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Senators Introduce Measure to Encourage Workplace Wellness
Programs
Today Senators Tom Harkin (D-IA) and Gordon
Smith (R-OR) introduced the Healthy Workforce Act, which would offer a tax
credit to businesses which have comprehensive employee wellness
programs. The measure, which
will credit up to $200 per employee for the first 200 employees, and up to
$100 per employee thereafter, is designed to address the proliferation of
chronic diseases that stem from obesity and other unhealthy lifestyles in
working Americans. Senator
Harkin’s press release on the bill notes that obesity costs employers some
$33 billion in annual health care and other indirect
costs.
Companies would be eligible for the tax credit
by establishing programs that raise health awareness among employees,
encourage employee behavioral changes, and prompt employee participation
through an incentive. Under
the Harkin/Smith proposal, employers which establish qualified programs
would be eligible to receive a tax credit for 10 years.
Senator Harkin noted that some U.S. companies spend half or
more of their profits on employee health costs, and this figure is growing
as chronic diseases proliferate.
Employer health care costs have risen by more than 70 percent since
2000, he said, making workplace wellness a national priority.
It is estimated that workplace wellness programs can save
employers $30 to $200 per employee.
The Healthy Workforce Act has been submitted to the Congressional
Budget Office, but has not been scored yet. To view Senator Harkin’s press release on the announcement
of the introduction of the Healthy Workforce Act click here.
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