When it comes to employee wellness, many mid-sized companies are surprised to learn that onsite employee health centers are a viable option for their business. It’s one of those well-being solutions that seems reserved for big companies with deep pockets.

We get it. Over the last decade, we’ve talked to hundreds of leaders who initially felt this way. They had a similar set of questions, including:

• Costs – What are the initial costs? What about ongoing expenses for staffing or supplies?
• Time and resources – Do we have the time, staff, expertise, or bandwidth? How does the planning, construction, and operation work?  
• Utilization – Will employees use the facility? Will it fully address their health needs?
• ROI – Can we measure the return on investment with hard data and clear metrics?

These questions are understandable, of course, because an onsite employee health center is a significant decision. Yet many mid-sized companies prematurely disqualify themselves from this unique benefit because they don’t know about some of its most important benefits.

3 things you didn’t know about onsite employee health centers

While offering basic health services may seem like a simple perk, the benefits of an onsite clinic go far beyond a simple on-demand clinic.

#1: Onsite employee health centers can increase employee productivity

In simplest terms, an onsite employee health clinic can increase employee productivity by reducing employees' time to take off for doctor's appointments. But it doesn't stop there.

With an onsite clinic, employees also have access to preventive care, screenings, and basic medical services – all of which can help keep them healthier and reduce the number of days they take off for medical appointments. In addition, you can catch injuries and conditions earlier to keep employees healthy and available for work.

According to the "Absenteeism and Presenteeism Cost Calculator" developed by the Integrated Benefits Institute, productivity losses due to healthcare-related absenteeism and presenteeism cost employers an average of $2,650 per year per employee (with some estimates ranging even higher for certain professions).

#2: Onsite employee health centers can increase employee engagement

An onsite employee health center makes it easy for employees to access health services during the workday. Additionally, onsite medical staff can spend more time with your employees and genuinely get to know them. This allows staff to catch issues earlier and better manage chronic conditions better.

Employees who feel they're taken care of by their employer are more likely to be motivated and invested in the company. In fact, a study by Gallup found that highly engaged employees are 21% more productive and have fewer safety incidents and less turnover than disengaged employees.

Relatedly, an onsite clinic is a helpful employee retention tool and magnet in a tight labor market that helps differentiate your employer brand (and contributes to engagement as new employees onboard).

#3: Onsite employee health centers can lead to cost savings

An onsite employee health center can also provide cost savings for the company and the employees. With onsite centers, service costs are generally less than those at an off-site facility. Plus, having access to care onsite may also reduce the need for employees to use expensive emergency rooms for non-emergency care. Additionally, with an onsite clinic, employers can avoid incurring the high costs associated with absenteeism and presenteeism.

These savings add up quickly when you consider that average costs for U.S. employers will increase 6.5 percent to more than $13,800 per employee in 2023, according to Aon.

Is an onsite employee health center for you?

An onsite employee health center provides a wide range of benefits to mid-sized companies beyond the three we’ve covered here. As a result, they’re worth considering for companies looking to improve employee wellness and reduce costs.

You can mitigate most companies' concerns about implementing an onsite health center with thorough research, planning, and implementation. And strategies such as data collection and cost-benefit analysis can help demonstrate the value of an onsite employee health clinic.

If you’re ready to learn whether an onsite employee health center can benefit your company, let’s connect.