WORKSITE POLICY. Introduction

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1 W H Y M I N N E S O T A N E E D S A WORKSITE WELLNESS POLICY B y J u l i a L a n g, A l l i s o n T h i r i o n, a n d C h e l s i e T o d d P U B L I C H E A L T H N U T R I T I O N Introduction Workplace health promotion programs are efforts put forth by employers to improve the health of employees. These programs are not new to the workplace as employers first began assisting their employees with health related issues in the 1950s in the form of Employee Assistance Programs (1). In the present, approximately half of all US employers offer some kind of employee wellness program (2). The United States' workforce is becoming increasingly less healthy, which has major impacts on both public and private sector employers. Poor health of employees is correlated with a 51% decrease in overall productivity, which is related to health complications that cost companies an estimated $225.8 billion annually. This value translates to a cost of $1,685 per employee per year (3). Programs aimed at tobacco cessation, eating habits, and physical activity in the workplace have been shown to combat these issues. N O M A D I C 2 4

2 While many states, including Rhode Island, Colorado, and California, have already written worksite wellness policies for their government employees, Minnesota has yet to create any policies on the subject. Since Minnesota has been a leader in public health for decades, a statewide worksite wellness policy is a logical step toward continuing this legacy and will benefit both state employees and all Minnesotans. Implementing workplace wellness policy and initiatives for insurance will significantly lower healthcare costs for citizens and the state. Additionally, wellness policies will increase both employee health and productivity. What Can Worksite Wellness Programs Accomplish? Worksite wellness programs have a number of benefits for both employers and participants. These include: Lowering overall healthcare costs, which saves money for both insurance providers and businesses. Promoting healthy employee lifestyles, decreasing incidence of chronic disease, and increasing employee satisfaction and workplace production. Providing employees with health promotion resources like support systems, education, and access to discounted fitness centers and services. Strengthening the message that institutions and businesses are concerned with the health and satisfaction of their employees. Why Minnesota? The state government is the second largest employer in Minnesota with nearly 40,000 employees (12). Minnesota has ranked as one of the Top 10 healthiest states for almost three decades (11), but still has room for improvement. The Minnesota Department of Health has already developed a Worksite Wellness Toolkit to help organizations create their own policies and programming (3). P U B L I C H E A L T H N U T R I T I O N

3 Savings Potential A nationwide cost benefit analysis of wellness programs shows that for every dollar spent on wellness, medical costs fell by about $3.27. When accounting for absenteeism, the same study showed an additional savings of $2.73 per dollar spent (4). A review of the Biltmore tourism enterprise showed a 10% decrease in turnover over four years since implementing their employee wellness program, saving money on hiring and training practices (8). Worksite Wellness Issue: Chronic Disease Prevalence Nearly half of Americans have at least one chronic disease (5). The Facts: 30% of health outcomes, including chronic disease diagnosis, are related to health behaviors such as tobacco use, unhealthy eating, lack of exercise, and excessive alcohol intake (6). Of the top ten leading causes of death, seven are chronic diseases like diabetes, heart disease, and respiratory disease (7). Worksite Wellness Policy Benefits: Improved health outcomes At Johnson and Johnson, half of employees who had high blood pressure were able to decrease their blood pressure to a normal level thanks to wellness program interventions (8). Reduced health risk In a study of 185 employees and their spouses, over half of worksite wellness program participants who began the study as high health risk were reduced to low health risk in six months (8). Increased health engagement In companies with a strong culture of health, employees are 3 times as likely as others to report taking action to improve their health (9). Worksite Wellness Issue: Rising Healthcare Costs Health care premiums for employer sponsored family coverage have increased by 87% since 2000 (10). The Facts: Nationally, employer health insurance claims for obesity and related chronic diseases amount to $93 billion per year (3). 86% of all health care spending in 2010 was for people with one or more chronic medical conditions (7). Worksite Wellness Policy Benefits: The annual return on investment for worksite wellness programs is $3 $6 saved for every $1 spent after about 2 to 5 years (3). In a worksite wellness study of 185 employees and their spouses, medical claim costs declined by $1,421 per participant, compared with those from the previous year (8). At MD Anderson Cancer Center, workers compensation insurance premiums were cut in half within 6 years of establishing a worksite wellness program (8). Worksite Wellness Policy Options There are several policy options available to create a healthier workplace. See the next page for specific policy options. Worksite Wellness Program Recommendations Look to the Minnesota Department of Health Worksite Wellness Toolkit for guidance in developing and implementing a Worksite Wellness Program and writing organizational policies. P U B L I C H E A L T H N U T R I T I O N

4 Wellness Policy Options PUBLIC HEALTH NUTRITION LEADERSHIP POLICY BRIEF

5 Worksite Wellness Program Recommendations, Continued See the table to the right for ideas on how to track and incentivize employee participation. Wellness Programming and Offering Ideas Establish Wellness Champions to lead employees in their efforts. Coordinate a cost-share gym network with employee discounts. Set guidelines for ordering food for company events. Offer access for all employees to onsite fitness centers. Host on-site nutrition classes and taste-testing. Host off-site nutrition lessons and classes - grocery store tours, health expos, cooking classes, etc. Arrange team walking challenges or weight loss competitions. Offer stress management activities and classes. Issue physical rewards: standing desks, exercise ball chairs, pedometers, gym memberships, etc. Coordinate bike safety classes and bike-friendly campus initiatives. Frequently Asked Questions 1. How will we get employees to participate in a worksite wellness program? More employees will participate in wellness programs if an incentive is offered for participating (18). Incentivizing annual Health Risk Assessments (HRAs) or biometric screenings increases wellness program participation in those employees with a higher risk of chronic conditions like diabetes, elevated blood pressure, and high cholesterol (18). 2. Why might people oppose workplace wellness programming? Some opponents of workplace wellness programming consider penalizing employees for nonparticipation in medical exams and/or other wellness activities to be discriminatory (19). Other opponents state worksite wellness programs have the potential to violate the Americans with Disabilities Act (ADA), and the Equal Employment Opportunity Commission (EEOC) has already taken legal action against several companies whose worksite wellness programs were deemed inaccessible to some employees (20). 3. How do we design inclusive worksite wellness programs? A 2016 guidebook developed by Gallagher Benefit Services, Inc. explains legal guidelines for developing P Ulawful B L I C and H E Anondiscriminatory L T H N U T R I T I O Nworkplace wellness programs. See the cited web link for program specific information (20).

6 References 1. Call, Catherine, Gerdes, Robyn, and Robinson, Kristen. Health and wellness research study: corporate and worksite wellness programs: a research review focused on individuals with disabilities. U.S. Department of Labor. 27 March Mattke, Soeren, Hangsheng Liu, John P. Caloyeras, Christina Y. Huang, Kristin R. Van Busum, Dmitry Khodyakov and Victoria Shier. Workplace Wellness Programs Study: Final Report. Santa Monica, CA: RAND Corporation, Workplace Wellness. (2015, August 26). Retrieved November 27, 2016, from 4. Baicker, K., Cutler, D., & Song, Z. (2010, February 14). Workplace Wellness Programs Can Generate Savings. Health Affairs, 29(2), doi: /hlthaff The Growing Crisis of Chronic Disease in the United States. (2007, April). Retrieved November 27, 2016, from 6. Peterson-Hickey, M., & Ayers, J. (2014, February 1). Advancing Health Equity in Minnesota. Retrieved November 27, 2016, from 7. Johnson, N. B., Hayes, L. D., Brown, K., Hoo, E. C., & Ethier, K. A. (2014, October 31). CDC National Health Report: Leading Causes of Morbidity and Mortality and Associated Behavioral Risk and Protective Factors United States, Retrieved November 27, 2016, from 8. Berry, L. L., Mirabito, A. M., & Baum, W. M. (2010, December). What s the Hard Return on Employee Wellness Programs? Harvard Business Review. Retrieved from 9. Anderko L, Roffenbender JS, Goetzel RZ, Millard F, Wildenhaus K, et al. Promoting Prevention Through the Affordable Care Act: Workplace Wellness. Prev Chronic Dis 2012;9: DOI: Kaiser Family Foundation and Health Research Educational Trust. (2006). Employer health benefits survey. Retrieved from Annual Report; Minnesota. (n.d.). Retrieved from Top Employers Statewide. (2016, July 8). Retrieved November 27, 2016, from Virginia. Retrieved November 27, 2016, from American Lung Association - Fighting for Air: State Employee Benefits. Retrieved November 13, 2016, from CMS: State Agency Worksite Wellness. Texas Department of State Health Services, University of Missouri. (2016, October 31). Wellness Incentive. Retrieved November 20, 2016, from UM System : Case Western Reserve University. (2016). Wellness Premium Incentive. Retrieved November 20, 2016, from University Wellness: Fronstin P, Roebuck MC. (2015). Financial Incentives and Workplace Wellness-Program Participation. Employee Benefit Research Institute Issue Brief, Mitts, L. (2015, April 2). Trending: Employer Wellness Programs Must Preserve Workers Nondiscrimination Rights. Retrieved November 20, 2016, from Families USA: Gallagher Benefit Services. (2016). Guide for Designing a Compliant Wellness Program.

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