How companies are forecasting health needs with employee data

Companies are working with wellness firms and insurers to mine employee data they hope will help forecast worker health needs and minimize healthcare costs, according to a report from The Wall Street Journal.

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Here are four things to know about the issue.

1. Retailer Walmart, along with other companies, is paying firms like Castlight Healthcare, Jiff or ActiveHealth Management to collect and crunch employee data. This data could include the prescription drugs employees use, how they shop and even whether they vote, according to the report.

2. With this data, companies hope to predict workers’ individual health needs and recommend treatments. For instance, the data could identify workers who are at risk for a specific disease, such as diabetes, and then send these employees personalized messages encouraging them to visit a physician or use weight-loss programs, according to the report. Or, the report notes, firms can identify a person who might be considering costly procedures like spinal surgery, and can send the individual recommendations for a second opinion or physical therapy.

3. According to The Wall Street Journal, when a company hires a firm, it typically gives the firm permission to collect information from insurers and other health companies that work with the client company. Employees are then asked permission for the firm to send them health and wellness information via an app, email or other channels, but can opt out, the report notes.

4. But privacy experts have expressed concerns about the hiring of these firms for this purpose. According to the report, these experts worry that company managers could obtain employees’ health information, even if by accident, and use it to make workplace decisions.

 

More articles on workforce and labor management:

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