Employee Health Programs / Employee Health Status, effect on bottom line

Employee Health Status,
effect on bottom line

An individual’s exercise habits, physical activity, and diet, should be of great interest to a company. It was the consensus for a long time that companies should not care about what their employees did in their spare time. However, since health insurance expenses have increased dramatically lately, many companies now have a genuine interest in the wellbeing of their employees. In recent years the fact that workers can be present but not fully productive has become a well-known reality. Many employees go to work tired, and get much less done than if they had been in optimal health. By being at work, but not fully productive, the company essentially pays an employee for 8 hours of work, while the employee only performs the equivalent of e.g. 6.5 hours. Two of the most interesting subjects are absenteeism and presenteeism, which are explained below.

Absenteeism – Absenteeism occurs when people call in sick; they are absent from work. Studies show that obese people and people that smoke have more sick days than people who are in good health. Employees who exercise several times a week and have good eating habits have a much stronger resistance to disease, and therefore a greater chance of staying healthy. Furthermore, they are less likely to get diabetes, cancer, and other medical conditions and complications that could affect their performance and take time away from work.

One example of reducing absenteeism is giving employees flu shots. The Trust for America’s Health estimates that a pandemic flu outbreak in the United States could cost the economy tens of billions of dollars. Several companies have realized the benefits of flu shots. When hit by the flu, people are likely to stay home from work for 3 – 4 days. In addition to the costs and struggles of trying to find a temporary employee, there are costs related to physician visits, and prescription medicine. By spending $40 or less on a shot, a company can save themselves unforeseen expenses.

Presenteeism – Presenteeism is workers being present, but not working efficiently due to medical problems. Companies want to maximize productivity; if you improve the health of your employees, increased productivity will follow. Health problems that contribute to presenteeism include difficulties like migraine, depression, obesity and back pain. The Center for Disease Control reports that during 1997 – 2001, cigarette smoking resulted in $92 billion in productivity losses annually. This is due to prolonged smoking breaks, smokers having a higher number of sick days than non-smokers, and the fact that smokers are not in optimal health, and have more headaches and other pains than non-smokers do. Therefore, smokers have a harder time concentrating on the task ahead of them, which in turn results in lower productivity.

The decreased productivity from employees at work is a high cost. A health problem such as a migraine or a cold can lower productivity by 20%. If employees do not eat right, exercise or get enough sleep, they cannot perform accordingly. The better shape they are in, the more alert they will be during the day, because they can give their bodies more oxygen. Mistakes can be costly; the more alert an employee is, the fewer mistakes he will make.

One way to increase employees’ productivity is to make them aware of their maximal oxygen uptake. This is measured in liters per minute and is a good indication of what shape an individual is in. People out of shape are only able to use 20 – 25% of their maximal oxygen uptake, compared to a person in shape, who is able to use 40 – 50%. For example; a person who never exercises will have a low maximal oxygen uptake and will not be able to do strenuous work. If he has a job that is somewhat strenuous, he will perform it slower and it will be difficult to carry out for a full 8-hour shift.

Many individuals are so inactive that their maximal oxygen uptake is less than 1.8 liters/minute. This means that when using 20 – 25% of that, they are only able to use around 0.4 liters per minute. This is not much more than what is needed for sleep, which is 0.25 liters per minute! The conclusion is that many workers are just about able to stay awake at work. There is no extra energy to draw from, and that’s why many people are fatigued and feel tired for most of the day. Regular exercise increases both the maximal oxygen uptake and the ability for the body to use it. It comes full circle; when you exercise you sleep better, you will be more alert at work, and at the end of the day you will have energy left to go exercise again.

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