Here are the top 3 issues rated as extremely important by organizations:1. Health insurance costs (49% rated as a 10)2. Decreased productivity (35% rated as a 10) 3. Absenteeism (30% rated as a 10)The other issues and their ratings were:4. Workers' compensation/disability claims (27% rated as a 10)5. Recruitment/retention of employees (24% rated as a 10) 6. Presenteeism (23% rated as a 10)7. Employee satisfaction/engagement (21% rated as a 10)8. Compliance with regulations (18% rated as a

SHRM Survey Findings:
Workplace Wellness Initiatives

In collaboration with and commissioned by Alliance for a
Healthier Minnesota

December 6, 2012
Workplace Wellness Initiatives ©SHRM 2012
In collaboration with and commissioned by Alliance for a Healthier Minnesota

Definitions

 Worksite wellness initiatives: For the purpose of this survey, worksite wellness initiatives can be defined as a
coordinated set of strategies that includes environmental supports, health benefits and workplace policies
designed to meet the health and safety needs of all employees.

In collaboration with and commissioned by Alliance for a Healthier Minnesota 2

Key Findings

 How much do organizations spend on health insurance coverage for employees? Of the organizations
that offer a health care plan for their employees, approximately three-fourths (76%) of organizations spend
less than 25% of their organization’s operating budget on health insurance coverage for employees,
whereas nearly one-fifth (19%) of organizations spend 25% to 49%.

 How would organizations grade their employees’ health? Over half (54%) of organizations would give their
employees’ health a “B – Good” rating, whereas 38% of organizations would rate their employees’ health
as “C – Fair.”

 How important are health-related issues in terms of overall organizational priorities? Nearly one-half (49%)
of organizations indicated that health insurance costs are “extremely important to their organization.”
Next on the list were decreased productivity (35%), absenteeism (30%) and workers’ compensation or
disability claims (27%).

 What are the top health conditions that are of greatest concern to employees? Roughly one-fourth of
organizations reported obesity/overweight (24%) and stress and other mental health issues (23%) as the
greatest health concerns for their employees. Other health concerns include lack of exercise/fitness (15%),
chronic disease (11%) and high blood pressure (10%).


Key Findings (Continued)

 How do organizations feel about worksite wellness initiatives? Nearly nine out of ten (87%) organizations
indicated that worksite wellness initiatives are very or somewhat beneficial. Practically all (96%)
organizations reported that they strongly or somewhat agreed that the initiatives help workers develop
healthier lifestyles. The majority (84%) of organizations also strongly or somewhat agree that worksite
wellness initiatives lower health care costs and increase worker productivity.

 Do organizations offer worksite wellness initiatives? Slightly more than one-half (55%) of organizations have
a worksite wellness initiative for their employees. The majority (76%) of those organizations indicated that
less than 10% of their operating budget is spent on these worksite wellness initiatives.

 Do organizations plan to expand or improve their current worksite wellness initiative? Of the organizations
that currently offer worksite wellness initiatives, 85% are very or somewhat interested in expanding or
improving their current worksite wellness initiative in the next one to three years.

 Do organizations plan to develop worksite wellness initiatives for their employees? For organizations that
do not currently offer a worksite wellness initiative, 69% of them are very or somewhat interested in
developing one in the next one to three years.


Key Findings (Continued)

 Do organizations track the return on investment (ROI) of worksite wellness initiatives? Of the organizations
that offer worksite wellness initiatives, roughly two-fifths (42%) of organizations track the return on
investment (ROI) on these initiatives.

 What reasons may deter organizations from offering a worksite wellness initiative? About three-fifths of
organizations reported the cost of the initiative (65%) and lack of employee interests/expected low levels
of participation (59%) as the most common factors that may deter organizations from offering a worksite
wellness initiative.

 What resources do organizations rely on when creating or expanding a worksite wellness initiative? Over
one-half of organizations trust and value their business peers or fellow HR managers (58%), health care
service providers (55%) and/or worksite wellness vendors and consultants (54%) when creating or
expanding a worksite wellness initiative.

 Should the government become more involved in worksite wellness initiatives? Nearly one-half (47%) of
organizations indicated that state and local government should be more active in helping create and
expand worksite wellness initiatives, although two-fifths (40%) of organizations indicated that the federal
government should not really change its level of involvement.


General Health Insurance


Approximately what percentage of your organization’s operating
budget would you say is spent on health insurance coverage for your
employees?

Less than 25% 76%

25 – 49% 19%

50 – 74% 4%

75% or more 1%

Note: n = 267. Only respondents whose organizations offer health care plans were asked this question.

Wellness Themes


What grade would you give your organization’s employees in terms of
being healthy?

A – Excellent 4%

B – Good 54%

C – Fair 38%

D – Poor 4%

F – Failing 0%

n = 403

What grade would you give your organization’s employees in terms
of being healthy?

Comparisons by organization staff size
• Organizations with 1 to 99 employees are more likely than organizations with 500 to 24,999 employees to grade their
employees’ health as B – Good.


500 to 2,499 employees (39%)
1 to 99 employees (67%) >
2,500 to 24,999 employees (46%)

• Organizations with 500 to 2,499 employees are more likely than organizations with 1 to 99 employees to grade their
employees’ health as C – Fair.


500 to 2,499 employees (54%) > 1 to 99 employees (23%)

Note: Only statistically significant differences are shown. Workplace Wellness Initiatives ©SHRM 2012

Rate the importance of the following issues in terms of overall
organization priorities:

1 = Not 10 =
Important Extremely
2 3 4 5 6 7 8 9
At All to Important to
Organization Organization
Health
insurance
1% 1% 1% 1% 3% 3% 7% 17% 18% 49%
costs
(n = 404)

Decreased
productivity 1% 0% 1% 2% 5% 6% 11% 18% 20% 35%
(n = 402)

Absenteeism
1% 2% 2% 2% 6% 6% 11% 19% 21% 30%
(n = 401)

Workers’
compensation
or disability 2% 3% 3% 5% 9% 6% 12% 16% 15% 27%
claims
(n = 402)

Note: Percentages may not equal 100% due to rounding.

Rate the importance of the following issues in terms of overall
organization priorities:

• Organizations with 500 to 2,499 employees are more likely than organizations with 2,500 to 24,999 employees to rate
health insurance costs a 9 on level of importance (1 = not important at all to organization, 10 = extremely important to
organization).


500 to 2,499 employees (31%) > 2,500 to 24,999 employees (11%)


Which from the list below do you consider to be the top three health
conditions or areas that you feel are the greatest concern to your
organization’s employees? Rank them in terms of your first, second and third
choice.

First Choice Second Choice Third Choice
(n = 405) (n = 404) (n = 403)

Obesity/overweight 24% 17% 12%

Stress and other mental health issues 23% 14% 14%

Lack of exercise/fitness 15% 19% 17%

Chronic diseases 11% 11% 11%

High blood pressure 10% 12% 12%

Tobacco use 7% 3% 8%

Workplace injuries 6% 2% 5%

High cholesterol 1% 7% 5%

Alcohol and substance abuse 1% 2% 4%

Poor nutrition 1% 7% 9%

Cold and flu vaccinations 1% 5% 4%

Note: Percentages may not equal 100% due to rounding. Workplace Wellness Initiatives ©SHRM 2012

Which from the list below do you consider to be the top three health
conditions or areas that you feel are the greatest concern to your
organization’s employees? Rank them in terms of your first, second and
third choice.

• Organizations with 2,500 to 24,999 employees are more likely than organizations with 1 to 99 employees to rank
obesity/overweight as the top health concern for their employees.


2,500 to 24,999 employees (34%) > 1 to 99 employees (13%)

Comparisons by organization sector
• Publicly owned for-profit organizations are more likely than privately owned for-profit organizations and nonprofit
organizations to rank tobacco use as the second top health concern for their employees.


Privately owned for-profit (2%)
Publicly owned for-profit (10%) >
Nonprofit (1%)


Worksite Wellness Initiatives


In general, how beneficial would you say worksite wellness initiatives
are to organizations like yours?

Very beneficial 38%

Somewhat beneficial 49%

Not very beneficial 12%

Not beneficial at all 1%

n = 404

In general, how beneficial would you say worksite wellness initiatives
are to organizations like yours?

• Organizations with 2,500 to 24,999 employees are more likely than organizations with 1 to 99 employees to consider
their workplace wellness initiatives as “very beneficial.”




Perspectives on Different Viewpoints About Worksite Wellness Initiatives:

Worksite wellness initiatives help
workers develop healthier lifestyles. (n = 5% 56% 40%
400)

Worksite wellness initiatives lower health
care costs. (n = 401) 3% 13% 53% 31%

Worksite wellness initiatives increase
2% 14% 61% 23%
worker productivity. (n = 400)

Worksite wellness initiatives reduce 2% 20% 59% 19%
worker absenteeism. (n = 396)

Worksite wellness initiatives only impact
10% 25% 47% 17%
a limited number of workers. (n = 403)

Worksite wellness initiatives make
employees feel that their privacy is 13% 36% 44% 7%
being intruded upon. (n = 400)

Worksite wellness initiatives do little to
improve overall worker health. 26% 48% 21% 5%
(n = 401)

Strongly Disagree Somewhat Disagree Somewhat Agree Strongly Agree

Note: n = 396 – 403. Percentages may not equal 100% due to rounding.

Does your organization have a worksite wellness initiative?

No
Yes 45%
55%

n = 406


• Organizations with 100 or more employees are more likely than organizations with 1 to 99 employees to offer worksite
wellness initiatives in their organization.

• Organizations with 2,500 or more employees are more likely than organizations with 100 to 499 employees to offer
worksite wellness initiatives in their organization.


100 to 499 employees (52%)
500 to 2,499 employees (63%)
> 1 to 99 employees (27%)
2,500 to 24,999 employees (80%)
25,000 or more employees (90%)

2,500 to 24,999 employees (80%)
> 100 to 499 employees (52%)



• Publicly owned for-profit organizations are more likely than privately owned for-profit and nonprofit organizations to
offer worksite wellness initiatives in their organization.

• Government agencies are more likely than privately owned for-profit and nonprofit organizations to offer worksite
wellness initiatives in their organization.


Nonprofit (53%)

Government (83%) >
Nonprofit (53%)


Approximately what percentage of your organization’s operating
budget would you say is spent on worksite wellness initiatives that are
separate from health insurance coverage?

0% 9%

Less than 10% 76%

10 - 19% 12%

20% or more 3%

Note: n = 168. Only respondents whose organizations offer wellness initiatives were asked this question.

How many years ago was your organization’s worksite wellness initiative
first created?

Less than 1
0%
year

1 year 17%

2 years 18%

3 years 11%

4 years 10%

5 or more
44%
years


To the best of your knowledge, what are your organization’s reasons for
offering a worksite wellness initiative?

To improve the overall health of
employees 92%

To reduce employee health care
costs
85%

To improve employee
53%
productivity

To improve employee morale 52%

To reduce employee
49%
absenteeism

To reduce the costs associated
34%
with disability claims

To attract and recruit employees 26%

Was requested by employees 17%

Worksite wellness initiatives were
part of the existing health plan
16%

To reduce employee turnover
16%
rates

Other 3%

Note: n = 225. Percentages do not equal 100% due to multiple response options. Only respondents whose organizations offer wellness initiatives were
asked this question. Workplace Wellness Initiatives ©SHRM 2012

To the best of your knowledge, what are your organization’s reasons
for offering a worksite wellness initiative?

• Organizations with 2,500 to 24,999 employees are more likely than organizations with 1 to 99 employees to indicate
reducing health care costs as a reason to offer worksite wellness initiatives in their organization.



• Nonprofit organizations and government agencies are more likely than privately owned for-profit organizations to
indicate requested by employees as a reason to offer worksite wellness initiatives in their organization.


Nonprofit (28%)
> Privately owned for-profit (7%)
Government (32%)


Do employees who participate in the worksite wellness initiative receive a
financial incentive?

Yes No
50% 50%


How interested is your organization in expanding or improving your
current worksite wellness initiative in the next one to three years?

Very interested 40%

Somewhat
interested 45%

Not very
12%
interested

Not interested
4%
at all

Note: n = 223. Percentages do not equal 100% due to rounding. Only respondents whose organizations offer wellness initiatives were asked this
question.

How beneficial do you think employees find your organization’s
worksite wellness initiative to be?

Very beneficial 15%

Somewhat
beneficial 76%

Not very
8%
beneficial

Not beneficial
2%
at all

question.

How beneficial do you think employees find your organization’s
worksite wellness initiative to be?

• Organizations with 500 to 2,499 employees are more likely than organizations with 100 to 499 employees to indicate that
their employees find their organization’s worksite wellness initiatives to be very beneficial.


500 to 499 employees (24%) > 100 to 499 employees (5%)


How interested is your organization in developing a worksite wellness
initiative in the next one to three years?

Very interested 27%

Somewhat
interested 42%

Not very 21%
interested

Not interested
10%
at all

Note: n = 179. Only respondents whose organizations do not offer wellness initiatives were asked this question.

How interested is your organization in developing a worksite wellness
initiative in the next one to three years?

• Organizations with 1 to 99 employees are more likely than organizations with 100 to 499 employees to indicate they are
not interested at all in developing a worksite wellness initiative in the next one to three years.




How beneficial would your employees find a worksite wellness initiative
if your organization created one?

Very beneficial 18%

Somewhat
beneficial 65%

Not very
15%
beneficial

Not beneficial
2%
at all

Note: n = 178. Only respondents whose organizations do not offer wellness initiatives were asked this question.


Based on your experience, do you think that worksite wellness initiatives
were effective in . . .

Improving
worker
productivity at
your 52%
organization?
(n = 221)

Reducing your
organization's
health care 52%
costs? (n =
222)

Reducing
worker
absenteeism
47%
at your
organization?
(n = 221)

Note: n = 221 - 222. Only respondents whose organizations offer wellness initiatives were asked this question. Data shown reflect “yes” responses.


Business Strategy


My organization would be interested in creating or expanding a
worksite wellness initiative if:

Health plans offered premium
discounts or rebates for these 3% 6% 35% 56%
initiatives. (n = 402)

We could demonstrate a financial
return on investment for these 1% 8% 37% 54%

The state and federal government
provided tax incentives for these 7% 12% 36% 44%

It would help attract and retain
3% 14% 45% 40%
talented employees. (n = 400)

My employees actively requested
7% 19% 40% 35%
such an initiative. (n = 400)

There was a community initiative
that recognized employers with 7% 25% 46% 22%
healthy workplaces. (n = 400)

Strongly Disagree Somewhat Disagree Somewhat Agree Strongly Agree



• Organizations with 2,500 to 24,999 employees are more likely than organizations with 1 to 99 employees to “strongly
agree” in creating or expanding a worksite wellness initiative if financial return on these initiatives could be
demonstrated.
• Organizations with 500 to 2,499 employees are more likely than organizations with 2,500 to 24,999 employees to
“somewhat disagree” that creating or expanding a worksite wellness initiative would help attract and retain talented
employees.



500 to 2,499 employees (20%) > 2,500 to 24,999 employees (4%)



• Government agencies are more likely than privately owned for-profit organizations to “somewhat agree” in creating or
expanding a worksite wellness initiative if employees actively requested such an initiative.

• Government agencies are more likely than publicly owned for-profit organizations to “somewhat disagree” in creating
or expanding a worksite wellness initiative if state and federal government provided tax incentives for these initiatives.


Government (60%) > Privately owned for-profit (33%)

Government (28%) > Publicly owned for-profit (5%)


Does your organization track the return on investment (ROI) of its
worksite wellness initiatives?

Yes 42%

No 58%


Does your organization track the return on investment (ROI) of its
worksite wellness initiatives?

• Organizations with 500 or more employees are more likely than organizations with 100 to 499 employees to track the
return on investment (ROI) of its worksite wellness initiatives.



• Publicly owned for-profit organizations are more likely than privately owned for-profit and nonprofit organizations to
track the return on investment (ROI) of its worksite wellness initiatives.


Nonprofit (29%)


How important is it to your organization to have a measureable ROI
(return on investment) one to three years from now in order to
determine the value of worksite wellness initiatives?

Very
important 41%

Somewhat
important 43%

Not very
14%
important

Not
important at 1%
all

question.

How important is it to your organization to have a measureable ROI
(return on investment) one to three years from now in order to
determine the value of worksite wellness initiatives?

• Organizations with 500 to 24,999 employees are more likely than organizations with 100 to 499 employees to indicate
having a measurable return on investment (ROI) one to three years from now in order to determine the value of its
worksite wellness initiatives as “very important.”


> 100 to 499 employees (25%)
2,500 to 24,999 employees (50%)


Implementation Issues


Regardless of whether you have a worksite wellness initiative at your
organization or not, what are some of the reasons why organizations
like yours often decide not to offer a worksite wellness initiative?

Percentage

Cost of the initiative (n = 392) 65%

Lack of employee interest/expected low levels of participation (n = 392) 59%

Lack of time (n = 392) 54%

Management does not see the value of it (n = 392) 45%

Employees do not see the value of it (n = 392) 42%

Lacking expertise/staff (n = 392) 39%

Lack of information/resources about how to develop and maintain an initiative (n = 392) 36%

Lack of facilities (n = 392) 35%

Unable to find someone who will champion the initiative (n = 392) 34%

Organization is too small (n = 391) 28%

Would not reduce health insurance costs (n = 392) 26%

High employee turnover (n = 392) 11%

Other (n = 391) 3%

Note: Percentages do not equal 100% due to multiple response options. Workplace Wellness Initiatives ©SHRM 2012


• Organizations with 100 to 499 employees are more likely than organizations with 1 to 99 employees to not offer a
worksite wellness initiative due to the cost of the initiative.



• Organizations with 500 to 2,499 employees are more likely than organizations with 1 to 99 employees to not offer a
worksite wellness initiative because management does not see the value of it.


500 to 2,499 employees (61%) > 1 to 99 employees (35%)

• Organizations with 500 to 2,499 employees are more likely than organizations with 25,000 or more employees to not
offer a worksite wellness initiative due to lack of time.


500 to 2,499 employees (63%) > 25,000 or more employees (29%)

Note: Only statistically significant differences are shown.


Comparisons by organization staff size (continued)
• Organizations with 1 to 99 employees are more likely than organizations with 100 to 24,999 employees to not offer a
worksite wellness initiative because the organization is too small.


1 to 99 employees (48%) > 500 to 2,499 employees (22%)
2,500 to 24,999 employees (14%)

• Nonprofit organizations are more likely than publicly owned for-profit organizations to not offer a worksite wellness
initiative due to lack of time.


Nonprofit (66%) > Publicly owned for-profit (43%)


Which of the following would you consider to be trusted and valued
sources of information about creating or expanding a worksite wellness
initiative for your organization?

Percentage

Business peers or fellow human resource managers 58%

Health care service providers 55%

Worksite wellness vendors and consultants 54%

Health care insurers 48%

State and local health departments 39%

Nonprofit health organizations 37%

Online resources 34%

Business organizations and trade associations 26%

Other 1%

Note: n = 394. Percentages do not equal 100% due to multiple response options.

Which of the following would you consider to be trusted and valued
sources of information about creating or expanding a worksite
wellness initiative for your organization?

• Organizations with 100 to 2,499 employees are more likely than organizations with 1 to 99 employees to consider
worksite wellness vendors and consultants as trusted and valued sources of information when creating or expanding a
worksite wellness initiative.


> 1 to 99 employees (41%)
500 to 2,499 employees (66%)

• Nonprofit organizations are more likely than publicly owned for-profit or privately owned for-profit organizations to
consider nonprofit health organizations as trusted and valued sources of information when creating or expanding a
worksite wellness initiative.


Publicly owned for-profit (32%)
Nonprofit (52%) >


If there was a network in your community for business leaders to learn about
issues related to worksite wellness initiatives and to share information, how
likely is it that someone from your organization would join this network?

Very likely 29%

Somewhat
likely 45%

Somewhat
19%
unlikely

Very
7%
unlikely

n = 393

Role of Government


In your professional opinion, which one of the following best describes
how your organization views the government’s involvement in worksite
wellness initiatives for companies like yours?

The government should not
really change its level of 38%
involvement in helping
create and expand 40%
worksite wellness initiatives

The government should be 15%
less active in helping
create and expand
worksite wellness initiatives 20%

The government should be 47%
more active in helping
create and expand
worksite wellness initiatives 39%

State and Local Government (n = 392) Federal Government (n = 388)


Demographics


Demographics

Approximately what percentage of Approximately what percentage of your
your regular full- and part-time regular full- and part-time employees have
employees are covered under some access to your worksite wellness initiatives?
type of health care plan offered by
your organization? Mean 93%

Mean 78% Median 100%
Median 80% Note: n = 207. Only respondents whose organizations offer
wellness initiatives were asked this question.
Note: n = 356. Only respondents whose organizations
offer health care plans were asked this question.

How many years has your In what region is your organization
organization been in operation? located?
Mean 54 Midwest 34%
Median 35 South 32%
n = 386 West 19%
Northeast 15%
n = 406


Approximately what percentage of your regular full- and part-time
employees are covered under some type of health care plan offered
by your organization?

• Regular full- and part-time employees at publicly owned for-profit organizations are more likely than those at nonprofit
organizations to be covered under some type of health care plan offered by their organization.


Publicly owned for-profit (mean – 83%) > Nonprofit (mean – 73%)


Demographics: Organization Industry

Percentage

Professional, scientific and technical services 17%
Manufacturing 14%
Health care and social assistance 13%
Finance and insurance 8%
Education 6%
Transportation/communication/utilities 5%
Religious, grant-making, civic professional and similar organizations 4%
Retail trade 4%
Accommodation and food services 3%
Administrative and support and waste management and remediation services 3%
Information 3%
Public administration 3%


Demographics: Organization Industry (continued)

Percentage

Transportation and warehousing 3%
Arts, entertainment and recreation 2%
Educational services 2%
Real estate, renting and leasing 2%
Agriculture, forestry, fishing and hunting 1%
Construction 1%
Mining 1%
Repair and maintenance 1%
Wholesale trade 1%
Other 1%


Demographics: Organization Sector

Privately owned for-profit 52%

Nonprofit organization 21%

Publicly owned for-profit 19%

Government agency 7%

Note: n = 406. Percentages do not equal 100% due to rounding.

Demographics: Organization Staff Size

1 to 99 employees 28%

100 to 499 employees 31%

500 to 2,499 employees 15%

2,500 to 24,999 employees 20%

25,000 or more employees 7%

Note: n = 406. Percentages do not equal 100% due to rounding.

Demographics: Other

Does your organization have U.S.-based Is your organization a single-unit organization or
operations (business units) only, or does it a multi-unit organization?
operate multinationally?
Single-unit organization: an
U.S.-based operations only 72% organization in which the location
36%
and the organization are one and the
Multinational operations 28%
same
n = 406
Multi-unit organization: an
organization that has more than one 64%
location
n = 406

What is the HR department/function for For multi-unit organizations, are HR policies and
which responded throughout this practices determined by the multi-unit
survey? headquarters, by each work location or by both?
Corporate (companywide) 67%
Multi-unit headquarters determines HR
52%
Business unit/division 15% policies and practices
Facility/location 18% Each work location determines HR
5%
n = 279 policies and practices
A combination of both the work
location and the multi-unit
43%
headquarters determines HR policies
and practices
n = 279

SHRM Survey Findings: Workplace Wellness Initiatives

In collaboration with and commissioned by Alliance for a
Healthier Minnesota

Survey Methodology
• Response rate = 14%
• 406 HR professional respondents from a randomly selected sample of SHRM’s membership
participated in this survey
• Margin of error +/- 5%
• Survey fielded: June 14 – July 13, 2012

In collaboration with and commissioned by Alliance for a Healthier Minnesota

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