Effects of Employee Wellness Programs . Positive and Negative

Hewitt Associates , who is explaining about the improvement that due to increased cost pressures the employers had a converted interest and enthusiasm about health promotion and the medical supervision programs , which will co operate to reduce absenteeism , provide cost savings , and increase the productivity

Majority of the US Company applied this method to get cost advantage and grabbed the opportunity to maximize their earnings . For example the Pepsi Co invested 2 million in the health fitness and gained the return which is three times higher than they are invested at first . Similarly

br the DuPont introduced a program Health Horizons ' and they got the return which is five times higher than their investment . According to the Tenneco industries , this invested 11 million by starting the fitness centre over the area of 25000 sqf (Manjoo , 2007 . By investing in this area the company could reduce its care expenditure declined to the half . Mean while the General electronics also introduced the wellness program for its employee and it succeeded in cutting its and half a year . On the other hand the employee who did not participated in this program caused to increase the health care cost to 21 According to a study conducted by the Life insurance company for mutual benefit , in the new jersey employees who participated the programs like wellness , fitness and health care program had a medical clime , which is 70 less than the health care expense by non- participants . Haltom who expressed his opinion that We expect that organization will not only continue to offer health promotion programs but look for ways to enhance and expand existing programs for employees (Manjoo , 2007

Benefit of the wellness program

The wellness program or the healthcare fitness program is considered as one of the most significant factor in corporate cost cutting principles...