ADP and The Vitality Group Partner To Help Midsized Companies Control Healthcare Costs

ROSELAND, N.J., Aug. 13, 2012 /PRNewswire/ -- ADP®, a leading provider of employee benefits administration services, today announced it has partnered with The Vitality Group, an established actuarial-based wellness program provider, to help midsized companies tackle a top business challenge – rising healthcare expenses – with the launch of the ADP Vitality wellness solution.  This solution is an incentive-based wellness program that midsized employers can use to motivate employees to make healthier life choices that lower healthcare costs, increase morale and improve the health of employees.

Faced with increasing rates of obesity, diabetes and other chronic diseases, employees and employers are both seeking ways to proactively manage rapidly growing healthcare costs.  In fact, according to The Centers for Medicare & Medicaid Services, Office of the Actuary, National Health Statistics Group and the U.S. Department of Commerce, Bureau of Economic Analysis, per capita national health expenditures have increased 30% between 1990 and 2010, and by 2015 spending on health-related issues will surge to $10,535 per person – a 26.5% increase over 2010.

As a result, many businesses have been forced to control costs through workforce reductions, offering fewer health plans to employees and shifting more costs to employees.  According to a survey conducted in May 2012 among midsized business owners and senior executives by the ADP Research Institute, a specialized group within ADP, the number one concern of midsized business owners in this economy is the cost of healthcare coverage, with two out of five respondents rating this concern as "extreme." 

"Wellness initiatives, unlike other cost-containment strategies, can boost employee morale while working to control costs," said Jessica Saperstein, Division Vice President of Strategy and Business Development at ADP.  "By enabling midsized businesses to add a successful wellness program to their overall HR portfolio, we're helping companies optimize investments in their employees, so our clients can focus on growing and succeeding in the marketplace.  We are proud to partner with The Vitality Group on this exciting new offer."

Like their larger peers, midsized employers show an interest in preventive strategies, such as wellness programs, to help mitigate health expenses.  In fact, according to a Wellness Study conducted by the ADP Research Institute, 44% of midsized employers offer wellness programs today, representing a solid market opportunity for the ADP Vitality wellness solution.   

The new ADP Vitality wellness solution is designed to assist midsized companies with between 50 and 1,000 employees foster a culture of health and wellness, while helping to reduce healthcare claims, health-related costs and employee absenteeism.  Participants have access to an interactive wellness portal that features educational resources and tools to help them pursue a healthier lifestyle.  Key features of the program include health risk assessments, biometric screenings and personalized wellness plans with recommended goals and activities.  The program integrates with social networking sites, mobile applications and fitness technologies to give employees additional support as they pursue their wellness goals.  When employees achieve plan goals, they can earn points toward lowering their monthly health plan contributions.

"Today, more than 3.5 million people worldwide already benefit from Vitality health and wellness programs.  We are delighted to partner with ADP and to help extend the ADP Vitality wellness solution to midmarket companies across the United States," said Alan Pollard, Chief Executive Officer for The Vitality Group.

The ADP Vitality wellness solution integrates directly with employers' payroll systems, enabling automatic adjustments to individual employees' health plan contributions based on their program engagement.  This program is now available in San Francisco, Chicago and Philadelphia, and ADP plans to expand the solution later this year.  For more information about ADP Vitality, visit:  http://www.adp.com/wellness.

About the ADP Research Institute^SM

The ADP Research Institute is a specialized group within ADP that provides insights to leaders in both the private and public sectors around issues of human capital management, employment trends and workforce strategy.  For more information about the ADP Research Institute, visit: http://www.adp.com/research.

About ADP

Automatic Data Processing, Inc. (Nasdaq: ADP), with more than $10 billion in revenues and approximately 600,000 clients, is one of the world's largest providers of business outsourcing solutions.  Leveraging over 60 years of experience, ADP offers a wide range of human resource, payroll, tax and benefits administration solutions from a single source.  ADP's easy-to-use solutions for employers provide superior value to companies of all types and sizes. ADP is also a leading provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment dealers throughout the world.  For more information about ADP or to contact a local ADP sales office, reach us at 1.800.225.5237 or visit the company's website at www.ADP.com.

About The Vitality Group

The Vitality Group is a member of Discovery Holdings Limited.  Vitality wellness programs serve more than 3.5 million members worldwide in companies in a wide range of sizes and industry categories, improving individuals' health and well-being as well as employers' bottom lines.  In America, numerous forward-thinking companies are joining global organizations in the United Kingdom and South Africa who together are proving the effectiveness of the Vitality health enhancement solution in reducing healthcare costs. www.thevitalitygroup.com

SOURCE ADP; The Vitality Group