Monday, May 19, 2014

Pepsi Experiences the Latest Wellness Failure

Note that the "wellness" program lost them money but disease management proved to generate a savings.  The below is taken in its entirety from Dr. John C. Goodman's Health Policy Blog.  It was written by Linda Gorman: 
PepsiCo is the latest large employer to report that its wellness program has a negative return on investment, returning $0.48 for every dollar invested. 
A voluntary program to help people manage actual diseases returned $3.78 per dollar invested. 
The authors note that the results likely overstate the return on investment because they did not include the cost of program staff or the cost of employee time. 
Beginning this year, ObamaCare requires that the government spend $200 million on wellness grants for small businesses that did not have a program in place when the law passed in 2010.