Obesity in the Workplace

Did you know?

• Healthcare costs in the workplace are expected to increase at a rate of 13% to 15% per year over the next five years, outpacing business growth.
• Workplace absences are currently at a 5-year high while at the same time workplace productivity requirements have never been higher.
• Between 50-70% of medical conditions and diseases are attributed to modifiable risk factors.
• 30% of health-related insurance claims are from preventable illnesses.

While healthcare costs in the workplace are at an all-time high and rising, workplace health is at an all-time low and worsening.

The Impact of Overweight & Obesity on Your Business

• Obesity and overweight significantly increase the health insurance rates and burden of employers.
  • Obesity and overweight increase the incidence and severity of many debilitating diseases and conditions.
  • The obese and overweight consume a disproportionate amount of US healthcare dollars.
  • The increased healthcare consumption and costs due to obesity and overweight are passed on from the insurers to the employers, who subsidize health insurance premiums for employees.
• Obese and overweight employees have higher rates of absenteeism and “presenteeism,” a decrease in workplace productivity due to suboptimal health.
  • The cost to employers from absenteeism and “presenteeism” is incalculable.
  • A healthier workforce is a more efficient and productive workforce.
• Obese employees file more frequent, more costly, and longer Workers’ Compensation (WC) claims.
  • Obese employees on average spend 1,300% more time on WC than those of healthy weight (183.63 vs. 14.19 days on WC).
  • Obese employees file on average twice as many WC claims than those of healthy weight (11.65 vs. 5.8 claims per 100 workers).
  • Obese employees cost employers on average 700% more in WC claims as do healthy workers ($51,019 vs. $7,503 in average costs per claim).

The U.S. Chamber of Commerce states that workplace health programs present on average a 28% reduction in sick leave, a 26% reduction in health care costs, and a 30% reduction in worker’s compensation and disability claims costs.

The Hidden Cost of Overweight & Obesity

• Obesity and overweight costs the US healthcare system is approximately $93 billion dollars per year.
  • This unchecked cost puts a heavy financial strain on the healthcare system.
• Obesity and overweight have a much larger impact on both the US economy and individual US businesses.
  • Increased healthcare premiums as insurers pass the rising costs on to the business owners.
  • Decreased employee productivity affects profitability.
  • Increased employee absenteeism and workers’ compensation claims affect your profitability, and can increase headcount and payroll.