Health Fairs

It is obvious to virtually every American (especially those of us in business) that health care expenditures are skyrocketing out of control. No one doubts that either the market will solve the concern 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 medical insurance is almost as burdensome as government regulation. It’s time for some new thinking on health care 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 health care expenditures.

The Insurance Delimma

The first step in fixing the concern is to realize that an employee’s health is their own responsibility. Expecting corporations to support unlimited medical insurance coverage is simply unrealistic and unreasonable. It’s time for corporations (on a broad scale) to reconsider their role in providing medical insurance coverage. Instead of providing complete coverage for all employees through group plans, corporations should begin to modify the burden of health coverage to those covered.

Here’s the approach. Provide catastrophic medical insurance as a group benefit to all employees with a sizable enough deductible (say $5000 per employee) to make the expense affordable for the business. Then, allow employees to buy their own medical insurance policies (based on their own needs) and pay for them through payroll deduction with pre-tax earnings. There are numerous insurance corporations that sell individual plans on this basis. Everybody wins. Workers can tailor their coverage to their own needs and circumstances using their own doctors. Companies win by stopping the endless cycle of rising expenditures 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 business 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 concerns instead of on having a healthy workplace and performance culture.

So, what would a “wellness culture” look like? First, instead of paid sick days, employees might be rewarded at year’s end with an attendance bonus. Workers would be reimbursed for successful completion of tobacco cessation and weight-loss programs. Companies would invest in corporate memberships at local health clubs so every employee can participate. Workers would be provided in-house wellness programs on a variety of concerns ranging from ergonomics to stress management. Finally, corporations would commit to hiring and retaining healthy employees. Simply put, healthy employees cost less and are more advantageous than unhealthy ones. Applicants should be screened for health habits and practices that limit their work rate and increase 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 business committing to hire, train and pay them.

Be open to “alternative and complementary” approaches

Research studies published in major medical 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 prescriptions and surgery, they end up being a net benefit in terms of attendance and work rate. Old prejudices in this area should be discarded in order for corporations to improve work rate and boost profitability

Conclusion

Health Care expenditures are increasing at a staggering pace. Managed care is an abysmal failure. Companies are buckling under the pressure of providing health coverage to their employees. American competitiveness in the market is sagging. These times call for extraordinary solutions. It’s time for American corporations to consider some out-of-the-box solutions to the health care crisis. Company wellness is an approach that is timely, achievable and reasonable given the alternatives. All options should be considered while we still have a chance.