NEW YORK, April 10, 2006 (PRIMEZONE) -- Nearly one in five executives say the health status of their workforce has improved over the past two years, and among these, a majority has offered employee programs or incentives for a healthy lifestyle, and provided information on quality of healthcare. While the concept of providing healthcare quality information is relatively new and there may be opportunities for improvement in both the data and its packaging, many see it as a win-win. These findings are from a survey of 135 top executives at large U.S.-based multinational companies, released today by PricewaterhouseCoopers' Management Barometer and the firm's Health Research Institute.
Executives see a link between company health benefit plan, employee health, and workforce productivity. Two thirds (65 percent) of senior executives believe that the design of their company's healthcare benefit plan has a connection to the overall health status of their employees-- including 22 percent who see a great connection, and 43 percent a partial one. Only 10 percent believe there is no connection.
Moreover, 76 percent see a link between their employees' health status and their productivity-- including 42 percent seeing "a great deal" of linkage, and 34 percent "some" linkage. Only four percent see no connection. The majority (59 percent) say that the health status of their workforce has stayed about the same over the past two years. However, 18 percent believe it has improved, while nine percent feel it has declined. The remaining 14 percent is largely uncertain.
"Because these executives see a connection between their company health benefit plan, employee health, and workforce productivity, they have a vested interest in maintaining and improving employee health," said Michael Thompson, Global Human Resource Solutions partner with PricewaterhouseCoopers. "There also may be a connection between providing healthcare information and improved workforce health."
Most large companies give workers choices within their healthcare plan, with some offering newer benefits like wellness programs and healthcare quality data. Eighty-two percent of surveyed companies offer their employees choices in their healthcare plan. Of these, 98 percent provide cost and coverage options; 64 percent health savings accounts, and 54 percent a selection of insurance companies. Twenty-two percent expect to give more choices over the next 12 months.
-- 64 percent of surveyed companies currently offer their employees
programs and incentives for improving their health and wellbeing.
But only 19 percent of these describe these programs as strong or
above-average.
-- 39 percent provide healthcare data to employees, but among these
only 36 percent measure employee satisfaction with the data.
Cost remains the top priority in designing the corporate employee healthcare plan, but one in four executives also gives high priority to data about quality of care. Eighty-six percent of surveyed executives say that cost is a top priority in designing their company's healthcare plan-- including 53 percent who say cost is their highest priority.
Next in importance is quality of service for employee claims, cited by 67 percent, including 25 percent who give this attribute their highest rating. Twenty-three percent say availability of data about healthcare quality, a relatively new benefit, is a high priority.
"Health plans have recognized the importance of providing transparency around the quality and relative cost of their provider network. Better health outcomes can be achieved if patients are motivated and educated to seek out the highest-quality, most-efficient providers of care," said Mary Ann Shea, Health Industry Payer partner with PricewaterhouseCoopers. "The challenge is to provide credible data in a manner that is meaningful to the average consumer."
Sources of healthcare quality data are varied. Most companies (68 percent) receive data on healthcare quality from health plans-- including 34 percent who describe the data as being of "high quality." Their number-two source is recommendations from others-- cited by 54 percent-- including 23 percent who describe the data as "high quality."
Quality Ratings
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Sources of Quality Data Use High Low
----------------------- --- ---- ---
-- Health plans 68% 34% 10%
-- Recommendations from others 54% 23% 12%
-- Hospital/physician groups 52% 15% 16%
-- Healthcare associations 50% 15% 13%
-- Business coalition groups 42% 8% 17%
-- Government 37% 4% 13%
Creditable source of healthcare quality data needed. The automotive industry is rated highest in terms of providing good quality data to help consumers make sound decisions. In contrast, healthcare was rated lowest among five industries by survey respondents.
Good Quality Data
-----------------
-- Auto industry 56%
-- Colleges/universities 53%
-- Consumer electronics 47%
-- Hotels/restaurants 37%
-- Healthcare 33%
"Considering the potential life-or-death importance of decisions that could be made from healthcare quality data, this is a front-and-center issue for hospitals," said Bill Luallen, Health Industry Provider partner with PricewaterhouseCoopers. "If new cars, colleges, and consumer electronics can provide useful data, the healthcare industry may see an opportunity here, and rise to the occasion."
PricewaterhouseCoopers' Management Barometer is a quarterly survey of top executives in a cross-section of large, multinational businesses. The survey is developed and compiled with assistance from the opinion and economic research firm of BSI Global Research, Inc. Additional information is available from Pete Collins, survey director and publisher, at 646-471-4496, or pete.collins@us.pwc.com.
About the PricewaterhouseCoopers Health Research Institute
PricewaterhouseCoopers Health Research Institute (www.pwc.com/hri) provides new intelligence, perspective and analysis on trends affecting all health-related industries, including healthcare providers, pharmaceuticals, health and life sciences and payers. The Institute is part of PricewaterhouseCoopers' larger initiative for the health-related industries that brings together expertise and allows collaboration across all sectors in the health continuum.
About PricewaterhouseCoopers LLP
PricewaterhouseCoopers (www.pwc.com) provides industry-focused assurance, tax and advisory services for public and private clients. More than 120,000 people in 139 countries connect their thinking, experience and solutions to build public trust and enhance value for clients and their stakeholders.
"PricewaterhouseCoopers" refers to the network of member firms of PricewaterhouseCoopers International Limited, each of which is a separate and independent legal entity.
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