How Wisconsin's smoke-free law can help your company
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How Wisconsin's smoke-free law can help your company



How Wisconsin's smoke-free law can help your company reduce costs, increase productivity and improve health.

How Wisconsin's smoke-free law can help your company reduce costs, increase productivity and improve health.



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How Wisconsin's smoke-free law can help your company How Wisconsin's smoke-free law can help your company Presentation Transcript

  • How Wisconsin’s smoke-free law can help your company reduce costs, increase productivity and improve health Brian D. Harrison, MD
  • Is your company culture finally ready to rise from the ashes?
  • Complying with the law is simple but don’t stop there!
    • Add language to HR Policies
    • Place signs
    • Inform all employees
    • Give supervisors guidelines for
      • Policy implementation
      • Conflict resolution
      • Referral
  • Here’s the burden your organization has borne:
    • Excess medical costs
      • Employees
        • Who smoke
        • Who breath ETS
      • Dependents
        • Who smoke
        • Who breath ETS
  • And you’ve been paying for:
    • Productivity loss
      • Absence
      • Presenteeism
    • Damage to facilities
      • Smoke
      • Fire risk
  • Cost of smoking to employer
    • $3,391 per smoker per year total (CDC, MMWR 2002;51(14):300-303)
    • Average PMPM health insurance cost (ACS, 2004)
      • Smoker $1,145
      • Nonsmoker $762
  • Tobacco-related excess medical costs adding to the claims you pay
        • Excess equals 10-25% of annual claims depending on your prevalence (Source: Javitz et al, "Financial burden of tobacco Use: an employer's perspective", Clinics in Occ & Env Med , 2006, 5(1) 9-21)
  • Tobacco-related excess absence costs Adding to your cost of doing business
        • Estimate three days excess absence per tobacco user
        • To monetize, multiply the total excess by the average daily wage of your company
  • Tobacco related lost productive time while at work Wasted wages
        • Smoking rituals: 1% of wages paid to the percent who smoke. Estimate as total employee wages x 0.01 x smoking prevalence
        • Presenteeism: 2.5% of wages paid to the percent who smoke. Estimate as total employee wages x 0.025 x smoking prevalence
        • Together, 3.5% of wages of smokers
  • “ Our corporate tobacco burden” By typical 1,000 employee work organization
    • Prevalence: 20% of employees
      • 200 employees in our 1000 person workforce
    • Excess medical costs: 15% of total
      • $450,000 of our annual $3 million health plan cost
    • Excess absence costs: 3 extra days per smoker year
      • 3 days x $120/day average wage x 200 smokers = $72,000
    • Excess lost productive time from rituals (1%) and presenteeism (2.5%) of the wages paid to smokers (3.5% total):
      • $28,800 ave. annual wage x 200 smokers x 3.5% = $201,600
    • TOTAL = $723,600 PER YEAR
  • Now, the opportunity: benefits of smoke-free workplaces
    • Employer wins with:
      • Cigarette consumption dropping 29%!
        • 15% of smokers quit- the rest smoke 12% less (Glantz, 2004)
      • Reduced impact of ETS on non-smokers
      • Lower medical costs- higher productivity as smokers quit or smoke less
      • Maintenance costs decline, fire risk decreases
  • Benefits of smoke-free workplaces
    • Employee wins with:
      • Clear, consistent policy
      • Safe, healthy environment
      • Accommodation of ETS-sensitive health problems
      • Support for smokers who are trying to quit
  • Smoke-free workplace meets the needs of different types of people
    • Contemplative smokers: supportive workplace
    • Pre-contemplative smokers: motivation
    • Former smokers: relapse prevention
    • Nonsmokers: ETS protection
  • Why hadn’t it happened already?
    • Employees have wanted it
      • 90% of nonsmokers
      • 40% of smokers (about the same number as will make a quit attempt within the year)
    • Unions usually agree or are neutral
    • Customers have looked for it
    • But the culture wasn’t ready for it
  • Now We Have a SMOKE FREE WORKPLACE LAW You Need Tobacco Free Company Cult ure
  • Incorrect corporate culture regarding tobacco use
    • It’s a personal right, an individual choice
    • It’s cool and sophisticated and shows independent thinking
    • “ All things in moderation.” The best of both worlds is to smoke now and then
    • It’s a normal part of growing up and is a rite of passage
    • Tobacco helps socializing, recreation, work breaks and enjoying life in general
    • Tobacco is part of some people’s identity
    • Taxes paid by tobacco users support society
  • Reality-based corporate culture
    • Every member of this organization is an important and valuable human being; there are no disposable people
    • Ours is a healthy work organization, committed to the safety, health and well-being of each of us individually and all of us together
    • Tobacco use is an unhealthy addiction, promoted by those who stand to gain financially from it
    • Every tobacco user in our organization is a valued and honored member, whom we all support—We will assist them when and if they choose to free themselves from tobacco
  • Reality-based corporate culture continued…
    • Every ex-tobacco user in our organization is a Tobacco Free Hero, and an essential mentor and role model for others
    • No one wants their children to become tobacco users; the need to be at work cannot be allowed to subtract from that obligation
  • But, the smoke-free law won’t fix:
    • Smoking at entrances
    • Smoking underneath company sign
    • Smoking in cars in company parking lot
    • Smokeless and spit tobacco use
      • On company grounds
      • In company vehicles
      • Indoors
    • Electronic cigarettes
  • The smoke-free workplace law may not help:
    • Tobacco-using employees who cannot stop or who relapse
    • Non-smoking employees exposed to ETS at home from family members who smoke
    • Family members who cannot quit
    • Non-smoking family members exposed to ETS at home from employee who still smokes
    • Children who remain at risk for:
      • ETS related health effects
      • Initiation of tobacco use
  • Prepare to be confronted by users of the electronic cigarette
  • So why ban e-cigarettes? Not intended for use in smoking cessation or for any Therapeutic use
  • Sample tobacco policy
    • "Because the tobacco-free policy is intended to promote our culture of health and safety, non-therapeutic nicotine delivery devices and products are not allowed on the premises. Only nicotine products that have FDA approval for treatment of tobacco addiction may be used."
  • Fewer people still smoke, but those who do are more likely to be heavy smokers
  • Will you be paying me later? Corporate tobacco targets your future employees!
    • 80% of adult smokers start before they enter the workforce
    • Every day, 4,000 children under 18 try their first cigarette
      • Half will become daily smokers (2,000)
      • Half of them won’t be able to quit (1,000)
      • Half of those will eventually develop a chronic smoking related illness (500)
      • Employer-purchased health care will pay for most of the cost of that illness (64.1%, US Census 2001 )
  • What are your kids watching in movies?
    • Tobacco use occurs frequently, but it takes up little screen time
      • Removing it would affect only 5% of the movie
    • Cigarette brands appear often
      • Increasingly endorsed by actors
      • The most highly advertised brands account for most brand appearances (advertising motive)
  • The problem
    • Smoking in the movies can more than triple the rate of smoking among adolescents
    • Responsible for 52% of starters
      • After controlling for parent and sibling smoking, age, gender, etc.
      • Stronger effect than cigarette advertising
    • 1,070 kids start a day as a result of smoking in movies
      • 340 will die prematurely as a resu lt.
  • Medical savings in < 1 year after tobacco cessation
      • TAKE all maternal and newborn costs (to 6 months)
      • TIMES estimated smoking prevalence (such as 20%)
      • TIMES proportion reduced by smoking cessation which is 21%
      • This is the potential savings, or “opportunity” in the first year
  • Medical savings in 2-10 years of tobacco cessation
    • TAKE total health care costs
      • TIMES tobacco-related proportion, which is:
        • 10% if prevalence is low (say, less than 15% of employees) OR
        • 10-25% if prevalence is high (say, 15-30%)
      • Because this takes about 10 years to be abolished, figure about 10% decline per year
        • This is the potential annual savings, or “opportunity”
  • Absenteeism savings after tobacco cessation
        • Modifiable in 1-2 ½ years:
          • 25% of excess is reduced
        • Modifiable in 2 ½ - 5 years:
          • 75% of excess has been reduced
        • In either case, reduction of excess absence happens more rapidly in women than men
        • This is the potential annual savings, or “opportunity”
  • Productivity Savings After Tobacco Cessation
    • Time lost due to rituals: modifiable immediately after tobacco cessation
    • Time lost due to presenteeism: improves at same rate as absenteeism (gradually over 5 years)
  • This won’t happen if you have:
    • A company culture of tobacco acceptance
    • A company culture that doesn’t tell employees you value them and their families
  • Affinity Occupational Health can help
    • For more information on setting up a tobacco-free environment at your company, contact Affinity Occupational Health, 1-800-541-0351