Moving together towards health goals in the workplace



Who is accountable for the worrying state of health here in the UAE, particularly when we’re talking about non-communicable diseases such as heart disease, obesity and diabetes? And what role does the employee play in all of this?

Since many of these diseases can be either prevented (or certainly reduced in their prevalence), it is easy to start pointing fingers.

With about half of all UAE residents overweight, related conditions such as diabetes and cancer have become increasingly frequent. Heart disease in the UAE strikes on an average of 20 years earlier in life than in the rest of the world. One in five adults in the country suffers from diabetes.

These conditions are almost certainly exacerbated by a sedentary lifestyle and poor diet. Because when the problem is as widespread as it is, genetics can’t shoulder all of the blame.

Although the government has identified the situation and begun to address it, there is still a huge strain on the system that needs to be tackled. So who will fill the gap? Healthcare providers? Doctors? Employers? They all have a vested interest in steering the nation towards better health, but how much responsibility can be put on the employee?

The accountability quagmire

An employer attempting to install health accountability among employees may be walking into a potential minefield.

To start, there are a number of factors that can determine someone’s health, and if someone is predisposed to a certain condition or ailment because of inherited genes, it is impossible for an employer to hold that employee to account for a genetic condition.

So accountability must then centre on the employee’s behaviour. Once again, however, operating a “nanny state” for your employees may not be seen as a welcome development.

Of course, there are certain professions where employees are held fully accountable for their health and fitness – lifeguards, the armed forces and certain branches of law enforcement are employed partly based on their ability to perform at a high physical standard. It’s hard, although, to convince white-collar workers that they should be held to similar standards when it comes to their health and well-being.

But as an employer, it is understandable that gaining control over business costs is important. And the cost of health benefits for employees can be a considerable contributor to these costs.

How to go about it

Incentive schemes are quite common in some insurance products around the world – motor insurers offer discounts for drivers who achieve advanced qualifications, or have cameras mounted in their vehicles. Home insurers will cut premiums if alarms are fitted, or if there is a neighbourhood watch scheme. So why not a health benefits programme that rewards its members for taking care of themselves?

Employers could steer their workforce towards better decisions on numerous health issues such as:

Smoking: programmes that encourage and assist with the reduction or cessation of tobacco intake

Diet: promotion of healthy eating options, nutritional education and making unhealthy food unavailable in the workplace

Exercise: targeted exercise programmes, personal trainers, providing gym memberships or even exercise areas at work, and allowing staff the time to exercise during the day

Stress: encouraging a healthy work-life balance and regular sleep patterns.

Employee health responsibility in action

In some countries companies can make a deal with employees. The employer can implement health and well-being standards, and employees can keep to these standards in return for a reduction in their healthcare premiums. The regulations make it possible for companies to reduce the cost of health care to those employees who already reach a standard of health, or are willing to work with a coach to reach certain goals. Those employees not interested in the programme are charged a higher premium.

But that is only half the way to full accountability.

What are we talking about when we say full accountability? Are we suggesting staff could be penalised or fired if they fail to give up smoking or continue to engage in a high-risk lifestyle? That would, of course, be a logistical and legal nightmare and is a non-starter. Ultimately, the solution must be one of balance.

The middle way

The most sensible and practical solution lies with offering enhanced wellness and health programmes that not only promote physical fitness, but also help employees to address habits such as tobacco dependency and unhealthy eating.

You only need to work in a company that encourages the use of the gym during lunchtime, that labels foods in the canteen and has price promotions on healthy snacks in the cafe to see how many people’s behaviour can change. With an increase in counselling services for more serious conditions, this move should be something that is good for employees and employers.

Employees cannot be held 100 per cent responsible for their health, but working together towards a common goal is certainly something employers can encourage, with benefits along the way for all parties.

Stephen MacLaren is the regional head of distribution human capital and benefits at Al Futtaim Willis.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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BEETLEJUICE BEETLEJUICE

Starring: Winona Ryder, Michael Keaton, Jenny Ortega

Director: Tim Burton

Rating: 3/5

The Buckingham Murders

Starring: Kareena Kapoor Khan, Ash Tandon, Prabhleen Sandhu

Director: Hansal Mehta

Rating: 4 / 5

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The Penguin

Starring: Colin Farrell, Cristin Milioti, Rhenzy Feliz

Creator: Lauren LeFranc

Rating: 4/5

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FINAL SCORES

Fujairah 130 for 8 in 20 overs

(Sandy Sandeep 29, Hamdan Tahir 26 no, Umair Ali 2-15)

Sharjah 131 for 8 in 19.3 overs

(Kashif Daud 51, Umair Ali 20, Rohan Mustafa 2-17, Sabir Rao 2-26)

Liz%20Truss
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Australia squads

ODI: Tim Paine (capt), Aaron Finch (vice-capt), Ashton Agar, Alex Carey, Josh Hazlewood, Travis Head, Nathan Lyon, Glenn Maxwell, Shaun Marsh, Jhye Richardson, Kane Richardson, D’Arcy Short, Billy Stanlake, Marcus Stoinis, Andrew Tye.

T20: Aaron Finch (capt), Alex Carey (vice-capt), Ashton Agar, Travis Head, Nic Maddinson, Glenn Maxwell, Jhye Richardson, Kane Richardson, D’Arcy Short, Billy Stanlake, Marcus Stoinis, Mitchell Swepson, Andrew Tye, Jack Wildermuth.