Good News for Employee Wellness Programs

By Robin Brown and Greg Cook, WHF Associates

Cost-conscious employers looking to help their employees and be more productive may find that investing in workplace wellness is one piece of the puzzle. Earlier this year Bloomberg Businessweek reported on a new study unveiled at a meeting of the American Heart Association's Nutrition, Physical Activity and Metabolism Conference. That study showed promising results for “a voluntary 12-week, team-based wellness program that focused on diet and exercise.” A growing number of studies show that workplace wellness—when correctly targeted, planned, and managed—can help employees attain better health and employers see lower rates of absenteeism.

Another piece of good news on this front is the inclusion of workplace wellness funding and incentives in the federal Patient Protection and Affordable Care Act. The largest benefits for small businesses in terms of wellness programs come from the authorization of grants to be issued for up to five years for small businesses (defined as businesses employing under 100 workers that are working over 25 hours each week) to create new, comprehensive workplace programs. Eligible businesses are those that, as of March 23, 2010, did not already have workplace wellness programs in place. Such programs must include health awareness initiatives, efforts to expand employee participation to the highest degree possible, programs such as counseling and self help programs that promote healthy lifestyle choices and discourage unhealthy choices. Programs must also take place in a work environment that is considered supportive due to policies that promote healthy choices.

An additional change that comes under this bill requires the CDC to provide businesses of all sizes with resources in the form of technical help, tools, and consultations that will help the employers assess their wellness programs. A nationwide assessment of wellness programs will also be undertaken by the CDC and will result in recommendations to congress for guidelines for the most effective means of implementing employee wellness programs. Finally, the bill allows for an increase in incentives employers can offer for participating in wellness programs and for meeting health goals. It increases the amount from twenty to thirty percent of the cost of coverage and provides that these incentives can be offered as rebates or discounts. This amount may eventually be raised to fifty percent after a study is conducted by the Secretaries of Labor, Health and Human Service, and the Treasury. In the case that employees are at a particular disadvantage for meeting the health goals an alternative standard must be offered.

Encouraging workplace wellness is one more way that healthy choices can be the easy choices. The Healthiest State Campaign in collaboration with the Washington State Department of Health is bringing together a public-private partnership to promote ways to fight chronic diseases across the state. For more information on the Healthiest Communities Partnership, click here.