At the intersection of business growth, talent retention, and productivity, a new report by Deloitte reveals a compelling case for improving health equity. According to their analysis, addressing health inequities could boost the U.S. economy by a staggering $2.8 trillion by 2040. For U.S. businesses alone, corporate profits could rise by $763 billion, as workforce participation improves and absenteeism declines.
“Health equity is not just a moral imperative. It is an economic imperative,” said Jay Bhatt, M.D., Managing Director at Deloitte ‘s Center for Health Solutions and Deloitte Health Equity Institute.
Reducing health disparities could prevent 5 million individuals from leaving the workforce due to premature death or severe disability. With direct medical costs from these inequities already sitting at $320 billion, this figure could surpass $1 trillion by 2040 if left unaddressed. The message from Deloitte’s report is clear: public and private organizations both have essential roles to play. The report leverages data from Komodo Health and the Oxford Economics Global Economic Model.
Investing in equitable health outcomes can yield economic value and uplift entire communities. Employers are urged to assess their workforce’s health gaps, with a focus on more inclusive benefits packages, particularly around gender equity, to drive healthier outcomes and enhanced productivity. Past research from Deloitte, in collaboration with Meharry Medical College, showed that health inequities cost businesses billions due to missed work, reduced productivity, and unemployment.
The data also points to the power of innovation in health equity, with AI playing a key role in developing products that meet diverse community needs. This requires careful oversight to mitigate biases in data systems. Beyond corporate strategy, businesses must forge partnerships with local organizations and government agencies to foster long-term well-being in their communities.
As Bhatt put it, “Good business and good health go hand in hand.”
