The Need

Rising Healthcare Costs
It’s been well documented that the skyrocketing cost of healthcare is an increasing burden on corporations across America. But there’s more. The Henry J. Kaiser Family Foundation cites these statistics in their Employee Health Benefits: 2006 Annual Survey:

• Since 2000, employment based health insurance premiums have increased 87% compared to the cumulative rate of inflation of 18% and cumulative wage growth of 20% during the same period.
• Premiums for employer-based health insurance rose by 7.7%- two times the rate of inflation, in 2006. Small employers saw their premiums, on average, increase 8.8%. Firms with less than 24 workers experienced an increase of 10.5%.

Lost Productivity = Lost Profitability
But there's more. Employers are also faced with a less obvious and potentially more crippling cost: Reduced profitability due to lost productivity from an unhealthy workforce. Unhealthy employees underperform at work, are absent more often, experience more injuries, take longer to return to work when injured, and have greater risk factors for chronic illness. Presenteeism costs employers an estimated $2,000 per employee, annually.

Seeking solutions to containing the rising cost of employee health care is no longer simply an HR issue, but a core business issue as it relates to your profitability. Just as you would invest in worker training in new job skills to keep your company competitive, investing in a wellness initiative can help protect your company’s financial viability. We can help.