FINANCIAL ADVANTAGES OF EAP RESOURCES
A troubled, distracted employee can be an expensive risk for companies and is often translated as lost company income due to:
- poor work quality
- on-the-job injuries, accidents
- wasted resources and materials
- absenteeism, tardiness
- workers' compensation expenses
- inappropriate or disruptive conduct
- lack of teamwork
- coworker conflicts
- turnover
- litigation
These are all problems that can lead to lost production time, lost revenue and market share for the organization.
"Insurance data indicates insurance claims for stress-related industrial accidents cost nearly twice as much as non stress-related industrial accidents."
Harvard Business Review
"40% of job turnover is due to stress."
Bureau of National Affairs
"Employees with low job satisfaction are 30% more likely to have multiple injuries than those with high satisfaction."
Journal of Alcohol Studies
An active fully utilized EAP service can help reduce risks, liability, and costs related to inappropriate use of medical resources. EAP counselors work with employees to address issues that may be causing distractions and inattention to job function requirements.
Other expenses related to a stressed employee can be inappropriate and unnecessary use of medical benefits for stress or other mental health or substance abuse related conditions. Excessive use of medical resources can significantly affect a company's bottom line.
"Researchers estimate that 50% - 80% of all medical illnesses reported to physicians have a strong emotional or stress-related component."
Mental Health America
To determine the financial impact of a depressed or substance abusing employee on your bottom line, visit these helpful websites to calculate the cost to your organization:
