As Dale said, yes it works.
Iron Palm
Just remember that iron palm is much more than just the ability to break blocks with your hands. Yes, I can do that:
http://www.youtube.com/watch?v=uD2CJC82vWM Though it often gets the most press, block breaking is a minor, secondary effect that comes from iron palm training.
In my opinion, the true point of iron palm training is two-fold:
1. It toughens the hand to protect it against injury when striking.
2. It teaches you the physics of energy transference through an object.
Iron palm was designed to teach you how to strike the human body with concussive force that can injure the internal organs.
A qualified instructor is the best way to learn the skill. I also recommend the iron palm DVD from the Iron Lotus Society:
http://www.theironlotussociety.com/Products.htm It is an excellent resource and is just like being there with them in class. Plus, they hold nothing back.
Iron Body
A very necessary skill in ancient times, a cool skill to learn in modern times. It toughens the body to endure a great deal of physical abuse.