Fat Tax

Shawnee Love   •  
December 13, 2011

The Danes recently announced they were putting a tax on foods with high fat content. Other things that are “bad” for us are taxed (e.g., alcohol, cigarettes) why not a major contributing factor to the diseases that kill us?

Being in HR, I have witnessed the ballooning costs of benefit programs primarily due to drugs associated with the big 4 diseases: heart attack, stroke, diabetes and cancer.  While lack of exercise and poor sleep habits are also involved, there is no question that poor diet choices are a MAJOR contributor to those diseases and definitely the lowest hanging ham, I mean fruit, when it comes to taxability. I mean how do you track let alone tax someone for sleeping too little, especially in a society that values working hard the way we do in North America.  Same goes for exercise, which is unfortunate, because according to Dr. Mike Evans (healthcare expert) exercise makes the biggest difference and gives you the greatest return on investment in your health.

In any case, a consumption tax on fatty foods may cause some people to buy or use just that little bit less. That’s good news, because when it comes to health, every little bit helps and it might result in some extra money in government coffers that will hopefully be put towards the medical bills for those diseases.

If you are an employer, you don’t have the option of a tax to raise money for your benefits costs, so you have to be more creative.  Wellness programs (if well planned) can improve your employees’ health, attendance, productivity, and morale, and measurably reduce your benefits costs which is a fine return on investment indeed.

If you want to know how to introduce a wellness program in 2012, we can help.  If you already have a wellness program, please comment about what works and what doesn’t.