How to Present the Business Case for Healthcare Quality to Employers
AbstractMany employers in the US are investing in new programmes to improve the quality of medical care and simultaneously shifting more of the healthcare costs to their employees without understanding the implications on the amount and type of care their employees will receive. These seemingly contradictory actions reflect an inability by employers to accurately assess how their health benefit decisions affect their profits. This paper proposes a practical method that employers can use to determine how much they should invest in the health of their workers and to identify the best benefit designs to encourage appropriate healthcare delivery and use. This method could also be of value to employers in other countries who are considering implementing programmes to improve employee health. The method allows a programme that improves workers' health to generate four financial benefits for an employer - reduced medical costs, reduced absences, improved on-the-job productivity, and reduced turnover - and uses accurate estimates of the benefits of reducing absences and improving productivity.
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Bibliographic InfoArticle provided by Springer Healthcare | Adis in its journal Applied Health Economics and Health Policy.
Volume (Year): 4 (2005)
Issue (Month): 4 ()
Contact details of provider:
Web page: http://healtheconomics.adisonline.com/
Health-economics; Indirect-costs; Workplace;
Find related papers by JEL classification:
- C - Mathematical and Quantitative Methods
- D - Microeconomics
- I - Health, Education, and Welfare
- Z - Other Special Topics
- I1 - Health, Education, and Welfare - - Health
- I19 - Health, Education, and Welfare - - Health - - - Other
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
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- Baicker, Katherine & Cutler, David M. & Song, Zirui, 2010. "Workplace Wellness Programs Can Generate Savings," Scholarly Articles 5345879, Harvard University Department of Economics.
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