A recent NBER study cited at Plan Sponsor has revealed that employers may want to achieve a different goal, and in the process likely spend less money doing so, on company wellness programs. From the article, first the not so rosy results:
The researchers conclude that the rapidly diminishing effect of wellness incentives implies that increasing a large financial incentive to even greater levels will transfer large sums of money to workplace wellness program participants, but will have little effect on their composition. They also found that incentives tied to completing downstream wellness activities are more cost-effective than up-front incentives tied to completing the initial health screening.
However, the study did conclude some positive results about corporate wellness programs:
On the positive side, the research found annual medical spending among wellness program participants was $1,574 less than among non-participants, on average. But, a more detailed investigation revealed that this is concentrated in the middle of the spending distribution: employees in the upper and lower tails of the medical spending distribution were least likely to participate in the program.
They also found that incentives tied to completing downstream wellness activities are more cost-effective than up-front incentives tied to completing the initial health screening.
In light of this new study, why not take a look at DailyEndorphin’s offering as an affordable, yet highly FLEXIBLE, “DIY” wellness challenges & programs solution? Anyone at your organization or “group” can take the lead and set things up in less than 10 minutes. No need to run things from centrally HR or wellness either! Give your employees the authority to take the lead at your organization and set things up on their own with their colleagues using DailyEndorphin.