Persuasive Memo on Fitness Center at Rocky Mountain Mutual
To: Mr. Zachary Evans, Vice President of Operations From: Joseph Mirola JM Date: November 13, 2011 Subject: Company Fitness Center makes a profit
Thank you for allowing me to explain to you the benefits of having the company fitness center. Company reports indicate that the Fitness Center has led to an overall decrease in employee absenteeism, reduction in employee medical costs, and an increase in productivity.
Employees who ...view middle of the document...
2. Average users (25% of employees, 62 people): employees who use the Fitness center once or twice a week. Have an average medical cost of $300 per year.
3. Non-users (65% of employees, 163 people): employees who do not use the fitness center at all. Have an average medical cost of $300 per year.
To increase use of the Fitness Center I instituted a Wellness Program 8 months ago in my department (Claims Department), which used peer encouragement and team-building concepts to promote use of the Fitness Center. Since then, productivity in the Claims Department has increased by 18 percent and the amount of sick days has decreased by 5. I believe the Wellness Program can be instituted throughout the whole company and we can expect to see similar results to what we have already seen in the Claims Department. The costs of maintaining the fitness center can be taken care of with the costs and increased company profits due to higher employee productivity and decreased cost of sick days.
Rocky Mountain Mutual is located in a remote suburban town, where there are few things that attract young employees. So it is very difficult for the firm to attract the most talented young college graduates. The fitness center gives us an edge in terms of recruiting young, ambitious employees to the area, since our competitors in the area do not have fitness centers. Furthermore, there are no other fitness centers that are conveniently located near our company headquarters. So if we close down the Fitness Center, there will be no where that our company employees can go. Employees who were recruited to this company with the Fitness Center as part of their employee benefits package will feel betrayed, which might even lead to a high turnover rate. We have to attract the best employees if we want to take the firm forward and keep our previously promised things for present employees.
I hope that you strongly consider keeping the Fitness Center because, in the long run, it will only increase company profits. Thank you.
P.S. The claims department is having a special session for beginners at the Fitness Center next Monday, your more than welcome to join Mr. Evans.