Demographics of Virginia Business
estimates that 97.7% of all Virginia
firms are small businesses with 500 or fewer employees.
These firms employ 47.8% of all nonfarm
workers in Virginia.
to the Center for Women’s Business
Research, nearly half (47.5%) of all privately owned businesses in
majority or 50% women owned. There are
almost 160,000 majority woman owned firms accounting for 31.2% of all
firms. Another 74,000 Virginia firms
are equally owned by women, accounting for another 14.5% of all private
firms. Virginia firms where women own
50% or more employ more than 422,000 people.
recent Census data indicate that at
least 15% of all private firms in Virginia are 51% minority owned.
Demographics of the Uninsured
estimates that 50% of persons without
health insurance are in families with workers who are self-employed or
firms with fewer than 100 employees.
at large firms are less likely to be
uninsured than employees of smaller firms:
businesses with 1000+ employees
12% at businesses with 500-1000 employees
14% at businesses with 100-499 employees
20% at businesses with 25-99 employees
27% at businesses with 10-24 employees
34% at businesses with fewer than 10 employees
study reported that health benefits were
offered at just 49% of worksites of firms with fewer than 100 employees
compared with 98% at larger firms. At
low wage worksites, the disparity is greater: 34%
of small firms at low wage sites and
95% at low wage sites of larger
one-fifth of women with children under
18 lack health insurance. Half of
working mothers do not get paid when they miss work to take care of a
10% of all
women ages 18-64 provide care to
family members who are sick or disabled; 43% of these caregivers have a
health condition; 25% of caregivers are medically uninsured.
are not providing health insurance to
workers are unlikely to be providing any other benefits related to
Do Employees Want?
are important to employees.
to the Society for Human Resources
Management (SHRM), 68% of employees at all organizations rated benefits
“very important” to their job satisfaction, ranking benefits above
compensation, feeling safe in the work environment, job security, and
flexibility to balance work/issues. Health care, paid time off and
benefits were ranked as the most important benefits related to overall
satisfaction. Ranked least important
were child-care assistance, flexible spending accounts and professional
consider health insurance to be the
most important fringe benefit.
at larger firms are more satisfied with their benefits than employees
reports that only 47% of employees in small
organizations (1-99 employees) are satisfied with their total benefits
and fewer, 38%, are satisfied with their medical benefits package. This compares with 74% and 67% respectively
for employees at organizations with more than 500 employees and 60% and
medium sized organizations (100 to 499 employees).
safe in the workplace has new importance.
reports that in 2004 almost twice as many
employees (62%) stated that feeling safe at work was “very important”
so in 2002 (36%).
flexibility is also important but less so.
that in 2004 57% of employees ranked
flexibility to balance work/life issues as “very important,” slightly
in 2002. Included among work/life
balance practices are flextime, telecommuting and compressed workweeks. Slightly more than 50% of organizations
offer flextime, 33% offer compressed workweeks or telecommuting.
to When Work Works, 79% of employees
said that they would like to have more flexible work options (85% of
workers), yet 39% of respondents reported that employees who use
schedules are less likely to get ahead in their jobs or careers.
of Child Care Can Affect Employee Recruitment/Retention
parents say that child care was an
important factor in deciding to join the organization for which they
(Benefits of Work-Site Child Care, Simmons College, 1997). 19% of
reported turning down other offers rather than lose their work-site
Prevents Businesses From Giving Employees What They Want?
a lack of desire.
women business owners at the Women
Entrepreneurship in the 21st Century Conference (21st
Century Conference) indicated that providing a “family friendly”
either extremely important or very important. “Women
entrepreneurs not only run their
businesses, they often manage
their families and fulfill community and other responsibilities as
Balancing work and family commitments is a special challenge for women
entrepreneurs, particularly in small firms where the unplanned absence
owner or one employee can precipitate a crisis. With work and family
often in conflict, flexibility is integral to the modern workplace.” http://www.dol.gov/21cw/Women_3_18/Conference_Report.htm
women entrepreneurs at the 21st
Century Conference said that cost was the biggest obstacle to providing
are charged more per employee for
health insurance than large firms. Premiums
were up for all businesses by
12.7% in 2002 and 18.1% for firms
with between 10-500 employees. Smaller
firms routinely face the highest rate of increase.
is not the only factor.
to a Kaiser Family Foundation Survey, 1/3 of small
businesses not offering health insurance coverage admitted that they
know how much it costs. Those who said
that they did know overestimated the average premium cost by $40.
small firms responding to another survey
said that they did not know that health insurance premiums are 100% tax
deductible to the employer. >Over
believed incorrectly that employees purchasing insurance on their own
100% of their premiums.
of Fortune 1000 and 500 firms have
Employee Assistance Programs, but smaller companies are unaware that
can affordably implement EAP/worklife programs that benefit employees,
and the bottom line.
business owners who do not have ready
access to human resources professionals are overwhelmed by the amount
information about benefit options and put off by regulations (ERISA,
burdens and resource challenges
business owners do not have staff, time or
resources to manage the administration of benefit programs.
perceived return on investment.
owners are not convinced that
investment will lead to cost savings.
Analysis of Work/Life Programs and Benefits
are less expensive than believed
like flextime, compressed workweeks
and telecommuting are inexpensive to administer and increase employee
assistance plans cost from $2.00 to
$3.75 per employee per month and return $4.00 for each dollar spent.
In a recent
study of organizations sponsoring
child care centers, the Bright Horizons Family Solutions Consulting
found that voluntary turnover among employees is estimated at 7.2%
with 3.7% among employees using the employers’ child care centers. Retention among top performers using the
child care centers was 97%.
costs at least 1.5 times the salary of
a salaried employee and .75 times the annual salary of an hourly
(Personnel Journal, December 1990). Any
increase in retention can result in substantial cost savings to an
employee satisfaction and loyalty
who use or are aware of work/life
programs are the most committed employees in the company and the least
to feel burned out. At one company,
these employees were 45% more likely to strongly agree that they would
extra mile” to help their company succeed (DuPont Work/Life Study, 1995)
parents miss at least one day of work
every six months due to a child care breakdown; 65% are late to work or
early due to child care issues (Bright Horizons Child Care Trends,
2002). Availability of work-site child
reduce absenteeism and enhance productivity.
10% of the
workforce is estimated to be
substance abusers contributing to a 50% reduction in productivity. EAP plans resolve 50% of problems.
reduction through prevention
estimates that prevention saves $3.14 for
each dollar spent. HHS Report,
Prevention Makes Common “Cents”.
prevention is less expensive than
correcting problems after they’ve occurred. The
American Association of Safety
Engineers estimates that for very $1
invested in a safety and health program, $4 to $6 is saved as a result.
America conducted a health promotion
program for retirees. Cost was $30 a
person; insurance claims were reduced by an average of $164 compared to
increase for nonparticipants. Coca Cola
reported savings of 500 per year for employees enrolled in their
program. Prudential reported a
reduction of major medical costs from $574 to $312 for each participant
their wellness program. Worksite Health
Promotion Directory, www.jointventure.org
as an example.
HHS estimates that 80% of workplaces with more
than 50 employees and almost all employers with 750 workers or more
health improvement programs, most with an obesity component. Health care costs for a person who is
morbidly obese are 36% higher and medicines for morbidly obese persons
more. Morbidly obese people are 2 times
more likely to be absent; U.S. companies pay $2.4 billion a year in
leave. Weight reduction can yield direct
savings in reduced health care costs, turnover, and sick leave expenses. Improved fitness can reduce risk of major
diseases by 25 to 50%.
low-cost ways employers can address obesity:
voluntary health risk appraisals;
vendors to include healthy food choices in cafeterias and vending
nutritional information for cafeteria selections
on-site classes related to nutrition and exercise
“Weight Watchers at Work” or other targeted programs
safe walking paths and encourage use of stairs
health education materials
lunch and learn sessions
an allowance for health clubs
community based weight management and fitness resources.
Source: National Business Group on Health
offer worksite wellness programs?
employees are a valuable asset.
absenteeism and presentism.
costs of benefit programs.