WOMEN IN BUSINESS
Saturday, October 26, 2024 | N3
Special broadsheet
Expect employers to react to health cost rise
Smallcakes From N1
ing for the highest quality provid- ers and trying to encourage their workforce to seek services through those providers. Q: Does this mean employees might see fewer choices for care? A: They’ll see more curated, designed networks with perhaps fewer providers in them. But they will be higher quality. Q: Your annual survey also found that better mental health care ac- cess is a big priority for large em- ployers. Why do they care about this? A: It’s foundational. A human being who is struggling with an issue at work or outside of work is not going to be as engaged, as productive or as healthy. Q: How will employers manage expensive and popular weight loss drugs like Wegovy? A: Most view them as a tool in their overall weight management strategy … not the only tool. (They) are going to be really focused on who is the appropriate population to be receiving these medications. Is a provider recommending this? Does the individual have certain
co-morbidities? Does the individ- ual have a (body mass index) that meets a certain threshold? And then also is the individual taking part in a lifestyle and behavioral modification program to ensure long-term success? Q: Eight out of your 10 company leaders are women. How does that shape vision or direction? A: I think we’re highly collab- orative. We focus on inclusion of belonging, constructive discourse, encouraging different perspec- tives. Q: You have studied employee benefits trends for more than 20 years. What has surprised you the most? A: It’s this sobering continued increase in fundamental health care costs. It’s something we have been talking about for decades. There’s certainly a lot of good work happening, but it’s not enough. The Associated Press Health and Science Department receives support from the Howard Hughes Medical Institute’s Science and Educational Media Group. The AP is solely responsible for all content.
TOM MURPHY AP Health Writer
business and not do any of the decorating. I got into it and I loved it. Now I can decorate cakes and everything else, as well. It really takes a desire to learn. Ev- erybody who has worked for me didn’t have much experience.” Merklin believes that what sets Smallcakes A Cupcakery apart from box cakes, available in any grocery store, is the quality of the ingredients. “Our product is more gour- met,” she said. “And we bake our cakes fresh here. Grocery stores ship their cakes in while frozen. If you taste our cakes you will re- alize that there’s no comparison.” Another aspect that sets Merklin’s business aside is con- necting with customers. “We care,” she said. “We put a lot of work into our cakes and we care about them even as they go out the door.” When a customer came into to the store to pick up a cake, Merklin reminded her to keep the cake on a flat surface as she gently taped close the lid on the cake box. “We want to make it right,” Merklin said. “Customer service
A health care spending surge looms in the new year, and Busi- ness Group on Health is helping employers understand it. The nonprofit found in a recent survey that large employers expect the cost to treat patients will jump nearly 8% next year before they make coverage changes to address it. That’s the highest growth rate in a decade. Business Group on Health CEO Ellen Kelsay expects employers to react by being more selective about the care that people receive. They also will try to manage the use of expensive treatments for obesity and diabetes. Kelsay’s nonprofit advises em- ployers on health care cost and policy issues. The CEO spoke re- cently with The Associated Press. Q: Big employers expect a jump in health care costs next year. How will they address it? A: They’re going to be focused on the quality of services provided to their workforce. You might hear of high-performance networks or centers of excellence. Those are efforts where employers are look-
is as important as our products. Those two go hand-in-hand to- gether. If you don’t have both, your business won’t survive. The fun part of this job is mak- ing people happy. Our motto is ‘Maybe a cupcake will help.’ When we make a birthday cake or a wedding cake, it’s wonderful to hear someone say, ‘I just love your products.’ Our product is not just your average, run-of- the-mill cake. It is definitely above that.” RICK BROWN , FOR THE KEARNEY HUB When Smallcakes needed to expand, Merklin moved her business to this location on Second Avenue, a place that offered easy access and plenty of parking for customers.
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