Wegmans showers workers with health perks
While the Northeast supermarket chain is cutting benefits ahead of Obamacare, it's also putting cash into clinics and classes for all employees.
That's the situation Northeast supermarket chain Wegmans found itself in when it announced earlier this year that it would cut the health care benefits of part-time workers starting in 2015. It currently offers coverage to all workers employed for 20 hours a week or more.
While it's been noted by The Buffalo News that Wegmans employees might be better off under Obamacare, given the subsidies included therein, Wegmans is trying to make it abundantly clear that the health of its employees is a lot more than a line item. The Huffington Post made the case for the chain by sharing the story of an employee who lost 35 pounds, thanks to Wegmans' blood screening and fitness programs.
It also detailed efforts by chief executive Danny Wegman to funnel some of the company's $6.6 billion in sales toward blood pressure tests, nutrition coaching and on-site yoga and Zumba classes. That's not just for folks up the the corporate suites but for each of the company's 45,000 workers, right down to the checkout clerks.
Wegmans says it has been a worthwhile investment. It told Supermarket News that the share of its workers with high blood pressure has dropped from 24% to 14% since 2008. Wegmans saw a similar drop in the share of its workers with a high body mass index, a measure of body fat, during the same period.
For the company, it's an equal investment in both its workers and its brand. According to a 2010 Harvard University study, every dollar spent on wellness programs earns companies $3.27 on average. Another Harvard study found that such programs keep workers from switching companies.
They also bring some consistency to the Wegmans brand, which includes an in-house label replete with high-fiber and high-calcium products targeted at health-conscious consumers and a corporate policy that banned tobacco products from stores in 2008.
Wegmans may be joining Wendy's (WEN), Papa John's (PZZA), Denny's (DENN) and others in cutting part-timers' benefits, but it's going to great lengths not to have its views toward worker health lumped in with those of the fast-food folks. In Wegmans' view, it's not ducking a problem but offering a solution.
wherein labor is viewed as an asset, rather than a liability.
Its the only type of capitalism which will survive going forward
instead of the type which will ultimately devour itself.
Wegmans has always been known as a great employer.
They seem to care about the community, their customers, and employees.
Three cheers for this business model. People respect the way they do business and as a result they go to Wegmans and the bottom line takes care of itself.
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[BRIEFING.COM] The stock market finished an upbeat week on a mixed note. The S&P 500 added just over a point, holding its weekly gain at 1.0% while the Nasdaq lost 0.4%.
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The solid report comes a month after the retailer closed all of its Canadian operations.
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