Analysis: Four Reasons to Welcome EEOC Wellness Rules

by | Aug 12, 2016 | Business Case

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This post by Cathy Kenworthy, President and CEO of Interactive Health, was originally published in Benefits Pro here. Excerpts:

“Smart businesses know that proactive effort, deliberately and consistently implemented, will lead to results. Recent wellness regulations uphold this basic idea.”

“In our view… the EEOC’s final rules are a strongly positive development, reinforcing the efficacy of well-designed programs and providing clarity to both employers and employees on where the EEOC stands on essential issues such as privacy, incentives and program guidelines. This creates a win-win situation that results in strong workplace wellness programs and healthier workplaces and employees.”

Kenworthy offers four reasons why she feels the rules are highly beneficial to employees:

  1. Clarity: “With the new EEOC regulations in place, companies can feel confident in implementing well-designed wellness programs intended to improve the health of their employees.”
  2. Privacy: “Well-established guidelines on privacy enable employers to alleviate employee fears because they know that their health data is protected by federal government regulations.” She continues that the “level of transparency and the protections in place help provide employees the reassurance they need to feel secure that their private information remains private when they participate in a workplace wellness program.”
  3. Incentives: “The new ruling confirms what was allowed by the Affordable Care Act (ACA): Wellness program incentives are permitted as long as they do not exceed 30 percent of the total cost of employee-only health insurance coverage.” She continues: “The regulations are clear that participation in these programs must be perceived as voluntary, not mandatory, by both employees and regulators alike and validates that a program that offers incentives within the allowable range constitutes a voluntary program. Employers can confidently implement incentives with the assurance that such practices are legal.”
  4. Design: “Workplace wellness programs must demonstrate a reasonable chance of improving the health of, or preventing disease in, participating individuals, based on evidence.” Kenworthy continues: “Comprehensive programs that have a real likelihood to measurably improve health outcomes are the key to reasonable design.”

Written By Laura McKenzie

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