Don’t leave well enough alone: Institute a wellness program

Health care costs rose more than twice the rate of inflation in 2006, according to a Henry J. Kaiser Family Foundation survey. In fact, according to the National Coalition on Health Care, in 2006 organizations with fewer than 24 employees saw their premiums increase 10.5%, while the average increase across all organizations was 7.7%. If you’re feeling the pinch, too, it’s time for some practical ways to cut your health care costs.

One strategy nonprofit and for-profit organizations alike are implementing is the wellness program. The sponsoring organization typically offers the program to encourage employees and their families to make voluntary behavioral changes that will reduce health risks and enhance their individual productivity and
well-being. The program may include group exercise classes before or after work or seminars on how to stop smoking, lose weight or deal with stress. Or it may be as simple as providing pamphlets and other information to employees on the benefits of a healthy lifestyle.

Wellness programs typically use some sort of monetary incentive to get employees to sign up. For example, you may choose to reimburse employees for gym memberships if they can prove they have used them, or you can subsidize employees’ health insurance premiums if they attend healthy-living seminars. 

A wellness program can provide many benefits. For example, it may improve productivity, reduce absenteeism and lower turnover. You may also reap intangible benefits, such as improved employee morale, increased employee loyalty and reduced organization friction.

A successful wellness program requires an organizationwide commitment from the top down to help employees make their desired behavioral changes. Employees who follow through with the commitment will experience benefits in every part of their lives. And your organization will reap the benefit of happy, healthy employees. •