How incentives can inspire health, productivity and good will
Employers are learning that a strong, healthy and highly productive workforce gives them a competitive advantage. And more and more attention is being paid to employee health and wellness. Sure, it's yet another way for companies to get more out of employees, but who can argue that health and wellness programs are a bad thing? Now many employers are offering incentives to help employees get healthy.
A quick look at some statistics will show you why. The following are annual productivity losses per employee for certain health conditions as reported by Cornell University Institute for Health and Productivity Studies (IHPS):- Hypertension - $392
- Heart disease - $368
- Mental health problems - $348
- Arthritis - $327
- Allergies - $271
The average American's growing waistline and the chronic conditions that come with it should also be of interest to employers. The Trust for America's Health (TFAH) research group reports that adult obesity has risen from 15 percent in 1978-80 to 32 percent in 2003-04. TFAH also reports that 85 percent of Americans believe obesity to be an epidemic and suggests intervention by all sectors -- states, schools, communities, health care professionals, individuals and even employers.
A healthy dose of incentivesWhile the ultimate responsibility for living a healthy life lies with employees, employers can offer and promote workforce wellness and disease prevention programs -- and both parties reap the benefits. Health management programs can reduce health care costs and increase productivity. Giving employees incentives to use the programs increases participation rates. Wellness incentives are an effective way to get employees on the path to a healthier lifestyle. "It is human nature to need immediate gratification, even when we're doing something for our own benefit, such as improving a health behavior," says Shannon Rickert, Ceridian product manager. "Tying incentives to wellness initiatives will often motivate employees who might otherwise not participate -- including some whom may be at the highest risk levels for chronic conditions." Studies show that a $25 incentive will yield an average response rate of 30 percent on a health risk assessment. The rate of participation increases incrementally as the dollar amount climbs and peaks at 90 percent with a $200 incentive. (Source: Summex Webcast, "Getting the Most Out of Your HRA," February 2004) "Wellness programs are only effective to the degree that employees actively participate in them and employers need ways to drive program participation," says Rickert. That's where Ceridian Health and Productivity Incentives can help. This new program can give employees the motivation they need to make lifestyle changes while helping employers manage incentives for workforce wellness and disease prevention programs. It's available as an add on to our Life Health Assessment and/or Ceridian Health Management Programs which include health coaching programs for tobacco cessation, weight loss and stress management. Ceridian's Incentives program provides a variety of rewards that interest and motivate a wide range of employees. Examples include gift cards, cash or merchandise with a wellness focus. Other incentives that support a wellness culture might be a premium reduction or a contribution to employee Health Savings Accounts (HSAs) or Health Reimbursement Accounts (HRAs). Combine incentives with promotions to boost success
Once you have a program in place, you need to promote it to your employees. "Successful promotions and communications take employee demographics into consideration," explains Meg Tunnicliffe, manager of end-user communications at Ceridian. "For example, employees in the service industry often don't have constant access to a computer, so table tents and other printed materials are more effective," says Tunnicliffe. "If employees have access to computers, colorful electronic messages tend to work well. Printed home mailings often receive a high response because they reach employees and their family members." Ceridian offers different promotion options and mediums for managers and employees, giving employers the flexibility to choose communications that are most effective for their workforce. Available materials include brochures, wallet cards, announcement letters, email messages and printable flyers. These communications can be designed to promote Ceridian's new incentive program, as well as other LifeWorks services. "Ceridian also provides a monthly electronic promotion plan and reminder messages for program administrators, including flyers and emails, so we can help them keep LifeWorks top of mind for their employees," Tunnicliffe explains. "The key is to remind employees often about the program and to integrate it into the culture by including information in new hire packets and having managers talk about the program during meetings." Inspire health and good will
Employers that offer health and wellness programs with incentives can gain more than a productive workforce. They may even inspire a sense of good will and loyalty among employees who are successful with their health goals. And all employees will likely appreciate having a program available when they're ready to make a change. Start your employees on the path to a healthier life today. Contact your Ceridian representative to learn more about how you can promote workforce wellness in your organization.