The Department of Work and Pensions (DWP) is “keen to learn” about how group income protection (GIP) and wider workplace health support can be included in its occupational health (OH) measures.
It also suggested that there may be potential for products that support employee health to be linked into its proposed online OH marketplace for small and medium sized enterprises (SMEs).
The details were in a response to the Occupational Health: Working Better consultation, in which DWP also rejected a proposal to make it compulsory for employers to provide occupational health (OH) support to their employees.
The department will also not be following through with a proposal to automatically enrol employees in OH services.
However, it confirmed the introduction of a voluntary minimum standard for OH provision.
Including GIP
It is the potential of group risk and other workplace health products being included in the purchasing framework and marketplace for SMEs which is likely to prove most interesting to the sector.
Respondents to the consultation, published in July, had pointed out the need for employers, particularly SMEs, to have easier access to affordable OH services, given the known issue of costs being prohibitive for smaller businesses procuring OH services.
“To address this, the UK Government will consider options for a new SME group purchasing framework, underpinned by a digital marketplace,” DWP said.
“This initiative would aim to enable SMEs to pool their purchasing power to benefit from economies of scale.”
And it added this could encompass more workplace health and wellbeing services as well, particularly GIP which it wanted to learn more about.
“As we explore options for an SME group purchasing framework and digital marketplace, we are keen to learn from the several business and public sector organisations that suggested ways for OH measures to be inclusive of group income protection and wider work and health support,” it said.
“In the longer term there may also be potential to consider linkage with associated products that support employee health.”
No AE or mandatory OH
The potential of replicating auto enrolment (AE) or mandating employer participation in occupational health was also consulted upon.
In response DWP noted some replies considered automatic enrolment as a mechanism to increase access to OH.
“This was cited by some as potentially effective, but others highlighted that SMEs may need significant interventions to enable them to comply,” it said.
“Some responses reflected that automatic enrolment could enable more employees to have more direct contact with OH.
“However, others pointed to the risk of this potentially being withdrawn by SMEs when resources are tight.”
It was also acknowledged that there would be burdens and benefits to being legally required to provide OH and there were concerns over how mandating could be enforced, with regulation being a potential necessity.
As a result, DWP said: “At this stage, in light of the mixed responses to these proposals, government does not propose making OH provision mandatory for employers or introducing automatic enrolment for OH.”
Important to help people stay in work
In the Autumn Statement, HM Treasury noted that provision of high-quality OH is important for helping employees with disabilities and long-term health conditions to stay in work.
“Following the recent consultation, the government will meet employers’ requests for clearer guidance and support by establishing an expert group to develop a new voluntary OH framework in Great Britain,” it said.
“The government will also work with employers and business representatives to develop and promote best employment practices for employees with health and disability issues.”