Economic Analysis of a Rest–Shade–Hydration–Sanitation Program at a Nicaraguan Sugar Mill

<i>Background:</i> Occupational heat stress mediated acute kidney injury (AKI) has been linked to the development of chronic kidney disease of non-traditional causes (CKDnt) in agriculture workers. Rest-shade-hydration-sanitation (RSH-S) programs are promising interventions for preventing CKDnt. An obstacle to the implementation of RSH-S programs is the concern that the reduced work time associated with these programs may reduce productivity and earnings. <i>Objective:</i> This study analyzes the economic impact of an RSH-S program implemented at a sugar mill in Nicaragua. <i>Approach:</i> Data were obtained from the sugar mill over a six-year, five-harvest period (Harvest 1: 2017-2018 through Harvest 5: 2021-2022). Data included health and productivity metrics and RSH-S program costs. During Harvest 1, existing heat mitigation strategies were in place but were not optimal. Thus, 2017 was considered the pre-RSH-S (baseline) period. Over subsequent harvests, progressively improved RSH-S programs were implemented. A cost-benefit analysis was conducted to estimate the return on investment of the RSH-S program. The analysis considered both fixed and variable costs associated with the program. Benefits were calculated based on productivity improvements and reductions in AKI cases. <i>Findings:</i> As soon as 2020, the costs of implementing the RSH-S program were offset by savings resulting from increased productivity and reduced cases of AKI. The RSH-S program yielded a positive return on investment from 2020 and onward. The average return on investment over the five-year period was 0.02 (or a return of $1.02 for every $1.00 invested), which takes into consideration the first two years of the intervention in which there was a negative return on investment. In 2022, every $1.00 invested in the RSH-S program saw a return of $1.60. <i>Conclusions:</i> Implementing an RSH-S program can provide both economic and health benefits, particularly in locations where climate change is increasing the already present risk and burden of occupational heat stress.

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Publication Details

Journal
Annals of Global Health
Published
2025-01-01
DOI
https://doi.org/10.5334/aogh.4753
Primary Topic
Chronic Kidney Disease and Diabetes
Type
article
Field-Weighted Citation Impact
0.00

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article

Economic Analysis of a Rest–Shade–Hydration–Sanitation Program at a Nicaraguan Sugar Mill

Thomas D. Boswell, Erik Hansson, Rebekah A. I. Lucas, Kristina Jakobsson et al.
Annals of Global Health
Chronic Kidney Disease and Diabetes
article

Economic Analysis of a Rest–Shade–Hydration–Sanitation Program at a Nicaraguan Sugar Mill

Thomas D. Boswell, Erik Hansson, Rebekah A. I. Lucas, Kristina Jakobsson, Jason Glaser, Dinesh Neupane, Scarlette Poveda, Esteban Arias, David H. Wegman, Heath Prince, Fabiano T. Amorim, Zachary J. Schlader, Catarina Wesseling
article en

Abstract

<i>Background:</i> Occupational heat stress mediated acute kidney injury (AKI) has been linked to the development of chronic kidney disease of non-traditional causes (CKDnt) in agriculture workers. Rest-shade-hydration-sanitation (RSH-S) programs are promising interventions for preventing CKDnt. An obstacle to the implementation of RSH-S programs is the concern that the reduced work time associated with these programs may reduce productivity and earnings. <i>Objective:</i> This study analyzes the economic impact of an RSH-S program implemented at a sugar mill in Nicaragua. <i>Approach:</i> Data were obtained from the sugar mill over a six-year, five-harvest period (Harvest 1: 2017-2018 through Harvest 5: 2021-2022). Data included health and productivity metrics and RSH-S program costs. During Harvest 1, existing heat mitigation strategies were in place but were not optimal. Thus, 2017 was considered the pre-RSH-S (baseline) period. Over subsequent harvests, progressively improved RSH-S programs were implemented. A cost-benefit analysis was conducted to estimate the return on investment of the RSH-S program. The analysis considered both fixed and variable costs associated with the program. Benefits were calculated based on productivity improvements and reductions in AKI cases. <i>Findings:</i> As soon as 2020, the costs of implementing the RSH-S program were offset by savings resulting from increased productivity and reduced cases of AKI. The RSH-S program yielded a positive return on investment from 2020 and onward. The average return on investment over the five-year period was 0.02 (or a return of $1.02 for every $1.00 invested), which takes into consideration the first two years of the intervention in which there was a negative return on investment. In 2022, every $1.00 invested in the RSH-S program saw a return of $1.60. <i>Conclusions:</i> Implementing an RSH-S program can provide both economic and health benefits, particularly in locations where climate change is increasing the already present risk and burden of occupational heat stress.

Annals of Global HealthVol. 91(1)
University of Massachusetts Lowell (US), Johns Hopkins University (US), University of New Mexico (US), Indiana University Bloomington (US), Action Network (US), University of Birmingham (GB), The University of Texas at Austin (US), University of Gothenburg (SE)
National Science Foundation, UK Research and Innovation, Forskningsrådet om Hälsa, Arbetsliv och Välfärd, National Institutes of Health, National Oceanic and Atmospheric Administration, Natural Environment Research Council, Fogarty International Center
Openalex Percentile: Top 61%
Chronic Kidney Disease and Diabetes
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