Employers betting on wellness programs seem to be making the right call. They're seeing $1 to $3 decreases in their overall health care costs for every dollar spent, finds a report from the International Foundation of Employee Benefit Plans.

“Without question, employers are beginning to understand the direct connection that wellness initiatives can have on both employee health and health care plan cost savings,” says Michael Wilson, Foundation CEO. “While the primary goal is reducing health costs, we're also seeing other advantages from wellness initiatives, such as higher employee morale, increased productivity and reduced disability.”

The report also finds that wellness program incentives — such as insurance premium reductions and communications tools like web links and social networks — are used more by organizations that are achieving positive returns on their wellness investment.