Benefits of Employee Assistance Programs

Established in 1971, the Employee Assistance Professionals Association (EAPA) is the world's oldest and largest membership organization for employee assistance professionals.  EAPA defines an Employee Assistance Program as: “the work organization's resource that utilizes specific core technologies to enhance employee and workplace effectiveness through prevention, identification and resolution of personal and productivity issues.” 

Forward-thinking corporations view their workforce from a human capital perspective.  An organization’s human capital is the collective value of the experience, skills, talents, knowledge, creativity, energy, enthusiasm, engagement and relationships that its people choose to invest in their work.  Maximizing the engagement and commitment of your staff requires that employees be focused and motivated during the workday.  Thus, an EAP program can be a powerful and effective tool to improve the resilience, productivity and healthy functioning of your staff and your organization.

Benefits of an EAP for your employees…

• Efficient access to quality help for personal and family problems.

Depression is a major drain on business productivity and profits.  A recent study published in the Journal of the American Medical Association calculated that depressed workers cost their employers $44 billion each year; 19% because of absenteeism, but a surprising 81% because of presenteeism—defined as employees who show up for work but perform at only a fraction of their capabilities.

-A. Meisler – Workforce, September, 2003

Approximately 15% of employed adults have substance abuse problems - only one in 15 of these get treatment.

 - RAND Corporation (1998) 

In the last two years, 27% of adults have seen a mental health professional for therapy or taken a prescription medication for a personal, emotional or mental health problem. 80% of those who received treatment found it effective.

- Therapy in America 2004 – a Pacificare/Psychology Today Poll

• An EAP promotes a less stressful work environment.

One-fourth of employees view their jobs as the number one stressor in their lives.

- Northwestern National Life

Three-fourths of employees believe that the worker has more on-the-job stress than a generation ago.  

- Princeton Survey Research Associates

• Work-Life and Legal-Financial consultation results in reduced stress, time off and distraction caused by finding resources to handle day-to-day personal and family responsibilities.

• Wellness services encourage healthy lifestyles.

In 2000, the most common actual causes of death in the U.S. were Tobacco (435,000), poor diet and physical inactivity (400,000) and alcohol consumption (85,000). Lifestyle and behavior contribute to all of the nation’s leading killers including heart disease, cancer and stroke.

- Center for Disease Control

• Employees gain the security of knowing that their employer cares for the well-being of its valued staff and their families.

Benefits of an EAP to Your Organization…

• Increased concentration and productivity

Companies that utilize EAP services report 21% lower absenteeism and 14% greater productivity than other companies.

- Substance Abuse and Mental Health Services Administration

• Early, effective intervention reduces costs for mental health and substance abuse issues

Collectively claims for depression, stress and anxiety cost U.S. employers an estimated $344 billion each year due to lost productivity, disability claims and medical fees.

- Metlife (2nd largest US disability carrier)

• Wellness promotion encourages healthy lifestyles and over time can reduce increases in health insurance premiums.  Proactive companies are partnering with their employees to reduce the impact of unhealthy lifestyles—tobacco, poor diet and physical inactivity, and substance abuse.

• Medical cost offset

Approximately 65% of all visits to physician’s offices are stress related.  Prompt and effective treatment of mental health and substance abuse disorders reduces the cost of disability claims, physician visits, pharmacy costs and workmen’s compensation claims.

Abbott Laboratories EAP recently reported a two to one return on investment as a result of lowered healthcare costs for employees utilizing the EAP.  Based on over 2,000 cases, the EAP clients had an average of $2,200 lower overall healthcare expenses than cases with similar problems that sought treatment outside of the EAP.  Healthcare cost savings were attributed to the careful matching of EAP clients with treatment providers and consistent follow-up to ensure that the clients became actively engaged in the treatment process.  (Dainas, 2000)

• A safer work environment – reductions in distraction reduce on the job injuries.

• Enhanced workplace morale.

• Employee retention – providing an EAP benefit helps your organization retain talented, experienced staff.

The estimated costs to replace an employee range from 30% of an employee’s annual salary for entry level and unskilled workers to five times the annual salary for executives.

- The High Cost of Low Morale – Carol A. Hacker