Exploring the Cost-Effectiveness of Onsite Clinics in the Workplace
Onsite clinics offer employees convenient access to primary care and preventive services. They also help manage chronic health conditions and minimize employee absences and productivity loss.
However, the onsite clinics studied in this study were often far from participants' work sites and only operated during business hours. These factors may decrease employees' satisfaction with their onsite clinics.
Cost-Effectiveness
Onsite clinics are an excellent way for companies to cut healthcare costs while showing employees that they value their health and wellness. These clinics can save on ER and urgent care visits, copays, and lost productivity and minimize absenteeism, turnover, and medical costs associated with sick days and disability leave.
Moreover, onsite clinics can help self-insured companies control their healthcare spend by limiting the number of outside specialists referred to their employees. This can significantly reduce their pass-through costs, which may be high in traditional onsite clinic pricing models. Onsite clinics focused on primary care, like those provided by Eden Health, can help foster strong relationships between employees and doctors. This makes it easier for doctors to understand employees' health histories and medical concerns.
In the focus groups, participants suggested that onsite clinics should improve their communication and outreach to employees, including providing information about the range of services offered, hours of operation, reservation methods, and medical staff. This is important to avoid negative preconceptions about the clinic and encourage employee trust.
Onsite clinics can be a great investment for your company, especially if you choose the right provider to run them. Ensure your provider offers comprehensive services like general medical consultations, vaccinations, and screenings. It would help if you also look for certifications and accreditations that signify quality healthcare for your employees.
Preventive Care
Onsite clinics provide employees access to preventive services. These include health education, screenings, and immunizations that reduce the likelihood of illness. These services are often cheaper and more effective than treating illness after it occurs. This can save companies tens of thousands of dollars in healthcare costs and lost productivity.
Another way that onsite clinics help to save money is by lowering insurance premiums. This is due to some factors, including reduced insurance claims, preventing disease, and catching illnesses early on. Ultimately, this results in significant savings for self-funded employers.
Additionally, onsite clinics can be a great way to save money by reducing the number of workdays missed due to illness. According to a recent study by Mercer, an employer-sponsored clinic can reduce the number of days missed by employees due to health-related issues by up to 63%.
Moreover, a company that offers an onsite clinic can also track employee utilization of services in real time. This data gives the company a clear understanding of allocating funds, allowing them to reallocate resources if needed. Additionally, a company can use its onsite clinic as a recruiting tool for candidates who can benefit from the additional workplace wellness services offered. This can help drive new hires and boost overall productivity. Lastly, an onsite health clinic can minimize turnover rates and slash hiring costs.
Managing Chronic Conditions
For companies that have employees with chronic conditions, onsite clinics can help manage the symptoms of these ailments and minimize absenteeism. This helps to reduce the cost of healthcare expenses while boosting productivity and morale in the workplace.
However, implementing an onsite clinic can be expensive. In addition to the initial investment in building and staffing the clinic, other costs include equipment and supplies. Therefore, it's important to do a thorough analysis and budget for the facility and the clinic's operation before making a final decision.
When selecting an onsite health clinic provider, ensure that the provider offers a collaborative approach to ensure comprehensive and coordinated care. Also, look for a physician-led model rather than a nurse-practitioner model. While NPs provide valuable services, physicians have a much wider scope of practice. They can more effectively treat various medical issues, including managing chronic diseases such as diabetes or high blood pressure.
Moreover, some participants mentioned that they felt psychologically burdened by the fact that their medical information may be shared with their colleagues in an onsite clinic. This opinion was expressed more frequently by shift workers. It's important to address this concern by ensuring the privacy of employee information in an onsite clinic. Additionally, the clinic's location should be chosen so that it isn't in an area visible to colleagues.
Boosting Productivity
Onsite clinics are an effective way for employers to reduce medical costs while increasing employee health and productivity. By providing quick, easy access to primary healthcare services at low cost, employees are more likely to seek routine medical care and preventive screenings, thereby minimizing the use of expensive emergency room visits and unnecessary hospitalizations.
Moreover, when clinics are located close to work, employees are more likely to make routine appointments, thus avoiding absenteeism and reducing the need for costly sick days. Additionally, onsite clinics can provide important services like ergonomic assessments and balance and movement testing, which can help reduce physical stress and improve workplace safety.
Although participants in the focus group interviews perceived onsite clinics as a valuable healthcare resource, there are areas for improvement. For example, most interviewees believed that more consistent communication of onsite clinic management and medical staff activities would help to remove negative preconceptions and enhance overall trust in the service.
As the healthcare industry continues to experience cost increases and a shortage of qualified providers, companies need innovative strategies to control healthcare expenses and support employee health. Onsite clinics offer a solution that can be tailored to the specific needs of each company and its workforce, resulting in significant savings and improved employee health and well-being.