Simply stated, a healthy workforce is good for business. It leads to increased productivity, reduced healthcare costs and less absenteeism. Plus, a healthy workforce boosts morale. Employers who put a focus on the health and well-being make employees feel cared for, which, in turn, encourages employees to put their best foot forward. There are many ways employers can support employees to obtain a healthy lifestyle, such as gym memberships, well-being days off, flexible work hours and incentives to quit smoking. But the doctor and the type of healthcare an employee receives are also factors that play into a healthy workforce.
The healthcare industry is constantly looking for new ways to balance costs with better patient outcomes. Smart employers would do well to care about healthy outcomes, too. A relatively new and promising approach to healthcare that should be on the minds of employers is value-based care.
What is so unique about value-based care? It flips the traditional healthcare payment model on its head. With the traditional fee-for-service model, medical doctors charge for every service they perform. This means they can bill for every test ordered and procedure completed, regardless of whether or not the patient gets better. Essentially, doctors are not incentivized to get their patients healthy because unhealthy patients make them more money. In a value-based care model, doctors get paid for how well they manage their patients’ conditions and overall health. The incentive? To keep their patients well and out of the hospital so they can live a healthy life with minimal interventions.
If the goal is to keep the patient healthy, then value-based-care doctors know this requires spending more time talking with their patients so they can truly understand the patient’s health concerns and lifestyle factors that could worsen their chronic conditions or other health issues. Providers may also want to see a patient more frequently to ensure everyone is staying aligned with a health plan for the best outcome. With traditional fee-for-service models, more frequent and longer appointments result in the patient incurring more costs and still not having the best health outcome.
An example of value-based care is ArchWell Health. This organization that provides primary care services exclusively for adults aged 60 and older opened its first Arizona location in 2022 and has grown exponentially due to the historic lack of quality primary care in Phoenix and Tucson. On average, providers spend more than double the amount of time with their patients, so they can really get to know the patient on a personalized level, and care for their physical health and their well-being overall. Doctors are able to take the time to perform important screening, identify chronic conditions, treat illnesses that keep patients from living active lives, and discuss emotional stressors that affect a healthy lifestyle.
The success of this new method of value-based healthcare mirrors nationwide sentiment from seasoned employees. Studies show that, while the value-based care model works particularly well for older adults who are more likely to have multiple chronic conditions and need assistance navigating the healthcare space, patients of all ages have much to gain from this approach. By avoiding costly ER visits, preventing surgeries through better care, and having doctors committed to catching small health concerns before they become big ones, company costs are not only shared with the provider but are also more predictable. Last but definitely not least, employee satisfaction improves when insurance benefits offered by an employer include an option for value-based care.
There is no doubt, when employers and employees work together for a healthy workspace, it leads to better health outcomes for the employee and a healthier bottom line for the company.
Mitch Messer is the regional growth director for ArchWell Health. At ArchWell Health, Messer works to expand access to quality primary care across Arizona, Nevada and Colorado. Through his leadership, ArchWell Health locations across the West have welcomed tens of thousands of older adults through their doors for a more personalized healthcare experience.
