Benjamin Franklin famously said, “an ounce of prevention is worth a pound of cure.” With an 8.2% increase in U.S. healthcare costs in 2024 and additional growth projected for the coming years, that wisdom has never been more relevant. Employers continue to face the challenge of balancing the rising cost of care with the need to support a healthy, productive workforce. With one-third of large employers and 16% of mid-sized employers now offering a worksite clinic solution, this benefit is one of the most effective strategies to meet the need for preventive care.
The Rising Cost of Care
According to the most recent national projections, healthcare spending is expected to increase at an average annual rate of 5.6% between 2024 and 2033, reaching nearly one-fifth of the U.S. economy. For employers, this translates into higher insurance premiums, greater out-of-pocket costs for employees, and increased pressure to control spending. Without intervention, much of these costs are driven by chronic conditions such as diabetes, hypertension, and cardiovascular disease.
The Value of Early Intervention
Preventive care shifts the focus from treatment to proactive management. Regular screenings, biometric assessments, and wellness visits identify health risks before they escalate into costly conditions. For example, the Centers for Disease Control and Prevention notes that workplace wellness programs focusing on early detection and risk reduction have been shown to lower long-term medical costs and absenteeism.
Studies also highlight the financial benefits. Baicker, Cutler, and Song found that for every dollar invested in workplace wellness programs, medical costs fall by about $3.27 and absenteeism costs fall by about $2.73, contributing to a positive return on investment. While individual results vary, these findings underscore the potential impact when preventive care is integrated into organizational strategy.
Workplace Clinics as a Strategic Solution
Onsite or near-site clinics are uniquely positioned to deliver preventive services in ways that are convenient and cost-effective. Employees are more likely to engage with healthcare when it is accessible, affordable, and embedded in their daily environment. By removing barriers such as time off work and high copays, workplace clinics encourage regular visits that build long-term health outcomes.
The benefits extend beyond cost savings. Preventive care also supports higher employee satisfaction, reduced stress, and increased productivity. Over time, these outcomes contribute to a healthier workplace culture that is better equipped to manage rising healthcare costs without sacrificing employee well-being.
In today’s climate of rising expenditures, prevention is not just a healthcare strategy, it is a business strategy. By leveraging the resources of workplace clinics, employers can reduce long-term costs while helping employees stay healthier and more engaged.
References:
Baicker, K., Cutler, D., & Song, Z. (2010). Workplace wellness programs can generate savings. Health Affairs, 29(2), 304–311. https://doi.org/10.1377/hlthaff.2009.0626
Centers for Disease Control and Prevention. (2024, July 15). Workplace health model. Centers for Disease Control and Prevention. https://www.cdc.gov/workplace-health-promotion/php/model/index.html
Keehan, S. P., Madison, A. J., Poisal, J. A., Cuckler, G. A., Smith, S. D., Sisko, A. M., Fiore, J. A., & Rennie, K. E. (2025, June 25). National health expenditure projections, 2024–33: Despite insurance coverage declines, health to grow as share of GDP. Health Affairs. https://www.healthaffairs.org/doi/10.1377/hlthaff.2025.00545
Mercer. (2021). Worksite Health Center. Worksite health center. https://www.mercer.com/en-us/solutions/health-and-benefits/employee-benefits-strategy-and-consulting/worksite-health-center/
