With continuing pressure to control healthcare costs, more companies plan to offer financial incentives to reward workers who adopt healthy lifestyles, according to a new survey.
The Staying@Work survey, conducted by Watson Wyatt and the National Business Group on Health, finds that 46% of employers surveyed currently offer financial incentives to encourage workers to monitor and improve their health or plan to offer incentives next year. By 2009, that number is expected to surpass 70%.
The survey also found that companies with effective health and productivity programs demonstrate superior performance. They achieve 20% more revenue per employee, have 16.1% higher market value and deliver 57% higher shareholder returns(from 2004 to 2006).
Additionally, companies with highly effective health and productivity programs have cost increases that are five times lower for sick leave; four and one-half times lower for long-term disability; four times lower for short-term disability; and three and one-half times lower for general health coverage.
“With few options left, companies are putting significant emphasis on improving the health and productivity of their workforce” says Shelly Wolff, national practice leader for health and productivity at Watson Wyatt. “Increasingly, companies are looking at the health of their workers as the new growth engine to stave off health care inflation and keep employees on the job and productive.”
For more about topics like this, check out our Health & Wellness Guide. You can view it by, clicking here.
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