Employee Wellness Newsletter : Employer Wellness: Bottom Line Strategies For Effective Health Care Reform

It is clear to virtually every American (especially those of us in business) that healthcare expenditures are skyrocketing out of control. No one doubts that either the market will solve the problem OR the government will impose one on us. Managed care has failed from either a cost containment or quality of care perspective. Companies have reached the point where the expense of providing health care insurance is almost as burdensome as government regulation. It’s time for some new thinking on healthcare and its effect on business and vice versa. “Corporate wellness” as an operational perspective instead of merely window dressing is one way to deal effectively with rising healthcare expenditures.

The Insurance Delimma

The first step in amending the issue is to realize that an employee’s health is their own responsibility. Expecting companies to provide unlimited health insurance coverage is simply unrealistic and unreasonable. It’s time for companies (on a broad scale) to reconsider their role in providing health insurance coverage. Instead of providing complete coverage for all workers through group plans, companies ought to begin to change the burden of health coverage to those covered.

Here’s the approach. Provide catastrophic health care insurance as a group benefit to all staff members with a big enough deductible (say $5000 per employee) to make the expense affordable for the organization. Then, allow staff members to buy their own health care insurance policies (based on their own needs) and pay for them through payroll deduction with pre-tax earnings. There are numerous insurance organizations that sell individual plans on this basis. Everybody wins. Staff Members can tailor their coverage to their own needs and circumstances using their own doctors. Businesses win by stopping the endless cycle of rising costs and ever-changing plans. And when people become responsible for the expense of their own insurance, they become more attentive to their own health. Besides, if an employee is interested in working for you ONLY because your organization offers great insurance benefits aren’t they telling you they’re going to cost you more money in the future?

Create a “Wellness Culture”

Our current “sickness culture” perpetuates the health care crisis and hastens the demise of market-based solutions. By sickness culture, I mean our focus on health problems instead of on having a healthy workplace and performance culture.

So, what would a “wellness culture” look like? First, rather than paid sick days, employees might be rewarded at year’s end with an attendance bonus. Employees would be reimbursed for thriving completion of tobacco cessation and weight-loss programs. Employers would invest in corporate memberships at local health clubs so every employee can take part. Employees would be offered in-house wellness programs on a variety of issues ranging from ergonomics to stress management. Finally, businesses would commit to hiring and retaining healthy employees. Simply put, healthy employees cost less and are more constructive than unhealthy ones. Applicants must be screened for health habits and practices that limit their productivity and improve the likelihood of future expense. While this may seem harsh, it rewards those employees whose personal lifestyle and habits ensure the best Return on Investment by the employer committing to hire, train and pay them.

Be open to “alternative and complementary” approaches

Research studies published in major medical care journals reveal that people who use “alternative and complementary” health modalities (including chiropractic, acupuncture, yoga and massage) are generally healthier, better educated, take fewer medications and miss fewer days from work than the average American. Since these people look for ways to stay healthy without prescription drugs and surgery, they end up being a net benefit in terms of attendance and productivity. Old prejudices in this area must be discarded in order for employers to better productivity and stimulate profitability

Conclusion

Medical Care costs are growing at a staggering pace. Managed care is an abysmal failure. Organizations are buckling under the pressure of offering health coverage to their staff members. American competitiveness in the market is sagging. These times call for extraordinary solutions. It’s time for American employers to consider some out-of-the-box solutions to the health care crisis. Corporation wellness is an approach that is timely, achievable and reasonable given the alternatives. All options must be considered while we still have a chance.