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🔒As Maine businesses grow, so does the prevalence of wellness programs

Good health, according to those in the wellness field, is good not only for employees, it’s good for employers, who save on medical plan costs and absenteeism, and find that these sorts of programs help foster a positive workplace culture and serve to attract and retain employees.

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By the numbers

Cost-savings are difficult to determine directly from Maine businesses, says Roxane Dubay, executive director of the Wellness Council of Maine.

“If you’re a business with 100 or fewer employees, which is the bulk of Maine businesses, you can’t get the health data you’re looking for” because the data set is too small to provide an aggregate picture, and federal health data privacy laws protect individuals’ data, she says. So from a 2014 meta-analysis produced by Health Affairs, a journal of health policy thought and research, she cites figures considered conservative:

Medical costs drop $3.27 per $1 spent on wellness programs

Absenteeism costs drop $2.73 per $1 spent on wellness

Industry reports saving $11 per $1 spent on wellness

Dubay also referred to a 2015 Health and Productivity Study — produced by Willis Towers Watson, a global risk management, insurance brokerage and financial advisory company — as perhaps best mirroring Maine’s workplace demographics. According to the survey of more than 700 employers across the U.S., employee wellness programs have become a part of doing business. Some findings:

73% of employers have some form of wellness program—from basic to comprehensive—in place.

11% plan to put a program in place.

58.5% of organizations with programs have had them in place for three or more years.

64% with programs deemed value of investment more important than return on investment, a significant change from previous results in which employers were largely ROI-oriented.

Employers with no programs skew heavily toward smaller companies. Staff constraints (29%) and budget constraints (14%) were top reasons.

The report says 2015 was a watershed year for employer-sponsored health and wellness programs, as demand for such programs grows.

“Employers are recognizing that there is considerable value to a healthier workforce beyond the value of lower medical costs,” the report says. “VOI-focused organizations embrace a wider set of metrics that include: absenteeism, worker morale, employee turnover, presenteeism costs, workers compensation, short- and long-term disability, employee loyalty and tenure.”

Many respondents indicated concern about medical costs.

“With a projected increase in medical trends in 2016 and the looming Cadillac Tax in 2018, the business imperative to lower medical costs will continue to be a top priority,” the report says.

Source: Willis Towers Watson

A nonprofit aimed at helping companies — and employees

The Wellness Council of Maine was founded in 2002 by Bangor-based partners who “recognized that employers need to provide health education and incentives to change unhealthy behaviors and to focus on long-term health improvements that benefit both employees and their companies,” according to its website.

The council partnered in 2013 with the National Wellness Institute for online resources. Today, as a nonprofit program of the Bangor Region Chamber of Commerce, and on a budget that in 2015 was just over $100,000, funded by sponsors and member fees, the council’s offerings encompass everything from health care consumerism to ergonomics, presented via consultations, lunch & learns, member-to-member networking, webinars, podcasts, access to health publications, discounts, dual membership with NWI, wellness certification programs, and wellness conferences, such as the recent Maine Well-Being Symposium, which featured a presentation from Blue Zones, a community well-being improvement initiative based on longevity studies around the world. With the help of its statewide steering committee, the council is now launching a free program for its small business members, in partnership with Anthem Blue Cross Blue Shield in Maine, helping those with fewer than 100 employees to build wellness programs.

Wellness programs and legal implications

Anne-Marie Storey, a partner with the Bangor-based law firm Rudman Winchell, provided a list of legal implications related to employer-based wellness programs:

Medical inquiries, confidentiality and ability to participate are considerations in ensuring the compliance of wellness programs with the Americans with Disabilities Act and Maine Human Rights Act. For example, programs offering incentives to achieve certain physical goals might discriminate against employees with disabilities.

The work-relatedness of an injury sustained as part of a wellness program, depending on factors such as type and location of activities, could incur a Worker’s Compensation claim.

Wellness programs with targets/rewards affecting younger employees differently from older — a particular cholesterol level triggering a premium discount, for example — could trigger an Age Discrimination in Employment Act claim.

Programs providing rewards for completing Health Reimbursement Arrangements that request genetic information, including family medical history, implicate the Genetic Information Nondiscrimination Act of 2008. Overall, genetic information can be collected as long as no rewards are provided.

Programs must not penalize employees for off-duty behavior such as smoking, protected by Maine state law.

Programs that reward employees for participating must meet certain criteria in order to comply with the Affordable Care Act and the Health Insurance Portability and Accountability Act.

– Digital Partners -