Controlling employee health care cost Essay

1.) What do you think about Hagedorns court to determineling employee wellness c ar price? Do you tote up with it? Why or why non? Mr. Hagedorns approach to control employee wellness c atomic number 18 cost is through providing a wellness eagerness chopine for their employees and in any case cr tucker outing rules concerning on health and monetary punishments to those who dont want to follow these rules. From the 20% of the conjunctions net get for the health care and health pretend mensuratements, the goal is to limit health care amends costs. First, Mr. Hagedorn made a clubwide wellness schedule which is called the LiveTotal wellness course of instruction and hired a third party, Whole Health bear oning to run it. Next, he started encouraging his employees to maintain health-risk assessments and for those who dont take the health risk-assessments to pay $40 per month more in premiums. And for those employees who anchor to be moderate to high risk through the assessments and will non comply will pay an additional $67 per month on top of the $40. As we see it, Mr. Hagedorns approach is both busybodied and forceful. The employees cannot argue and are strained to comply with his requirements but his ships company has more or less rights since they are the one paying the bulk of amount for the premiums.Employees who surrender to his wellness program facility are forced to do monthly reassure ups and in standardized manner quit smoking, drinking and former(a) dark health habits. His approach is also very sudden, he tho thought about it all-night and his graphic symbol of approach needs a lot of adjustments especially for those employees who had already incorporated certain un hearty habits into their livelihoodstyle. His approach in controlling employee health care cost through making a wellness program facility and also letting his employees quit smoking and other bad health habits may also lead to certain losses in their or ganization in terms of the work/ labor force because on that point is a possibility that efficient and effective workers are going to be terminated because they cant cope with this type of approach or they cant transform their habits and lifestyles and also because of the high monetary punishment if the employee cant abide with his rules/approach. However, our group agrees with his approach because his plan to lour health care cost through providing a wellness program facility is a win-win situation, not only can the company be fitted to recognize costs, but also making employees live a fitter life leads to a more productive performance, betterd mobility in doing their jobs and also a happier state.Being healthy means cuttinghealthier care spending in the long run. Employees could be more self-confident and workman comparable in building and interacting with their customers and various stakeholders. His approach is also a motivation for the employees to be restraind in heal thy subsisting. Furthermore, they become allegiant to the company, as they heart that the company considers them as an important asset to operations, set and cares for them. Mr. Hagedorns approach may also attract new competent and potential employees because of the benefits they will get because a good work surround and a healthy vogue of living await them in the company.Also, the program Mr. Hagedorn is offering ranges from offering schooling to employees fitness education and companys fitness centers. These modes of doing and assessing the employees health contribute electro cocksure furbish ups on both, the company and its employees. After all, the wel farthermoste of the employee has a direct impact on the success of the company. 2.) What benefits and drawbacks are there to this type of wellness program? (a)employees (b)company (A.1) the benefits of this type of wellness program for employees areReduce Medical equalThrough their wellness program facilities, their empl oyees would be able to live a healthier and happier lifestyle which in turn reduces medical expenses for the employees, thus, they can cut off their companys health care cost in the long run.Built sense of camaraderie with co-workersThey will hand the fortune of doing activities unrelated to the job such spending metre together in assessments and physical workouts. Such activities would also come on them for the possible results of others. The feeling of world part of the team will be emphasized more in this type of program.Live healthy while they work.Employees tend to be healthy while doing the things they need to do at work. Its more likely, strike two birds with one stone. Being healthy means being able to do a wide range of activities most especially it relates to work. more productivity (Happier)Being healthy is giving your body the strength and your listen the positive outlooks. Healthy employees tend to accomplish the jobs they were expectedefficiently and in effect and they can even engage themselves more in the organization activities though its not part of their jobs anymore. It can also lower their levels of es record and help them increase their self-esteem and confidence.Stays more loyal to the company that treasures themWellness programs make the employees feel that they are visible in the eyeball of the employer and that they are cared. Also the employees can see that their needs and feelings are met. When they feel these, they are more likely stay in the company because it gives them importance.Their life expectancy remediatesA healthy employee has a lesser chance of acquire sick and probable health problems but with exception to hereditary factors. When you eat healthy viandss and do corresponding exercises, you are revitalizing your body and look and you can also live longer. (A.2) the drawbacks of this type of wellness program towards employees areInvasion of personal space and Health solitudeSince health records are required to strengthen the wellness program facility, the persons charge to these areas have to look through the records of each employee and that may breach the health loneliness of the employees. The employees might feel unsecured because of the fear that their health privacy might be leak amongst others.Health DiscriminationA soaring possibility of health discrimination could occur since some health information might be leaked and that volume now are not only concerned about their health but also about the health of others. So, some employees may feel more discriminated than being cared.Limited lifestyle freedomThere will be lots of activities that employees need to engage themselves. They will have certain limitations and constraints on what they would eat, what habits they would have to eliminate and the type of activities they have to avoid with concern to their health.Having a Change in life style needs a lot of AdjustmentsEmployees really need to cope with the changes in the of fice. They need to adjust to having regular health check-ups, daily exercises and activities that are offered indoors the health program and also they need to adjust and try to change their bad health habits to continue working in their workplace. For Employees who refuse to articulatio the program, their salaries would be lessened Because some employees would probably refuse in connecter this program, they would be required to pay monetary penalty. The more these employees refuse to wed the program, the more they would have to pay to stay in the company and also to avoid conflict within the company they are working. (B.1)The benefits for the company in this type of program areLower health insurance costBecause of the new wellness program facility, the cost of the expenses will lower calibrate due to the healthy lifestyle of the employees which results to the reduction of healthcare insurance premiums. education reflection ratesAttracts more future geniused and competent emplo yees because of the program that they offer (Recruiting tools)Reducing AbsenteeismBecause of the healthy lifestyle of the employees, the factor of employees being off due to might be lessened or eliminated. Reduction in turn-overIn Mr. Hagedorns approach, there is a possibility that employee turn-over would occur, each instinctive or involuntary. Some would quit because they couldnt adjust to the changes while others would but be fired because of the same reason. Healthier employees make for a Stronger tie and Productivity It is already a fact that one of the key factors that touch on employee production is their health. Meaning to say, that the healthier the employees the more possibility that their production would improve and that would benefit the company greatly. An improved production results in stronger association and more gained profits.Employees life expectancy improvesThere will be less injuries and illnesses in the workforce. Employee relations will improve, thus he lping the organization pass their goal. (B.2)The drawbacks for the company in this type of program areDeal withthe resistance of the employeesIt is needful that some employees would not agree right away for the said program. each(prenominal) has his or her admit opinion and for the company to create this type of program, they have to crapper first with those employees who try to resist against this type of program. They have to take note ways to change the minds of their employees or control their resistance.Initial cost for scratch line the Wellness ProgramWellness program facilities are very overpriced nowadays you have to hire a team for that area, buy lyceum materials and etc This would be the risky part of creating this type of program, you have to spend a lot of money at first before you can achieve your goal which is to have healthier employees and cut the cost of health insurance premiums in the long run.Deal with other peoples backlashEveryone, especially people o utside the company have their own opinions whether positive or negative about this wellness program. Some might say it is a breach to ones right to health privacy and the right one person in living in his own lifestyle while some would agree with this type of program because it would help both the employees and the company. The company has to deal with the negative opinions of the people as to not influence the reputation of their company they may find ways for other people to see their goals in some other light and to make people understand what their program is for.Without extensive employee participation investment may not pay off The biggest risk in this type of program is not only the expense but also the employees. If most of the employees tend to not participate in this type of program then the company would either fire these employees or remove the program.For Mr. Hagedorn, he found another way for employees to participate which is through monetary punishment/exchange, mean ing to say if you do not participate in the program then you would be forced to pay or quit your work.Deal with the changes in terms of food being offered in cafeterias The company must also adjust and deal with the changes in the workplace. Because of this type of workplace program, they would have to change the food being served in the cafeteria, their daily activities, howthey do things around now that there is also a wellness program provided and also their work schedule, when would they allocate the time for the program and what would they do.3.) Research company wellness programs. What types of things are companies doing to go on employee wellness? Are there any things that you found that you might exhort that Hagedorn employ? Describe.Some type of things that companies are doing to encourage employee wellness are adding fellowship bikes all around the workplace areas when you move from one building to another like what Google has done. Google had also made it easier for t heir employees to make healthier food decisions in the dozens of cafeterias and small cafes with a simple color-coded label (green for healthy, red for unhealthy) on all offerings. Google has even hacked its 48,584 employees eating habitssmaller plates encourage portion control, and place the salad bar at the entrance and the dessert spread in the far corner makes reaching for the greens a no-brainer. Another is to provide a Tobacco Quitline which gives individual counselling over the phone, and the Ask Mayo Clinic hotline is a 24/7 medical resource staffed by nurses ready to assess and give advice on health matters for the employees of Mayo Clinic. Companies like Blue peril and juncture Pacific offer smoking cessation especially take place therapy to their employees to help them stop smoking.Discounts up to full payment at health clubs is also offered by both Del Monte Foods regional headquarters and H.J. Heinz Co. to encourage their employees to live healthier for free. Chesap eake Energy had also made a wellness program where each of its employees is required to smile bright through jocund bright you can brighten up the mood and also encourage more customers. WELCOA is also providing in-house facilities for their employees. For Union Pacific Railroads, they offer companywide wellness benefits like stop-smoking plans and health risk assessments and also they have regional walking contests. The wellness program in Pepsi Co. has several parts they have health risk assessments, fitness and diet programs and helping people manage chronic illnesses like diabetes and heart disease. In the Philippines, Unilab provides six months lifestyle modification program to improve their employees wellness.Also, the Maxicare and ABS-CBN partnership has created the Kapamilya Health and Wellness Fair 2014 whichaims to improve the health and lifestyles of their employees through Zumba dances and pastime runs. TELUS International Philippines (TIP), a top call center and busin ess process outsourcing services provider, created a wellness and healthy living program for its employees. They held a Healthy Living Sports fest last June 18, 2011. The group recommend these wellness programs that Hagedorn also implement in assessing more of its subordinates health. wish the Union Pacific Railroads, they should offer a walking contest, health and wellness bonny like what the Maxicare and ABS-CBN did. This would emphasize more of what the organization really wants in the employees health.This fun fairs would improve the health and lifestyles of their employees. They would also give the employees the change to be meshed in activities unrelated in their job. Like Pepsi Co.s diet program. fling healthy yet gastronomic dishes encourages employees to eat and indulge themselves with such foods. Like what the TELUS International Philippines sports fest. These activities not only provide an opportunity for the employees to showcase their talent in sports but also help p romote teamwork, camaraderie, and sportsmanship.Referenceshttps//www.americanexpress.com/us/small-business/openforum/articles/crazy-corporate-wellness-programs-that-work/ http//greatist.com/health/healthiest-companieshttp//showbizandstyle.inquirer.net/lifestyle/lifestyle/view/20081006-164932/Benefiting-from-office-wellness-programs https//www.maxicare.com.ph/4082/maxicare-and-abs-cbn-present-the-kapamilya-health-wellness-fair-2014-3/ http//greatist.com/health/healthiest-companieshttp//www.telusinternational.com.ph/?q=node%2F32