Employers are sick of rising health care costs, but that doesn't mean they are not willing to put a few bucks toward employee-wellness programs.
In 2018, roughly one-fourth of employers surveyed by the Society for Human Resource Management provided on-site access to an employee fitness center or subsidies for off-site health club memberships. In a different survey last year, the Kaiser Family Foundation found that more than half of employers offered a wellness program of some sort.
Those employers are now part of the target audience at Wellbeats, a St. Louis Park-based producer of fitness videos that for years has been selling its content into health clubs and military bases. Employers became a new focus for the company in 2018, when Wellbeats also started dabbling in the competitive retail market where individuals buy access to online fitness classes through a smartphone app.
At a cost that starts at $1 per employee per month, employers can license fitness content through the Wellbeats app, making on-demand classes available to workers for individual use on computers, tablets and smartphones as well as in group sessions at the office.
"We know that consumers are spending a lot of money on virtual on-demand fitness," said Jason Von Bank, chief executive at Wellbeats. "We know that employees want it … yet less than 1 percent of employers offer it."
David Martin, a longtime employee-benefits specialist in the Twin Cities, said he could see employers willing to give virtual fitness a try.
"Through trial and error, you determine which ones become widely adopted," Martin said, "and which ones go by the wayside."
Wellness programs don't necessarily justify themselves in terms of a hard return-on-investment calculation, Martin said, adding that the motivation is more about "value-on-investment" goals such as happier employees. Those softer measures can be particularly important, he added, in a tight labor market.