Corporate Health Promotion Program Return On Investment
For well over a decade, research has been showing the effectiveness of Corporate Health Promotion Programs. For every dollar spent on Corporate Health Promotion Programs, the returns have been cost savings of between $2.30 and $10.10 in the areas of decreased rates of absence, fewer sick days, decreased WSIB/WCB claims, lowered health and insurance costs, and improvements to employee performance and productivity.
Statistics do show that Corporate Health Promotion Programs increase employee morale, improve the ability to attract and retain key employees, all while having more alert and productive workers. Some Corporate Health Promotion Program ROI statistics of note:
• Canada Life Insurance reported a return of $3.43 on Corporate Health Promotion Program, and an overall Corporate Health Promotion Program ROI of $6.85 on each corporate dollar invested on decreased turnover (32.4% lower), productivity gains and decreased medical claims,
• DuPont’s Corporate Health Promotion Program pilot sites saw a saving of 11,726 disability days and a return of U.S. $2.05 for every dollar invested by the end of the second year,
• The Canadian government’s Corporate Health Promotion Program ROI was $1.95-$3.75 per employee per dollar spent (as reported by Dr. Roy Shephard),
• Municipal workers in Toronto, missed 3.35 fewer days in the first six months of their Corporate Health Promotion Program than workers not enrolled in the program,
• British Columbia Hydro workers enrolled in a Corporate Health Promotion Program had a turnover rate of just 3.5% compared with a Employer average of 10.3 percent,
• Johnson & Johnson estimated an average saving of U.S. $224.66 per employee per year for the four years examined after the program introduction, with the bulk of the savings being in the third and fourth years,
• Pacific Bell reported that overall rates of absence decreased after implementing a Corporate Health Promotion Program,
• Coca Cola report saving $500 every year per employee after implementing a Corporate Health Promotion Program, with only 60% of their workers taking part,
• Coors Brewing Co. reported that for each dollar spent on their Corporate Health Promotion Program they saw a $5.50 return, and the workers who participated decreased their absentee rate by 18 percent, and
• Prudential Insurance Company reported that the benefits costs for workers taking part in their program were $312, as opposed to $574 for non-members