NCPA - National Center for Policy Analysis

Large Employers Look to On-Site Health Clinics to Reduce Costs and Absenteeism

October 24, 2012

On-site health care clinics are becoming a popular avenue for employers to reduce health care costs and boost employee productivity. These facilities are being established by firms across all sectors to offer everything from urgent and primary care to biometric screenings to chronic disease management, says the Washington Post.

  • Currently, 8 percent of employers across the country have such clinics.
  • But among big companies, about 46 percent have on-site clinics.
  • At one company, Discovery Communications, about 85 percent of the workforce visits the on-site clinic.
  • As a result, Discovery Communications estimates that it will save $2.2 million.

Big businesses can afford to have an on-site clinic because the large number of employees means that there will be enough patients to justify the costs. Some even offer a surprising number of services. Discovery Communications, for example, provides services that range from Pap smears to weight management programs to infertility counseling.

The increase in millions of insured Americans under the Affordable Care Act may expand interest in employer-sponsored clinics. Insuring millions of people is likely to strain the health care system and lead to increased waiting times for patients to see doctors. Employers would be willing to alleviate that pressure to get quicker care for their workers so that they can be healthy sooner.

Source: "Large Employers Look to On-Site Health Clinics to Reduce Costs and Absenteeism," Washington Post, October 21, 2012.


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