| Where Are The Health Care Dollars Going? | | | | retain employees, reduce costs, improve workforce |
| U. S. health care costs have increased from $1,100 | | | | safety, promote corporate image, and fulfill social |
| per person in 1980 to $7,900 in 2009. Currently $1.5 | | | | responsibility. |
| trillion, 75 percent of all health care spending, is | | | | Success Stories |
| devoted to treating chronic diseases which are often | | | | Many businesses were ahead of the curve and are |
| preventable. Ninety-nine percent of all Medicare dollars | | | | realizing a return on their investment in employee |
| spent are linked to chronic disease. Obesity and | | | | wellness programs. IBM has saved $175 million dollars |
| complications (diabetes, cancer, and heart disease) | | | | through implementation of wellness programs |
| are responsible for an estimated $147 billion a year. | | | | (Partnership for Prevention, 2007). |
| Health care reform must address coverage for all | | | | Lincoln Industries is a manufacturing plant with 565 |
| Americans while dramatically reducing costs. Failure to | | | | employees. They have a multifaceted wellness |
| address the situation will prevent American | | | | program that rewards behaviors. One of the coveted |
| companies from competing in the global marketplace, | | | | rewards employees can aspire to is a three-day, |
| increase taxes, and undermine our economy. | | | | company-paid trip to climb a 14,000-foot peak in |
| More than 130 million Americans suffer from chronic | | | | Colorado. Lincoln has reported a $2 million annual |
| disease and millions of lives are cut short | | | | savings in health-care costs. They spend |
| unnecessarily. The Partnership for Prevention report | | | | approximately $4,000 per employee. Additionally, |
| claims that better utilization of just five preventive | | | | workers' compensation costs have been reduced by |
| services would save more than 100,000 lives annually. | | | | $360,000 per year. The ROI for this program is 5:1 |
| Eliminating just three risk factors - poor diet, | | | | (Design Matters, 2010). |
| inactivity, and smoking - would prevent 80 percent of | | | | In 2005 Safeway grocery chain implemented their |
| heart disease, stroke, Type 2 diabetes, and 40 | | | | Healthy Measures program. They have made |
| percent of all cancers in the U. S. | | | | continuous improvements each year. Safeway's plan |
| The Greatest Public Health Threat Our Nation Has | | | | utilizes a provision in the 1996 Health Insurance |
| Ever Faced | | | | Portability and Accountability Act which allows |
| A recent study conducted by Emory University | | | | differentiating premiums based on behaviors. CEO, |
| revealed that obesity is the fastest growing public | | | | Steven Burd stresses the key to successful plans lies |
| health challenge our nation has ever faced. The | | | | in rewarding behavior. Safeway is committed to |
| Center for Disease Control (CDC) attributes the | | | | building a culture of health and fitness by addressing |
| problem to environments that promote increased | | | | behaviors linked to chronic disease such as smoking, |
| food intake, unhealthy foods, and physical inactivity. | | | | obesity, blood pressure, and cholesterol (Burd, 2009). |
| Obesity is defined as having a body mass index (BMI) | | | | During the four year period following implementation, |
| of 30 or greater which is calculated by dividing weight | | | | Safeway's health care costs remained constant while |
| in kilograms by height in meters squared. For those | | | | most American companies have experienced a 38 |
| of us who haven't memorized the metric conversions | | | | percent cost increase over the same four-year |
| and can't perform the calculations in our heads, The | | | | period. In addition to the Healthy Measures program, |
| U.S. National Institutes of Health has an online BMI | | | | Safeway supports employee behaviors by offering: |
| calculator. | | | | - A state-of-the-art fitness center near Safeway's |
| The rates of obesity have increased from 12 percent | | | | headquarters |
| in 1989 to 28 percent in 2010. If the current trend | | | | - Free lunch at the company cafeteria for every |
| continues, half of the adult population will be obese | | | | eight visits to the gym |
| by the year 2020. Direct health care costs for | | | | - Subsidized cafeteria, which offers lots of vegetarian |
| obesity are expected to climb to $344 billion (21 | | | | fare |
| percent of the nation's direct health care spending) | | | | - Portion size, calorie count, cholesterol and fiber |
| unless the current trend is halted (The Future Costs | | | | count posted for all prepared meals in the cafeteria |
| of Obesity, 2009). The 2009 report on obesity in | | | | (Rodman & Gathright, 2009). |
| America produced by the Trust for America's Health | | | | Programs that combine a culture of wellness with |
| and the Robert Wood Johnson Foundation indicates | | | | incentives that reward healthy behavior have proven |
| the rates of obesity increased for 23 states and did | | | | to be far more effective than traditional wellness |
| not decline for any states between 2008 and 2009. | | | | programs that have had disappointing adherence |
| Obesity rates among children have climbed to an | | | | rates. Price Waterhouse Coopers found that less |
| unprecedented 30 percent (Obesity Rates Continue | | | | than 15 percent of eligible employees enroll in |
| to Climb, 2009). Dr. David L. Katz, director of the Yale | | | | traditional wellness programs. However, if they |
| University School of Medicine Prevention Research | | | | received some form of incentive employees are two |
| Center states, "It truly is a public health crisis of the | | | | to four times more likely to enroll. In another study |
| first order, driving many of the trends in chronic | | | | by Suffolk University 73 percent of Americans |
| disease, in particular the ever-rising rates of diabetes." | | | | surveyed would change their behavior if they could |
| (The Future Costs of Obesity, 2009). | | | | save money (Donnelly, 2009). |
| According to the New England Journal of Medicine, | | | | Are You Leading Change? |
| smoking rates have dropped by 20 percent in the | | | | As with any change initiative, creating a culture of |
| last 15 years. Unfortunately, any health benefits we | | | | health and wellness for your organization will have its |
| should be realizing from the decline in smoking have | | | | unique challenges. However, the alternative is not |
| been offset by the obesity rates that have shot up | | | | attractive. Change is inevitable--growth is optional. |
| by 48 percent in the same time frame (Mertens, | | | | Your organization will experience change, but the |
| 2009). What should we conclude? As a nation we | | | | question is will you be out in front leading positive |
| tackled smoking as a public health threat. The | | | | change or reacting to a crisis after it erupts? |
| numbers speak for themselves. We can do the same | | | | American business leaders should exercise the |
| thing with the obesity epidemic. | | | | opportunity to initiate a culture of health and wellness |
| Reversing the Trend | | | | in their organizations not only because it is socially |
| Raising public awareness of the seriousness of this | | | | responsible, but it is good for the bottom line as well. |
| threat is a starting point but is not enough to provide | | | | Executives who exhibit strong vision and model |
| the impetus for change. Reversing the trend will | | | | desired behaviors will have a distinct advantage over |
| require a full scale national campaign involving | | | | those who sit back and wait to see what unfolds. |
| evidence-based approaches. While there is no specific | | | | Works Cited |
| template for health initiative program design, | | | | Burd, Steven A. "How Safeway Is Cutting |
| successful programs involve community, schools, | | | | Health-Care Costs." Wall Street Journal, 12 June 2009. |
| health care systems, and workplace intervention. The | | | | Web. 8 Jan. 2010. |
| Partnership to Fight Chronic Disease (PFCD) suggests | | | | Design Matters: Health Promotion ROI Closely Linked |
| the following five elements are essential: | | | | to Evidence-Based Programming. Rep. Atlanta: |
| - Removing barriers and empowering Americans to | | | | Institute for Advances in Policy Solutions, 2009. Web. |
| take control of their health | | | | 4 Jan. 2010. |
| - Educating Americans to see obesity as a serious | | | | Donnelly, Julie. "Massaging employee health: Financial |
| medical condition that is life threatening | | | | incentives change behaviors, experts say." Boston |
| - Ensuring that fear about the stigma of obesity does | | | | Business Journal (2009). |
| not eclipse the need to combat it | | | | The Lewin Group, comp. Keeping America Healthy: |
| - Redesigning our health care system to treat obesity | | | | Essential Elements of Successful Programs. Rep. |
| like a preventable medical condition | | | | Partnership to Fight Chronic Disease, June 2008. Web. |
| - Engaging employers and communities to get them | | | | 30 Dec. 2009. |
| invested in promoting wellness (The Lewen Group, | | | | Mertens, Maggie. "Obesity Epidemic Cancels Out |
| 2009) | | | | Anti-Smoking Gains." Web log post. NPR's Health Blog. |
| Business Necesssity | | | | National Public Radio, 2 Dec. 2009. Web. 11 Jan. 2010. |
| The U. S. workforce is truly the backbone of our | | | | "Obesity Rates Continue to Climb." Forbes. HealthDay |
| economy. Employers are a critical piece of the | | | | News, 1 July 2009. Web. 12 Jan. 2010. |
| solution to the current health care crisis and obesity | | | | Rodman, Juliet, and Fiona Gathright. "Safeway's |
| epidemic. Businesses need strategies for developing | | | | Wellness Incentive Program." Wellness Corporate |
| sustainable, adaptable programs that work to | | | | Insights (6 Jan. 2009). Wellness Corporate Solutions. 6 |
| improve employee health and lower costs. Human | | | | Jan. 2009. Web. 11 Jan. 2010. |
| Resource professionals are uniquely positioned to | | | | Trott, Bill, ed. "More Amercans than ever are obese: |
| serve as catalysts in their organizations to educate | | | | CDC." Reuters. Thomson Reuters 2009, 8 July 2009. |
| and support employees through programs that | | | | Web. 11 Jan. 2010. |
| promote wellness. Properly designed wellness | | | | United Health Foundation, American Public Health |
| programs can play a pivotal role in cultural reform and | | | | Association, and Partnership for Prevention. The |
| turning the tide on the obesity epidemic. | | | | Future Costs of Obesity: National and State |
| Employee absenteeism and presenteeism due to | | | | Estimates of the Impact of Obesity on Direct Health |
| chronic illness has a detrimental affect on profitability. | | | | Care Expenses. Rep. 2009. Print. |
| Almost 80 percent of workers have at least one | | | | U.S. Partnership for Prevention. National Commission |
| chronic condition and 55 percent have more than one | | | | on Prevention Priorities. Prevention Care: A National |
| chronic condition. Absenteeism is defined as work | | | | Profile on Use, Disparities, and Health Benefits. |
| missed due to sick days. Presenteeism is defined as | | | | Partnership for Prevention, 7 Aug. 2007. Web. 5 Jan. |
| the loss of productivity due to employees who | | | | 2010. |
| report to work but are less productive due to illness. | | | | U.S. Workplace Wellness Alliance. Partnership to Fight |
| Lost economic output associated with absenteeism | | | | Chronic Disease. The Burden of Chronic Disease on |
| and presenteeism is costing American businesses $1 | | | | Business and U.S. Competitiveness. By Kenneth E. |
| trillion a year (U.S. Workplace Wellness Alliance, 2009). | | | | Thorpe, PhD., Anthony C. Wisniewski, and Garry M. |
| Wellness programs can improve workforce morale, | | | | Lindsay. 2009 Almanac of Chronic Disease, 2009. |
| improve productivity, reduce absences, attract and | | | | Web. 10 Jan. 2010. |