By Kelley Weiss | December 4, 2012
As if fitting into your favorite pair of “skinny jeans” isn’t enough…your boss might give you a discount on your health insurance if you do.
It’s a growing trend these days for companies to offer incentives – or the proverbial carrot – to get workers in better shape.
Don Powell is the CEO and president of the American Institute for Preventive Medicine. He advises about 13,000 corporations around the country, including unions and the military, about implementing wellness programs.
Powell says that the majority of businesses today offer some type of wellness program. These can range from having a health fair or flu shot clinic at work to building an on-site gym.
He says what’s driving this is ever-rising health care costs. Worksite wellness programs can translate into fewer sick days and increased productivity. But more importantly it can save businesses money, he says. For some companies Powell says for every dollar they spend on a wellness program, they get back three dollars in return.
Powell says when workplace wellness programs started in the 1980s they usually consisted of a smoking cessation class or a dietician offering tips for healthier eating.
Now, times have changed. He says employers will give out prizes like airline tickets to Hawaii or a mountain bike if you lose weight.
And the Internet is playing an increasing role in these challenges as well. Employees can track their progress online and compare it to their co-workers.
“It could range from drinking more water per day to eating five helpings of fruits and vegetables to climbing Mt. Everest to swimming the English Channel,” Powell says.
Your boss might also give you a discount on your health insurance costs. This can add up to 20 percent of the total cost for your insurance. Under President Obama’s health care law this will increase to 30 percent in 2014.
Powell says bosses are also wising up to the fact that to really save money they have to focus on more than just the employee. He says 70 percent of employers’ health care costs are due to dependents, kids and spouses.
“If you’re only working with worksite wellness with the employee you’re only getting at 30 percent of the problem,” he says. “So allowing dependents or even children to participate in the wellness program is a growing trend.”
That could mean taking your child along to the gym to workout on the company’s dime.
Powell says while carrots are by far more popular, the stick is gaining popularity. The same provision under the federal health care law that allows employers to give workers a 30 percent financial incentive if they get in better shape goes the other way too. If you don’t work at lowering your cholesterol or losing weight you could be paying 30 percent more in penalties come 2014.