CSR Issue Position Paper Workplace Wellness by 2Upv1d


									      David Beller
P. Yang-Yang Chen
    Daniel Mandel
1.   Overview

2. Current Status

3. Implementation – Leading practices
          Workplace Wellness
A variety of measures to proactively
encourage improved health outcomes,
including education, services and

Companies are expanding their concept of
health to include a broader sense of mental
wellness with increasing focused on the
prevention of health problems
Six dimensions of Wellness ?
           The Business Case
 Reduced medical costs and disability costs.
  Reduced costs of employee healthcare benefits and
  avoided disability payments.
 Reduced Absenteeism.
  Studies show that programs can reduced missed days.
 Enhanced Productivity.
  Healthier workers are more productive.
 Enhanced Recruitment and Retention.
  Provide an incentive to remain with the current
  employer, and keep morale high.
         The Business Case
        COSTS                                  CSR

•Reduced medical and                •Fair employee treatment
disability costs                    •Reputation
•Reduced Absenteeism                •Surveys
•Enhanced Productivity

                 RECRUITING / RETENTION

                 •Attract Talent
                 •Keep morale high
                 •Incentive to remain with
                 the current employer
                 •Increased Loyalty
                   Key Drivers
 Increased healthcare costs
 The cost of health benefits rising 10-15%
 per year.

 Expanded definitions of health
 Including emotional and physical health
 with influences at home and work.

 Expanded healthcare options
The mainstreaming of alternative
               Key Drivers (cont)
 Globalization and employee
 Increased diversity of employees' ages,
 races, religions, and cultures, with a
 growing range of health and wellness

 Increased focus on prevention.
 Proven effectiveness of preventive

 Importance of weight management.
 Extensive social, personal and economic
 costs of obesity and overweight
               Key Drivers (cont)
 Incentives designed to promote
 Emergence of economic incentives as a
 tool to encourage behavior change.

 Focus on mental health.
 The awareness about the scope and
 seriousness of mental health issues is

 Changing issues in disability
 More companies are recognizing the
 need to accommodate employees
 undergoing treatment or recovering
 from disease and illness.
   Screening programs
   Exercise Opportunities
   Counseling and Consultation
   Alternative health plans

   Health education
   Encourage healthy diets
   Promote healthy-baby practices
   Resource library with books and articles on self-help topics
   Economic Incentives-- sharing of costs savings from
      health coverage

  Source:   Business for Social Responsibility, Health and Wellness   Issues Brief
Influences for Workplace Wellness
 Both regulation-driven and internally driven

 Foreign regulations
  United Kingdom: The Management of Health and Safety at
   Work Regulations 1999 and Workplace (Health, Safety and
   Welfare) Regulations 1992
  Australia: 1997 Workplace Health and Safety Regulation
  Canada: Workplace Safety and Health Regulation 2007
        Bidding on government contracts may require a workwell
     Status of U.S. Regulations
 The U.S. has made less progress than other countries.
 U.S. governmental regulation has centered around
 safety rather than general workplace wellness.

    For example, OSH and EPA
    regulations relate to
    workplace safety (mostly in
    the construction industry).
 Public and Nonprofit Involvement
The lack of U.S. regulation has not stopped many public and nonprofit
organizations from becoming involved in advancing the issue:

    California Task Force on Youth and Workplace Wellness
    Launched by the State Legislature in 2002
    Mission: Promote physical fitness and nutritional health in CA’s schools and
    Goals include targets regarding the reduction of obesity rates

   Center for Disease Control’s Worksite Wellness Initiative
    Designed as a resource for program planners in state and federal government
    Features a lactation support program, garden market, wellness committees, and
      discussion boards

   State Government Efforts
    Mississippi Department of Health’s “What is Workplace Wellness”
    Massachusetts Department of Public Health’s Wellness at Work Program
      Who’s designing the health
       promotion programs?
 Many large corporations
  have the necessary
  capacity and resources to
  provide workplace
  wellness programs for
  their employees
                              UC Irvine’s Health Promotion
 However, smaller firms      Center seeks to develop 5 health
  may lack the resources or   promotion programs targeted for CA
  expertise to do so          small and medium-sized businesses
   Leading to a growing      employing between 2 to 500
    need to increase the      workers.
    availability of disease
    prevention and health
    promotion programs.
   Growing Consultancy Business
 As firms go off site for their wellness training needs,
  consultancies are starting to make a profitable
  business out of helping companies implement
  workplace health programs.
   Consultants’ services center around assistance with
    assessment, implementation, and evaluation of wellness
   In addition, these firms also provide lecture series, training,

 Nonprofits can also serve as a great resource for
  providing examples of good programs.
       What does a model wellness
          program look like?
It’s important to take an   And may require creating a
integrative approach to     more comprehensive program
employee wellness.          which includes:
                               •Employee lifestyle change
Any comprehensive              •Clinical prevention services for
workplace wellness             employees and their dependents
program ideally consists       •Ergonomics
of three key                   •Occupational safety
                               •Organizational climate/social
  1.   Prevention              •Worksite violence prevention
  2.   Recognition             •Compliance with occupational
  3.   Assistance              safety and health regulations
Steps for increasing the success of
  a workplace wellness program
According to the "Healthy People 2010" Report, produced by a
consortium of health officials from federal, state, and local
governments joined with community groups, academics, and
 By 2010, 75% of U.S. employers will offer a comprehensive employee health
  promotion program that includes the following elements:

   1.   Health education: skills development and lifestyle behavior changes along
        with information dissemination and awareness building, preferably tailored
        to employees’ interests and needs.
   2.   Supportive social and physical environments: includes an organization’s
        expectations regarding healthy behaviors and implementation of policies that
        promote health and reduce risk of disease.
   3.   Integration of the worksite program in an organization’s structure.
   4.   Linkage to related programs, such as employee assistance programs and
        programs to help employees balance work and family.
   5.   Screening programs, ideally linked to medical care to ensure follow-up and
        appropriate treatment as necessary.
   6.   Follow-up interventions: used for supporting individual behavior change.
   7.   An evaluation and improvement process to help enhance the program’s
        effectiveness and efficiency.
           Workplace Wellness Awards
Who’s recognizing corporations’ efforts to incorporate workplace wellness?

   C. Everett Koop National Health Award
      Awarded annually by the Health Project 2010
      Recognizes employee programs that reduce healthcare costs by encouraging healthy behavior
      Recent corporate award winners include Citigroup, FedEx, Johnson & Johnson, Northeast Utilities, and Union
         Pacific Railroad

   Corporate Health and Productivity Management Awards
      Awarded annually by the Institute for Health and Productivity Management
      Recognizes employers’ leadership in demonstrating improved relationships between health and productivity
         through intervention initiatives, cultural and environmental changes, and measurement of outcomes
      Past winners include DaimlerChrysler, IBM, and Motorola

   Secretary’s Innovations in Prevention Awards—U.S. Department of Health and Human Services
       Series launched by the Secretary of Health and Human Services in 2003
       Recognize businesses and organizations that are leading efforts to promote healthy lifestyles in their
       Past award recipients include Johnson & Johnson and Union Pacific Railroad

   Wellness Councils of America Well Workplace Awards
      Three levels of awards given annually: gold, silver, and bronze
      Recognizes companies meeting WELCOA’s criteria for a healthy workplace
      Recent award winners include Anheuser-Busch, Fujitsu, Merrill Lynch, and Motorola.
Leading Practices
                                                                     Industry: Technology
                                                                     Revenues: $10.6 billion
                                                                     Employees: +9,000 ?
 On site gym
 Swimming spa
 Subsidized exercise classes
 On site massage (low co-payment)
 Free gourmet food
          Says co-founder Sergey Brin: "The cafés have always been pretty healthy,
          but the snacks are not, and the efforts to fix that have been remarkably
 For employee and family
 On-site physician and dental care
 Maternity and Paternity leave

     Child Care Center

Source: www.google.com/intl/en/about.html
                                                                      Industry: Food
                                                                      Revenues: ~$100 million
                                                                      Employees: approx. 200
                                          Clif Bar
  Wellness program addresses employee’s physical, emotional, even spiritual needs

 On site gym (20 fitness classes per week during working hours)
 On site yoga and dance studio
 Personal trainers
 97% participation rate – 2.5 hrs per week (2003)

 Free salads 2-3 days a week
 Caterer cooks dinners and deliver to workplace

 Health screens
 Subsidized Massages

Source: Raising the Bar: Integrity and Passion in Life and Business
                                                                   Industry: Pharmaceutical
                                                                   Revenues: $6.86 billion
                                                                   Employees: 23,000+
                    Novo Nordisk
 NovoSund: Program that looks at how an employee can adopt or
  maintain a healthy lifestyle
 Leisure centers: At low cost for employees
 Works to ensure that employees can maintain a natural balance
  between work and leisure time
 Nutrition policy: currently being developed by a cross-organizational
  working group. Room for cultural variation and ensure equal access to
  a selection of healthy food throughout the company
 Promotion of various sports events
 Pilot study to investigate the nature of stress and how to deal with it
 Completed a study of health checks and personal health advice among
  1000 employees:
        ‘The employees who have health checks and receive personal health advice
         improve their health significantly. The largest health improvement was
         measured in the fitness test.”

Source: www.novanordisk.com
                 More examples…

      Weight management benefit (employees already get free medical
       coverage). Company picks up 80% of the tab--up to $6,000--for a
       comprehensive, clinical weight-loss program.
           Benefit includes up to a year's worth of sessions with a
            personal trainer, behavioral and nutritional counseling,
            support groups, and medical supervision.
           61,100 pounds have vanished from the bodies of 2,152
            employees since 2002.
             Cecily Hall, Microsoft's director of U.S. benefits, says the company
              has already realized a one-to-one return on investment since the
              program began in 2002. "These people are coming off of prescription
              drugs, they're seeing their primary care physician less, and not
              having as much hospitalization."

Source: “More Micro, Less Soft”, Nov. 2006, Business Week
            More examples (con’t)

       Programs
             Smoking cessation, employee assistance, health profiles,
              alcohol and drug and abuse, and on-site fitness facilities
              and personal trainers at many locations
             90 percent of eligible employees participate in the
              company’s Health Risk Assessments, which entitles them to
              credits of US$500 worth of health benefits.

       Benefits
             The program reduces its overall healthcare costs by US$9-10
              million a year.

Source: “Health and Wellness Issues Brief,” Business for Social Responsibility
            More examples (con’t)
             All new programs funded under the program must be
              business value-added, demonstrate a return on investment
              and have national application
             Global long-term wellness strategy that includes the
              company’s Health Advantage Plan (HAP) medical plan,
              which supports proactive patient/physician partnerships,
              screenings and positive lifestyle choices (100% coverage)
             Approximately 75 percent of eligible employees choose to
              participate in HAP instead of Motorola’s basic HMO and
              indemnity plans. To remain eligible for HAP, employees
              must complete a health screening once every two years

             Programs are implemented by Motorola’s Wellness Shared
              Service managed by a team of 35 full-time and 18 part-time

Source: “Health and Wellness Issues Brief,” Business for Social Responsibility
 Workplace wellness efforts are a promising form of
  corporate social responsibility– serving the double
  bottom line by producing monetary value for
  corporations as well as social values for employees and
 U.S. companies have been slow to implement
  workplace wellness programs.
 By studying best practices and tapping into the
  research of nonprofits and relevant organizations,
  companies can design programs which fit their
  business models.
 Nanny corporations
 Privacy Issues
 Going too broad: sacrifice other HR services
 Self-esteem and stigmatization
 Limits diversity of employees
 Business for Social Responsibility, Health and Wellness Issues Brief
 The Institute for Health and Productivity Management
 Healthy People 2010 objectives (www.healthypeople.gov/)
 http://www.wellnesstaskforce.org/

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