Most of us remember the “Orange Era.” It was a time when citric-based cleaning products were initially introduced to the market and it left a very stubborn belief that these products were overly expensive and did not work as well as conventional cleaning products. The “Green Era” has brought a new generation of very effective products that can replace conventional products. Better yet, the cost of “Going Green” with these products is estimated at about 2-4%. This can be offset by other realized benefits.

It is a slow process, but companies are starting to realize that there are other financial considerations to “Going Green.” These benefits are referred to as Green Premiums referring to other factors that offer more than a clean building. While we can still enjoy a clean building, the Green Premium refers to the health impact and costs that also hit the company’s expense list.

Instead of slowly aggravating the health of the employees, the Green program is designed to avoid harmful practices and introduce healthier alternatives. This new practice will alleviate acute and chronic illnesses, and that has a financial reward that can be a financial asset.

Absenteeism is always a cost factor because the employees make business (and revenue) happen for the company. Health costs may be a concern for the insurance company, but those costs are returned to the company’s bottom line through increased premiums. Part of the cost for health is paid in out-of-pocket expenses, but health costs are a big expense item to any business. It makes sense that a healthier workforce will lead to better health insurance rates.

While thinking about Green Premiums, consider the value of a more alert and productive workforce. We have all found ourselves in a situation where something triggers a headache, depressed feeling, or aggravation of a condition. It make by a powerful smell, second-hand smoke, or diesel exhaust. Your office can be filled with small detractors from worker productivity.

Consider the tax implications for sick people that exceed what you see in your company’s costs. The cost of caring for the sick and chronically ill person is also a burden to society. Even after these people are off our payroll, they continue to need medical care, and someone has top pay for that. There is also the concern for all the trash and waste we produce which must be handled by local, state, or federal governments. The invisible cost of all these things are seen in constantly increased taxes.

As we consider the Green Premium, it is realized in savings through healthy employees. Health insurance, health costs, and taxes are part of the overall equation that we pay in one form or another. Therefore, the 2-4% costs of moving to a Green workplace seems powerfully overwhelmed by the health and tax cost savings.