Employees are a company's most valuable resource. However, personal and emotional problems can and do effect an employee's ability to perform on a job. These problems effect work performance, morale, and ultimately, a company's productivity and profitability. Personal problems result in a high incidence of employee absenteeism, inefficiency, and turnover, as well as an increase in accidents and worker compensation claims. This is costly to both the worker and to the employer. An Employee Assistance Program offers a comprehensive means of helping companies and their employees effectively deal with problems. These problems, whether related to alcoholism, drug dependency, marital, family or their personal problems can and are being successfully treated through counseling.
The Washington Business Group on Health recently conducted a survey of 100 major corporations and identified 68 which provided benefits for mental illness, alcoholism, drug abuse and stress. The majority of these companies reported that a direct benefit of their programs was increased employee productivity. For example: General Motors Corporation estimates $3,700 a year was recovered per employee in terms of productivity increased and work-time regained after the company's employee assistance programs were implemented.
Experts estimate personal problems underlay 60% of all absenteeism. The survey cited above also showed a dramatic reduction in absenteeism for employees who had participated in mental wellness programs. Specifically: (a) Illinois Bell Telephone found that its alcoholism program returned a savings of $1,142 per employee in wage replacement alone, resulting from decreased sickness and accident disability; (b) A Michigan Oldsmobile plant saved $233,000 in recovered worktime after an alcoholic rehabilitation and drug treatment program was implemented.