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The U.S. currently spends 15.5 percent of its
national income on health care – an “unsustainable figure,”
according to John Howard, MD, Director of the National Institute for
Occupational Safety and Health (NIOSH).
Improving workers’ health – and cutting costs
– by breaking down the organizational “silos” that often separate
health promotion from health protection is the driving idea behind
“WorkLife 2007,” a national symposium held Sept. 10-11 in Bethesda,
Md. Dr. Howard was the opening speaker at the symposium, which was
sponsored by NIOSH and supported by 25 other organizations,
including ORC Worldwide. The event attracted a varied collection of
experts from government, academia, labor, and industry who spoke to
an equally diverse audience that included hundreds of public and
private health practitioners.
Below are some highlights of the sessions
that may be of special interest to ORC members, along with links,
where possible, to PowerPoint slide presentations. Additional
background information on the symposium and the NIOSH WorkLife
Initiative is available on the NIOSH Web page at:
http://www.cdc.gov/niosh/worklife/ NIOSH plans to post the
slides used by all speakers at the Symposium on the NIOSH website in
the near future.
Making the Economic Case for Workplace
Health was the first of two break-out sessions co-moderated by
ORC Consultant Ann Brockhaus. Tim Bushnell, PhD, MPA, an economist
at NIOSH, opened the session with a review of a number of the many
methods being used by organizations around the world to determine
the costs and benefits of health and safety improvements.
Presentation here.
Sean Nicholson, PhD, Associate Professor,
Department of Policy Analysis and Management, Cornell University,
followed with, “Measuring the Value to an Employer of Reducing
Absences and Presenteeism.” His presentation is
available
here.
Dr. Nicholson’s research has led him to
conclude there are a number of factors that may cause employers to
underestimate the real cost of worker ill health:
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Employers tend to focus only on direct
medical costs, while ignoring the costs of absences and “presenteeism;”
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Managers may overestimate employee
health;
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The benefits of reduced absenteeism
may be undervalued due to the (false) assumption that a day lost
is equal to an employee’s wage;
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Employers may be skeptical that health
promotion or disease management programs work.
Does presenteeism exist? According to studies
cited by Dr. Nicholson, managers acknowledged sick workers are up to
28 percent less productive than healthy workers, depending on the
disease. In addition, his research has revealed that in many cases
the actual ‘workloss’ caused by an absent employee can be far larger
than the worker’s wage, if the absence of a single worker affects
the productivity of an entire team or when there is a time penalty
for lost or postponed output.
Is mental health the same as the absence of
mental illness? Not according to Corey Keyes, PhD, Associate
Professor, Emory University, who concluded the session with a
fascinating thesis: only 20 percent of Americans are mentally
healthy, while many others are neither ill nor healthy, but
“languishing.”
Companies cannot afford to ignore the costs
of these ‘languishers,’ according to Dr. Keyes. Health promotion can
and should focus on increasing the outcome of positive mental
health, not just reducing the risk of illness. Dr. Keyes provided
evidence that those who are mentally healthy are far less prone to
absenteeism, presenteeism, and a number of physical diseases, than
are those who are languishing. The slides of this presentation are
also available.
Barriers to Change and How to Overcome Them
Many companies encounter serious
organizational obstacles to integrating health promotion with
occupational health and safety protection. The speakers at this
session, also co-moderated by Ann Brockhaus, provided examples of
companies that overcame these barriers and implemented successful
programs.
The way work is organized was a major factor
in resolving this problem. In fact, the organization of work turned
out to be one of the major themes of the WorkLife Symposium, as it
has a profound affect on the health of workers, the cost of their
health care, and the health of the entire organization.
The rising cost of health care has already
captured the attention of CEOs and CFOs. But the real cost of
illness is far higher, according to Kimberly Jinnett, PhD, Research
Director, Integrated Benefits Institute (IBI). Traditionally,
companies have used only direct payments out to calculate the cost
of days away of work, e.g. group health, workers compensation, short
and long term disability.
The real cost of a lost work day is on
average at least 45 percent higher than direct medical costs,
according to IBI research, which Dr. Jinnett said has been confirmed
by Dr. Sean Nicholson (see above) and others. The additional costs
result from missed deadlines, paying overtime to complete the work,
and losses that result because the replacement workers are less
productive. Dr. Jinnett said the 45 percent figure is an average, as
the cost multiplier varies by industry and the nature of the work
that is being performed.
“Presenteeism” is a second factor that is
related to, yet somewhat independent of, absenteeism, according to
Dr. Jinnett. She said research has confirmed that presenteeism
results in an additional 45 percent cost due to lost productivity.
In an interview after her presentation, Dr.
Jinnett said that the problem of presenteeism should be seen in
connection with Dr. Keyes’ research into the difference between true
mental health and the mere absence of mental illness. Dr. Jinnett
said workers who are “languishing,” yet showing no signs of mental
illness, are far more likely to be suffering from presenteeism.
According to Dr. Jinnett, one important
strategy for employers managing health and productivity is to create
an integrated data warehouse, but most employers need a pragmatic
and low cost method to get started. For most employers who have
concentrated on medical and pharmacy data, integrating employee
self-reports can be an inexpensive way to begin to examine the full
costs of health conditions, and to link the company’s health
management strategy to its business strategy.
Dr. Jinnett said IBI has developed an employee
self-report tool, called the Health and Work Performance
Questionnaire (HPQ), which captures data on absence and presenteeism
lost time for chronic health conditions. Information on HPQ is
available at:
http://www.ibiweb.org/publications/download/640
Workplace Programs for Obesity Prevention and Reduction
A growing body of literature connects obesity
to higher health care costs, greater risks of safety incidents
higher workers compensation claims, higher absenteeism and decreased
productivity, or “presenteeism,” according to Paul Schulte, PhD. The
first of four speakers at this breakout session, Dr. Schulte is the
Director, Education and Information Division at NIOSH. He cautioned
that while much of the evidence for these linkages is strong, “some
evidence still needs more work.”
Keshia Pollack, PhD, MPH, Assistant
Professor, Johns Hopkins University, Bloomberg School of Public
Health, then presented her research which demonstrated that in a
manufacturing environment, the odds of injury increase for obese
workers. While her study needs to be confirmed, she said it suggests
that obesity is an added risk factor for injury among manufacturing
workers.
Weight bias is the most frequently highest
form of reported form of discrimination among overweight white
women, according to Mark Roehling, JD, PhD, Associate Professor,
School of Industrial and Labor Relations, Michigan State University.
“There’s lots of evidence that weight discrimination goes on in the
workplace,” he asserted. “When you implement a weight loss program,
you may make this situation better – or you may make it worse.”
Dr. Roehling said that employers who set up
weight reduction programs need to administer them properly and must
ensure that those in charge are properly trained. Insensitive
weight-related comments can be the basis for successful legal
actions. On the other hand, the legal risks of voluntary programs
are low and manageable, provided the focus is on providing carrots
rather than sticks.
Over 65 percent of the U.S. population is
overweight and 30 percent is obese, according to Nico Pronk, PhD,
Vice President and Executive Director, HealthPartners Health
Behavior Group. The most alarming trend, he said, is that the number
of those who are severely obese is are growing far more rapidly than
any other category; and it is these most obese people who account
for greatest burden on the health care system.
“Within a decade 20 percent of all medical
expenses will be tied to treating obesity,” predicted Dr. Pronk.
Part of this is due to the growth in obesity, but another factor is
the rapid increase of the severely obese.
Dr. Pronk then presented data on the total
cost of illness. Like several other speakers, he said that direct
medical costs are only the “tip of the iceberg,” and offered the
following breakdown of the total cost of illness:
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Direct medical cost - 24 percent
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Short term disability, 3 percent
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Long term disability, 3 percent
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Workers compensation, 1 percent
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Absenteeism, 6 percent
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Presenteeism, 63 percent
Excess weight has an impact on both direct and
indirect costs. According to his research, being obese equals 20
years of aging in terms of health care costs.
Dr. Pronk ended with some practical advice on
how to develop an effective weight reduction program, based on 80
studies of such programs. The research indicates that programs
relying on a single factor, such as diet or drugs, are far less
effective than multi-component programs.
“I think programs that focus on both diet and
exercise are the ones to choose,” he concluded.
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