The information stated below comes from the U.S. Surgeon General's Report, 'Physical Activity and Health', which is a compilation of 30 years of US research chronicling the benefits of regular exercise, and the harmful effects of sedentary living. The Surgeon General stated that: 70% of all illnesses are due to lifestyle related causes; in fact one-half of all medical costs are attributable to illnesses that could be prevented.

Clearly, there's a need for corporations to help employees establish a healthy lifestyle. Fortunately, more and more companies are implementing corporate fitness and wellness programs. Healthier employees positively impact companies in every respect:

• Lower health costs
• Lower employee turnover rate
• Improved productivity
• Improved employee morale
• Fewer medical claims
• Reduced absenteeism
  = Positive returns on investment

An improvement in any of these areas will have a positive impact on the financial status of the organisation. The statistics suggest that companies can save hundreds of thousands of pounds simply by investing in their employees' health.. And the end result is a WIN/WIN situation for both employer and employee.

After creating a wellness program with incentives targeting health-promotion activities, the City of Glendale, Arizona, managed to reduce employee absenteeism and the number of workplace accidents by 50%. It did this during the same period that its work force tripled in number.

Personnel Journal, Feb 1992. (1)

A recent study by American Sports Data found that on average exercisers were absent from work only 2.11 days per year compared to 3.06 days for inactive individuals.

• Coors: saved $2.3m in lost wages due to absenteeism.
  Business & Health, Nov 1992(1)
• Johnson & Johnson: watched its absenteeism rate fall by 15% within 2 years of introducing its corporate fitness program.
  After 3 years hospital costs for the firm had fallen by 34%.
  Human Resources Executive, April 1993. (1)
• Northern Gas Company: employees who participate in the company corporate exercise program use 80% fewer sick days than non-exercising employees.
  Health Promotion and Education Programs, Riverside Occupation Health Services, 1991(1)

Although not as easy to measure as a reduction in healthcare costs improved employee productivity can have a considerable impact on an organisation and its profitability. Corporate fitness programs tend to improve overall morale, as participating employees feel better about both themselves and their company. Such programs lead to a more energetic, positive and productive workplace.

• Packaging Corporation of America: created a 3,500 square foot fitness centre; consequently 78% of its employees feel that the company cares about their health and well being.
  Sales &Marketing Management, June 1995. (1)
• Saatchi & Saatchi: revealed that 63% of employees enrolled in the company fitness program believed that it improved their productivity; 75% said that it boosted their morale.
  Good Health Good Business, Johnson & Johnson, Second Quarter; 1990. (1)

Because of financial concerns, companies often struggle with the decision to invest in a fitness program. But no decision-maker would deny that "one has to spend money to make money". Once the initial investment is made the program will immediately begin paying for itself.

• Bank of America: realised a $6 return for every $1 spent on its health promotion program.
  American Journal of Health Promotion, 1993. (1)
• PEPSICO: found that its corporate fitness program produced a 300% return on investment - that is $3 for every $1 invested.
  The Economic Impact of Employee Health and Fitness, Fitness Systems, 1990. (1)

Healthy employees are happy employees and happy workers almost always turn out to be faithful, long-term employees. So the healthier and happier the work force, the less a company has to spend on hiring and training new personnel.

• Toronto Life Assurance: found that employee turnover was substantially lower for fitness program participants than for non-participants i.e., 1.5% versus 15%.
  Economic Benefits of enhanced Fitness, Roy Shepherd, 1986(1)
  
• Tenneco: found that employees who participated in its corporate fitness program were 13% less likely to leave the company than those who did not.
  Business & Health, Kathleen Doherty, Feb 1989. (1)

The most obvious benefit of a corporate fitness program is that it allows companies to reduce their overall healthcare costs, in part by reducing the total number of medical claims that they have to field each year.

• A 1992 analysis of the employees of G.E. AIRCRAFT indicated that medical claims submitted by the company's fitness centre members decreased by 27%, while claims made by non-members actually rose by 17%.
  Worksite Health Promotion Economics, 1995. (1)
• The City of Birmingham, Alabama, was able to keep its healthcare costs 21% below the state average over a five-year period as a result of a comprehensive health promotion program.
  BNA Pension & Benefits Reporter; 1994 (1)

(1) IHRSA (International Health, Racquet & Sportsclub Association), The Economic Benefits of Regular Exercise, 1996

Health/Fitness Enhancement Program - a selection of suggested services

• Initial Health Assessment
• One Hour Seminar on Benefits and Types of Exercise
• One Hour Seminar on Healthy Eating Programs
• Re-evaluation every 6-8 weeks
• Construct and demonstrate initial exercise programs
• Personal one-on-one training sessions

For a more detailed explanation of these services click here