity level because of multiple
reasons, the main one being health issues.
 Being ill and refusing to take sick leave
because of stress and costs drive down their
personal and mental health. There are other
confounding variables to consider.
 Another aspect to consider is how to
measure if there is a decrease in
presenteeism in the first place.

Presenteeism Continued2

More than half (58%) of surveyed
employers chalked presenteeism to
chronic conditions (diabetes, heart
disease, chronic back pain); while just
under half (43%) noted it was due to
mental health issues like anxiety and
depression; and 39 percent said it was
because of physical injuries such as
sprains and broken bones, all of which can
reduce productivity.
Presenteeism Continued2
So why do employees haul themselves off
to work when common sense tells them
not to?
 The top three reasons for presenteeism,
according to CCH researchers, are: (a)
employees have too much work to do
(65%); (b) no one is available to cover
their workloads (56%) and (c) employees
are reluctant to use vacation time for
illnesses (55%)

Beyond Quantitative Data
To figure out how to measure out
outcomes from a worksite wellness
program, there is a need to look beyond
the numbers and evaluate the atmosphere
and culture of the workplace.
 You can get a more in depth detail about
the mindset of the employee and how
you can work with them to develop plans
to suit their health needs.

Value of Investment
One way to consider how to focus on
what you are measuring qualitative data is
to call it a value of investment (VOI);
which is what are employees getting out
of your wellness program and how is it
changing the workplace.
 Similar to return on investment, but VOI
puts more personal emphasis on the
employee’s mindset and progress
throughout the program.

How to Measure VOI
Consider conducting job satisfaction
surveys and/or interviews about their
workplace environment
 Evaluate the environment and working
conditions of the workplace. Are there
any barriers preventing employees to live
healthier lives and become more
productive?

Behavior Change

Encourage positive behavior change in the
workplace
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Team challenges
Corporate sponsored activities
Open communication
Easy access to healthcare resources and
information
Tracking Participation3

Participation tracking is very important, as
is talking with your employees about their
personal goals, their efforts to achieve
those goals, and the support they get or
feel they’re getting from their workplaces.
Keys for Successful ROI3

Companies that are able to demonstrate
ROI for wellness initiatives typically share
five common elements:
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A comprehensive program
Effective incentives
Biometrics
Multiple program modalities
Communication programs.
A Reminder
Keep in mind for wellness programs to
succeed is to encourage participation and
to keep employees engaged throughout
the program.
 Also, consider the cost and time involved
in evaluating worksite wellness programs
too.

Conclusion

Implementing a Wellness Program
promotes a positive work culture,
improves employee health, and is a
solution to prevent and treat chronic
diseases
Resources
1.
2.
3.
Workplace Wellness Programs: Advantages For Your
Company
1. http://www.nolo.com/legal-encyclopedia/howwellness-program-can-help-29602-2.html
Managing Absenteeism and Presenteeism in the
Workplace
1. http://www.cpa2biz.com/Content/media/PRODUCE
R_CONTENT/Newsletters/Articles_2008/Careers/
Workplace.jsp
How are you measuring your wellness program’s ROI?
1. http://www5.cbia.com/healthyconnections/article/ho
w-are-you-measuring-roi/
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