Quick-to-read HR news & insights
From recruiting and retention to company culture and the latest in HR tech, HR Brew delivers up-to-date industry news and tips to help HR pros stay nimble in today’s fast-changing business environment.
The use of GLP-1 medications for weight loss has risen dramatically in recent years, and now one government hopes that providing the medications to its workforce will help the economy.
Where in the world? Eli Lilly, a US-based pharmaceutical company, and the British government announced a new deal this month that will provide GLP-1 medications to nearly 250,000 people over the next three years, according to the BBC.
Some 26.2% of the UK’s roughly 67 million people have obesity, according to the UK Office for Health Improvement and Disparities. The pharmaceutical company said that it will invest $364 million to help the country address its obesity epidemic, along with other health issues, CNBC reported.
The British government estimates that illnesses relating to obesity are costing the government’s National Health Service (NHS) £11 billion a year. As part of that deal, Eli Lilly and Health Innovation Manchester, an organization that looks for new solutions to health problems, will examine how its weight loss drugs Zepbound and Mounjaro impact patients’ work lives, including their absentee rate and employment status.
“Illness caused by obesity causes people to take an extra four sick days a year on average, while many others are forced out of work altogether,” Wes Streeting, a British politician and secretary of state for Health and Social Care, said in an op-ed for the Telegraph.
Some people are skeptical of the partnership. Policy experts believe that the plan is too expensive for the country’s universal healthcare system, and the government can only afford to give the drug to 49,000 people per year. Medical professionals also claim the approach could have ethical implications, and that incentivising unemployed people who live with obesity has tried and failed in the past.
Satellite view. The use of GLP-1 medications for weight loss has increased 40-fold in the US since 2017, according to the school of medicine at Indiana University. And while they’re a growing hot commodity for US workers, the drugs are also driving up the cost of employer-backed health costs and compounding the 11.4% prescription drug cost increase, HR Brew previously reported.
Employers in the US, where not everyone has access to the same health insurance, are weighing the potential benefits and reduced healthcare costs that could come with covering GLP-1 medication for weight loss.
“Plans and employers are trying to figure out how best to cover these medications...how to optimize health outcomes relative to the high cost of the drugs,” Eric Miller, a VP and consulting actuary with Segal’s National Health Practice, told HR Brew.