It’s not surprising that many executives want to offer corporate wellness programs but find it a daunting task to undertake on their own. After all, companies are in business to do what they do best, and creating and maintaining a facilities-rich corporate wellness program is simply not reasonable or cost effective for most. While the data supporting corporate wellness programming is growing, some enlightening statistics help to illustrate both the need and the associated benefits. )

Executive Summary
Notably, health-care costs in the United States are more than $1 Trillion annually, but preventable illnesses account for approximately 70% of the illnesses and related costs.

Increased productivity

  • On average, a worker in the United States loses 115 productive work hours every year due to a health condition. A majority of the lost productive time from these health conditions is invisible to employers, because it occurs on the job. (Ref 1)

Reduced absenteeism

  • Absenteeism due to stress increased 316 percent from 1995 to 2000. (Ref 2)
    The total cost to employers in lost productive time for all health conditions is in the range of $2,000 per employee per year. (Ref 3)

Reduced heath-related costs

  • For many companies, medical costs can consume half, or more, of company profits. (Ref 4)
  • Chronic diseases related to lifestyle account for 70 percent of the nation's medical costs. (Ref 5)

Strengthened employee retention and recruitment

  • A recent survey by an international search firm found that more than half of those seeking manager-level positions ranked a health club membership as the benefit they'd most like to see at their next job. (Ref 6)

Improved morale

  • Physical activity enhances psychological well-being and may even reduce the risk of developing depression. (Ref 7)
  • The National Institute for Occupational Safety and Health reports that 25 percent of all Americans believe their job is the most stressful part of their lives. (Ref 8)

Reduced incidence of medical conditions

  • Corporate wellness programs have prompted reductions in hypertension, injury, back pain and other preventable conditions. (Ref 9)
  • Every hour, 35 people die from diseases related to inactivity or poor nutrition alone. (Ref 10)
    Wellness programs in general, and fitness programs in particular, may be the only employee benefits that pay money back. (Ref 11)


Reference Notes

    1. "AdvancePCS Study Shows Top Health Conditions Cost Employers $180 Billion in Lost Productive Time." Corporate Training Monthly, volume 1 no. 9, July 5, 2002.
    2. "Putting the Brakes on Employee Absenteeism," USA Today Magazine, April 2000.
    3. "AdvancePCS Study Shows Top Health Conditions Cost Employers $180 Billion in Lost Productive Time." Corporate Training Monthly, volume 1 no. 9. July 5, 2002. http://www.ctmonthly.com/archives/jul02/articles/advance-pcs.html
    4. "Understanding Worksite Wellness," Wellness Councils of America, 2002.
    5. Fries, J.F., et al. "Reducing Health-care Costs by Reducing the Need and Demand for Medical Services," New England Journal of Medicine, July 29, 1993.
    6. Cincinnati Enquirer, Aug. 15, 1999. http://enquirer.com/editions/1999/08/15/fin_tipsheeet.html
    7. U.S. Department of Health and Human Services, Healthy People 2010: Understanding and Improving Health, 2nd ed. Washington, DC: U.S. Government Printing Office, November 2000.
    8. NIOSH and CDC. http://www.cdc.gov/niosh/stresswk.html
    9. Harris, John, MD, and Jerid Baxter, MPH, "From 0 to 500 in 30 Years Flat," Absolute Advantage, Wellness Councils of America, 2002.
    10. "Physical Activity Fundamental to Preventing Disease," U.S. Department of Health and Human Services, June 20, 2002. http://aspe.hhs.gov/health/reports/physicalactivity
    11. Edington, D.W., Ph.D, University of Michigan.
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