Can your organization benefit from Capital EAP?

Interpersonal challenges, emotional problems, stress both on and off the job – these issues account for more lost productivity, and lost profits, than any other single business challenge. Most employers recognize how much these issues impact the quality of a business environment and the effectiveness of an employee, but few have the expertise to address the problem. Too often, the problem is simply ignored.

  • It is estimated that nearly 1 in 5 employees are experiencing some interpersonal challenge, emotional problem or mental health issue at any point in time.
  • It is estimated that the cost to an employer for each worker experiencing and not being treated for a mental health problem ranges from $3,300 to over $12,000 per year in combined direct and indirect costs.

At Capital EAP our expertise is people. Improving attitudes, emotions and behaviors in the business environment is what we do. And the cost to address the problem is far less than the cost of ignoring the problem.

The average cost for a Capital EAP benefit is $29 per employee, per year

 

A Business Case

  • The Business Problem: What’s really happening at your organization

    The Business Problem

    The mind-body connection is undeniable. People who have untreated mental health issues use more general health services, have lower productivity, make more mistakes and cost an employer significantly more money, than those who seek and receive assistance.

    • At any given point in time, 18% of employed individuals are experiencing symptoms of a mental health issue
    • By rank, the most costly health conditions to employers (including direct and indirect costs):
    1. Depression
    2. Obesity
    3. Arthritis
    4. Back and neck pain
    5. Stress and Anxiety
    • 77% of workers say they are worried about the physical impact of stress; work-related stress is ranked among the highest sources of stress among employed individuals
    • Over 90% of employees surveyed said that mental health and emotional issues negatively impact their productivity and the quality of their work, and/ or are responsible for an increase in errors while on the job
    • While 34% of people call in sick to work at the last minute due to “illness,” 66% are in fact taking time off to deal with personal or family mental health issues, not physical illness
    • Researchers estimate that up to 80% of all medical illnesses reported to primary care physicians have a strong emotional or stress-related component
    • More than 1 in 3 people said that “stigma is a very important reason not to seek help.”

    Data sources: World Health Organization, Harvard Medical School, Mayo Clinic, National Institute on Mental Health, CDC, U.S. Department of Health and Human Services

  • The Consequences: Reduced Productivity and Lost Profits

    The Consequences

    • More days of work loss and work impairment are caused by mental illness than by any other chronic health condition including arthritis, asthma, back pain, diabetes, hypertension and heart disease
    • Depression alone results in more days of disability than heart disease, hypertension and diabetes combined
    • Although these disorders cause absenteeism, the biggest impact is in lost productivity and errors
    • The majority of employer expenditures (typically over 70%) associated with mental illness and substance abuse disorders are in the indirect costs of employee absenteeism, presenteeism (i.e., when people are at work but not fully productive), turnover, and training costs for replaced workers
    • Factoring in the impact of absenteeism, presenteeism, distraction, errors, idle time, and attending to personal issues while on the job, one study reported a productivity decline of 37.5% for workers who are experiencing untreated mental health issues
    • Costs associated with stress-related physical illnesses, periods of disability, absenteeism, job turnover and productivity are estimated to reduce U.S. industry profits by more than 10 percent

    Data sources: World Health Organization, Harvard Medical School, Mayo Clinic, National Institute on Mental Health, CDC, U.S. Department of Health and Human Services

  • Capital EAP: Improved Productivity, Wellness and Morale

    Fixing the Problem

    Whether it’s emotional or behavioral health problems, issues at home with family members, or interpersonal problems at the office, Capital EAP has more than 30 years’ experience helping organizations, their employees and their families to get better, and perform better.

    • Capital EAP provides services to your employees and their families to improve mental health, wellness and quality of life.
      Mental Health Therapy Wellness Services Family Counseling
      Crisis Services Diet & Nutrition Life Coaching
      Financial Support Legal Support Spiritual Guidance
    • Capital EAP also provides a complete collection of services to you and your management team to improve productivity, efficiency, skills and morale, and to address discipline issues and assist during a crisis.
      Mandatory Counseling Referrals On-site Crisis Support HR Support
      Substance Abuse Assessments Supervisory Consultations Employee Relations
      Compliance Training Supervisor Education Employee Skills Training

    Our website has much more information about the services provided by Capital EAP
    Learn more about Capital EAP Services

  • Return on Investment

    Return on Investment

    • A worker with an average salary of $35,000 who is struggling from a mental health or emotional issue is losing over 37% of their day to these personal issues. That lost time costs your organization over $12,000 annually
    • With 18 out of every 100 employees under-producing due to mental health issues, the cost annually for an organization with 100 employees is over $216,000 in lost productivity
    • Across the more than 38,000 Capital EAP members in the Greater Capital Region, an average of 6.7 out of every 100 employees use their EAP benefit to solve their mental health issues, and return to normal productivity levels. Some organizations have as many as 20 out of 100 employees using our clinical services
    • The re-gained productivity (6.7 x $12,000) for an average Capital EAP organization with 100 employees is $80,400
    • The average annual contract cost for Capital EAP Services for a 100-employee organization is $2,900. ($29 per employee, per year)

    Most Capital EAP customers see a greater than $18 return for every $1 they spend.

The data behind the ads

The average annual contract cost for Capital EAP Services for a 100-employee organization is $2,900.
($29 per employee, per year).

 

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Survey by Mental Health America, 2012

More than 90% of employees agreed that their mental health and personal problems spill over into their professional lives and have a direct impact on their job performance. Mental Health Conditions are the second leading cause of absenteeism in the U.S. One of the most common health problems for adults within the United States workforce is depression. Dr. Keith Dixon, president of Cigna Behavioral Health, states that “more than 70% of people diagnosed with depression are employed.” (Sipkoff, 2006)

 

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American Institute of Stress

Thirty-four percent of lost productivity is caused by depression and stress disorders, yet 86 percent of employees with stress or depression prefer to suffer in silence and businesses pay the price. Untreated stress has been called the “health epidemic of the 21st century” by the World Health Organization and is estimated to cost American businesses up to $300 billion a year according to the American Institute of Stress. Costs associated with stress-related physical illnesses, periods of disability, absenteeism, job turnover and productivity are estimated to reduce U.S. industry profits by more than 10 percent.

 

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National Study of Employee Productivity, Andrew Walton & Associates, 2006

Results from a national study estimated a performance fall-off (Productivity Decline) of 37.5% when an employee is experiencing personal difficulties and behavioral health issues. This was determined by measuring the impact on productivity from factors including unscheduled absenteeism, lateness, use of personal communications (telephone calls, email, text and web-use) during business hours; distractions, disengagement and idle time (presenteeism), and inter-employee distraction (distraction to other workers).

When you’re ready

We’re happy to talk any time about your organization and how our service can help address these important issues. In the meantime, the folks at The Partnership for Workplace Mental Health and The American Psychiatric Foundation have put together a terrific Business Case that talks more about the importance – and impact – of a mentally healthy workplace.

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Contact us for a Quote

Call Jayme McRee, Senior Director at Capital Counseling and Capital EAP to learn more about building a mentally healthy workforce.

(518) 462-6531 Ext 109

Or Contact us online