Discontinued Coverage for Obesity Medications Associated With Lower Employee Satisfaction
Key Takeaways:
- Among employees whose employer-sponsored health plans discontinued coverage for obesity medications, 80.57% reported having more negative perceptions of their employers, and 17.81% considered changing jobs entirely.
- Loss of coverage for obesity medications was associated with higher rates of burnout, lower job satisfaction, and decreased productivity.
- Differences in reported workplace impacts across racial and income groups suggest disparities in perceived job mobility that warrant further study.
Glucagon-like peptide-1 receptor agonist (GLP-1 RA) medications are effective, nonsurgical treatment options for obesity. As of 2024, approximately 1 in 8 US adults have reported receiving a GLP-1 RA, illustrating the high demand for these medications.
Although these obesity medications demonstrate significant clinical benefits, their high costs have led some employers to restrict or remove coverage in employer-sponsored insurance plans. The removal of coverage can negatively impact employee satisfaction, productivity, and workforce retention.
Researchers assessed how the loss of GLP-1 RA coverage influenced employees’ perceptions of their employers and workplace outcomes.
Using electronic health record (EHR) data, researchers identified 847 individuals with employer-sponsored health plans who were prescribed GLP-1 RAs on or after June 2021 and then lost coverage. Eligible participants were invited via email to complete a survey.
Of the 847 invited individuals, 419 agreed to the survey, resulting in a response rate of 49.47%. Among these, 247 individuals completed the questionnaire. Of these participants, 40.08% were White, 30.36% were Black, 19.84% were Hispanic, and 9.72% were another race or ethnicity.
Discontinued Coverage Associated With Employer Dissatisfaction
Following the loss of coverage for obesity medications, 80.57% of participants reported having more negative perceptions of their employer. Specifically, 49.39% expressed feeling devalued, and 64.38% believed their health was not valued at all. Overall, coverage discontinuation led to 17.81% of participants considering changing jobs.
Burnout was another common experience among employees, with 88.67% reporting burnout within the past year and 65.19% feeling burnt out during the previous month.
Loss of coverage was also associated with lower workplace morale (31.58%), reduced job satisfaction (27.12%), and lower productivity (22.67%).
Differences by Race and Income
Reported workplace impacts varied significantly by race and household income. Black and Hispanic employees were less likely to report employer dissatisfaction than White employees. In addition, employees with annual household incomes higher than $150 000 were twice as likely to negatively review their employers as those with lower household incomes.
These findings suggest possible disparities in perceived job mobility, warranting future research on workplace equity.
Implications for Managed Care
Employers may discontinue coverage for obesity medications to reduce pharmacy spending. However, these findings suggest that loss of coverage may adversely affect employee morale, job satisfaction, and productivity while increasing the likelihood of employee turnover. Because employee turnover can be costly, especially among higher-paid workers, the indirect costs associated with coverage restrictions may offset some of the intended short-term savings.
Expanding access to obesity medications may require improved policies that mitigate the costs associated with insurance coverage to reduce disparities in care.
The authors said, “Rather than focusing solely on short‐term savings, employers should consider the long‐term value of investing in comprehensive obesity care, including sustained access to effective medications and bariatric surgery, to support workforce stability and employee well‐being.”
Reference
Francis JM, Ernest DK, Chandrasekhar A, et al. Negative consequences of removing GLP-1 RA obesity coverage: a cross-sectional cohort comparison study. Obes Sci Pract. 2026;12:e70123. doi:10.1002/osp4.70123.
