Employee health program proves it can save money
September 1, 2006 2 minutes read
Employee health program proves it can save money
Program wins award in Vermont
A trade association and physician on opposing sides of a debate over state health care spending set aside differences to prove that employee wellness programs can show clinical and economic benefits.
The alliance of the Vermont Automobile Dealers Association (VADA) and a naturopathic physician, Bernie Noe, ND, grew from an argument over a health care spending bill being considered by the Vermont state legislature. Noe contended that workplace interventions would not raise employers' costs, while VADA member executives argued such a mandate would raise costs.
After lawmakers adjourned, VADA hired Noe to develop and implement an employee wellness program and test his theory.
Between January and April 2005, Noe and his staff conducted biometric screenings (height, weight, blood pressure, cholesterol, etc.) of 1,182 employees at 77 VADA member locations throughout Vermont. All were asked to complete a health risk appraisal (HRA) that would later allow Noe and his colleagues to assess each individual's diet, exercise, and lifestyle behaviors as well as risk for, or presence, of chronic diseases. Using a Stanford Presenteeism Scale, they also measured each participant's level of presenteeism.
Those who completed the HRA and provided a mailing address were sent an individual health report (IHR). The IHR summarized the findings from both the biometric screening and the HRA. Noe created a monthly wellness newsletter that all employees received at work, including tips for managing stress and reducing the risk of a heart attack.
To help employees increase physical activity and to reduce the risk of chronic diseases such as heart disease and diabetes, Noe also created a pedometer challenge. Employees received free pedometers, and prizes and other incentives were used for motivation. More than 35 auto dealerships participated.
The average number of steps per participant had increased from 10,622 per day in the beginning to 11,728 per day at the 12-week challenge's end.
Participants reported a variety of benefits, including: improved energy (63%), better sleep (55%), improved mood (55%), reduced stress (50%), weight loss (42%), and lower blood pressure (34%).
One year later Noe conducted another health screening for VADA employees, again offering the biometric screening and HRA. In analyzing the screening information for the period of 2006 vs. 2005, Noe found:
- Incidence of high blood pressure decreased by 36%.
- Multiple risks for cardiovascular disease decreased by 35%.
- High-risk stress decreased by 24%.
- Physical inactivity decreased 21%.
- High cholesterol decreased 17%.
- Obesity decreased by 15%.
Importantly for VADA, which had doubted the savings employee wellness could provide, financial savings were also notable. Direct health care savings for 2006 vs. 2005 were $315,817, and indirect savings for 2006 vs. 2005 were $1.14 million.
As a bonus, Noe and VADA were joint recipients of a state worksite wellness and physical fitness recognition award presented by the governor of Vermont.
A trade association and physician on opposing sides of a debate over state health care spending set aside differences to prove that employee wellness programs can show clinical and economic benefits.You have reached your article limit for the month. Subscribe now to access this article plus other member-only content.
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