It is clear to virtually every American (particularly those of us in business) that health care costs are skyrocketing out of control.
No one doubts that either the market will solve the problem OR the government will impose one on us. Managed care has failed from either a cost containment or quality of care perspective.
Organizations have reached the point where the cost of providing health insurance is almost as burdensome as government regulation. It’s time for some new thinking on health care and its impact on organization and vice versa.
Corporate wellness as an operational perspective instead of merely window dressing is one way to deal effectively with rising healthcare costs.
The Insurance Problem
The first step in correcting the problem is to realize that an employee’s health is their own responsibility. Expecting companys to provide unlimited medical insurance coverage is simply unrealistic and unreasonable.
It is time for businesss (on a broad scale) to reconsider their role in providing health insurance coverage. Instead of providing complete coverage for all employees through group plans, businesses should start to shift the burden of health coverage to those covered.
Here is the approach. Give catastrophic medical insurance as a group benefit to all workers with a big enough deductible (say $5000 per employee) to make the cost cheap for the corporation.
Then, allow workers to purchase 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 companies that sell individual plans on this basis. Everyone wins. Employees can tailor their coverage to their own needs and circumstances using their own physicians. Companies win by stopping the endless cycle of rising costs and ever-changing plans.
And when person become responsible for the cost of their own insurance, they become more attentive to their own health.
Besides, when an employee is interested in working for you ONLY because your corporation offers excellent insurance benefits aren’t they telling you they are going to cost you more money in the future?
Develop a “Wellness Culture”
Our current “sickness culture” perpetuates the healthcare crisis and hastens the demise of market-based solutions. By illness culture, I mean our focus on health problems in lieu of on having a healthful workplace and performance culture.
So, what would a “wellness culture” look like? First, instead of paid sick days, workers might be rewarded at year’s end with an attendance bonus.
Workers would be reimbursed for successful completion of use of tobacco cessation and weight-loss programs. Companies would invest in corporate memberships at local health clubs so every worker can participate.
Employees would be offered in-house health promotion programs on a selection of issues ranging from ergonomics to stress management. Lastly, companies would commit to hiring and retaining healthful workforce.
Simply put, healthful staff members cost less and are more productive than unhealthful ones. Applicants must be screened for health habits and practices that limit their productivity 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 corporation committing to hire, train and pay them.
Be open to “alternative and complementary” approaches
Studies published in major medical journals reveal that person who use “alternative and complementary” health modalities (including chiropractic, acupuncture, yoga and massage) are ordinarily healthier, better educated, take fewer medications and miss fewer days from work than the average American.
Since these individuals look for ways to stay healthful without drugs and surgery, they end up being a net benefit in terms of attendance and productivity. Old prejudices in this area must be discarded in order for organizations to improve productivity and increase profitability
Conclusion
Healthcare costs are increasing at a staggering pace. Managed care is an appalling failure. Organizations are buckling below 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 organizations to consider some out-of-the-box solutions to the healthcare crisis.
Company wellness is an approach that is timely, achievable and reasonable given the alternatives. All choices ought to be considered while we still have a chance.
Wellness Proposals