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The Cost-Effectiveness of Onsite Health Services

Man in officeThere are many reasons to provide onsite health services for your employees. One of the most inviting ones is that it can cut costs. Offering onsite services aids in the attraction and retention of quality employees, resulting in the avoidance of spending associated with workforce turnover. Preventative health benefits, reduction of absenteeism, increased worker productivity, improved morale, and a generally healthier employee population are some of the other cost-saving outcomes being experienced by companies that offer onsite healthcare.

Indeed, onsite healthcare is an appealing and valued benefit that can contribute to captivating, cultivating, and maintaining talent. Onsite services have been proven to enhance employee commitment and contentment. A National Association of Worksite Health Centers (NAWHC) survey reported that 75% of companies offering onsite services reported an increase in employee engagement, while 95% of companies reported that employees had expressed greater satisfaction with the company. Glassdoor research has shown that employees who can’t obtain their desired benefits through current employment often look elsewhere.

Many people consider health measures that they never act upon. Whether it be addressing minor aches or pains, intentions of improving physical fitness, or the desire to eat healthier, at the end of the day it isn’t always convenient to take the necessary steps. There are family duties, natural urges for leisure and entertainment, and time constraints of all shapes and sizes that can get in the way. The familiar, consistent care of onsite health services can contribute to the prevention of serious conditions simply by making healthcare more accessible and a part of everyday life. Not only does this benefit employees, but it also makes financial sense for the employer. A healthier staff correlates to reduced absenteeism and lower illness rates; which in turn decreases costs associated with healthcare spending.

Indeed, the primary goal of companies offering onsite health services is to circumvent unnecessary expenditures. Onsite services help reduce emergency room visits and hospitalizations, decrease the number of visits to specialists, and mitigate the use of expensive non-generic prescriptions. Disability claims can be prevented and work-related injuries can be abated. Furthermore, the intimacy and exclusivity that onsite services provide, afford the employer a greater possibility of negotiating fees. A John Hopkins University study showed that onsite health services have proven to be two to three times more effective in lowering illness rates and saving money than using offsite services. The aforementioned NAWHC survey reported that 64% of companies using onsite services had reported significant cost savings.

The 2012 Towers Watson Onsite Health Center Survey found that increased productivity was a fundamental target of the onsite approach. Giving employees the advantage of working healthcare services into their schedules, without having to leave their place of work, promotes the desired output. To be sure, a healthier, more engaged workforce with minimized absenteeism is intrinsically more focused and industrious.

A healthier employee is a happy one and a happy employee is a more productive one. Onsite wellness programs serve to actualize a healthier staff and work environment and contribute to the establishment of a more positive and sustainable workplace culture. They reduce healthcare spending, make healthcare more accessible, and ensure a more present personnel. Then there’s the bottom line—implementing onsite health services is a proven penny-pincher. When it comes to disbursement, less is always more.

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