Despite slump, firms still promote — and pay for — wellness
July 7, 2009 by Jim GiulianoPosted in: Behavior, Health care, In this week's e-newsletter, Latest News & Views, Money, Pay and benefits
A new survey shows that — even amid cuts in salaries and 401(k) contributions — many firms still are willing to invest in employee wellness. And another survey explains why we get fatter as the economy drops.
Here are the highlight numbers from the survey of 500 HR managers by Towers Perrin:
- 50% of companies have or will introduce or increase investments in wellness and health promotion in 2009 and 2010.
- 32% have or will introduce or increase financial incentives, such as bonuses or premium discounts, for wellness or health promotion activities in 2009 and 2010. Another 30% are considering the use of such incentives and bonuses.
- 45% say they’re considering introducing or increasing penalties for nonparticipation in wellness or health-promotion activities.
Even in a recession?
So, not only are companies investing in wellness, but they’re also weighing whether to punish employees who won’t get on the wellness bandwagon. Why, even in a recession?
For one thing, employers are getting desperate about cutting healthcare costs and controlling near-epidemics in diabetes and obesity.
For another, a study by the U.S. Department of Health and Human Services shows that a dollar invested in wellness yields up to $4.90 in health and absentee savings for employers.
Interesting footnote: ZoneDiet.com did a study that shows obesity has worsened since the onset of the recession. The reason: It’s just a theory, but analysts believe that in tough times, people are more apt to turn to food for comfort.
Tags: 401(k), recession, Towers Perrin, U.S. Department of Health and Human Services, wellness
Are the Benefits of Automatic Enrollment Worth the Cost?
July 10th, 2009 at 8:16 pm
can you tell me who conducted this survey? who/what organization is the source?
thanks.
July 11th, 2009 at 7:01 am
This is great, overdue news. It is important for those of us in health care and coaching to help guide this trend to include effective, true WELLNESS care, not repackaged disease management. The more leaders we can influence to understand the relationship between wellness, thriving, and productivity, the better! Let’s all keep speaking up!
July 13th, 2009 at 9:34 am
I’m sorry…I’m more apt to believe that we are getting “fatter” as the economy worsens because junk food/fast food is often times cheaper than healthy food. While I’m sure there are many who look to food for comfort I don’t believe the economy is the generator of those individuals seeking that comfort through food.
July 17th, 2009 at 2:38 pm
I agree with Sand – the prices of healthy food are too high for families on a tight budget. This is the reason that obesity is still on the the rise.
August 18th, 2009 at 1:10 pm
Obesity is on the rise for many reasons. Junk food/fast food is cheaper, lack of exercise, the fact that low income people can buy junk food with food stamps, the cancellation of mandatory physical education in most schools… I could go on and on. If the government wants to help with Health Care, they need to offer incentives to companies that offer the wellness programs. My husbands company is starting 2010 with a new wellness program. We will save over $2,000 alone in health care permiums by participating. They offer coaching for both excercise and diets and nutrition.