New Research on Corporate Wellness Programs: Do They Work?

More employers are launching wellness programs to encourge healthy behaviors among their workers and control health care spending. But can these initiatives deliver on their promise?

In the new issue of Health Affairs, Commonwealth Fund–supported researchers led by Gautam Gowrisankaran, Ph.D., report on their study of one wellness program begun in 2005 by a St. Louis hospital system. Their findings show a substantial decrease in hospitalizations for targeted conditions, but they also reveal that the associated cost-savings were counterbalanced by increased spending for prescription drugs and outpatient care, not to mention the costs of the program and incentives themselves. At least in the short term, it appears that while wellness programs may improve employee health and productivity, they're unlikely to lead to substantial reductions in health care spending.

This research is important to learn from as employers move more toward an approach of population health management.  In addition, it remains to be seen whether the new stronger ACA incentives for health-contingent wellness programs have the potential to show substantial reductions in health care spending.