Employee Assistance Program costs are worth the benefits your company will receive when adding an existing program into your benefits package.
Employee Assistance Program
If you are not familiar with Employee Assistance Programs (EAP), now is a good time to introduce it to your human resource department. EAPs offer numerous services to your employees in need. Employees enter the program both voluntarily and under confidentiality with their counselors.
Services offered include (but are not limited to):
- Counseling for depression, stress anxiety, and grief
- Counseling for alcohol and drug abuse
- Assistance with issues in the workplace
- Aid in time of financial difficulties
- Help with family and marital issues
- Legal assistance
- And more
Employee Assistance Programs are available to employees and their immediate families, including dependent children.
Employee Assistance Program Savings
Utilizing an Employee Assistance Program can be expensive. However, many programs are already in place to help your company save money. Just like health insurance and retirement plans, an Employee Assistance Program is considered an employee benefit.When you look at the statistics of Employee Assistance Program savings, you can see that businesses who utilize the program to the fullest save the most money.
Studies show that businesses who implement an EAP save $5 to $16 for every $1 they spend. The U.S. Department of Labor published results of large corporations who utilized EAPs. One such business is General Motors who saved a few million dollars using an Employee Assistance Program. They found that the EAP has resulted in a:
- 40% decrease in lost time
- 60% decrease in sickness and accident benefit
- 50% decline in filed grievances
- These savings resulted in $ 3.7 million savings in annual health care costs
These numbers are not uncommon in large businesses taking full advantage of an EAP.
Employee Assistance Program Costs
With any program your company decides to implement, there are costs associated with running it.
If you are unsure whether the costs are worth the savings, review the cost benefits of Employee Assistance Programs first.
There are different programs out there that offer EAP services. Spend time researching your options and comparing prices of different programs offered before choosing one for your company.
Costs will vary according to many different factors including:
- What state you live in (some offer state-funded programs for certain fields)
- Size of your company
- Industry you work in
- Proximity to services
Many hospitals offer all the Employee Assistance Program benefits in one place at an affordable cost. If you are beginning your research, start with your local hospital program. Ask them if they have a preference or recommendation in who you get the service through. Chances are, most EAP brokers will route you through the hospital anyway.
Human Resource Benefits Programs
If you are a smaller company, you may currently be outsourcing your human resource responsibilities like payroll, health insurance and workman's compensation. Employee Assistance Program savings can be passed on to you through the use of this service. Call your local representative and ask him how much it would cost your company to add an EAP to your current list of benefits.
Other Places that Offer EAPs
If you live in a bigger city, chances are EAP programs are offered through foundations like A Chance to Change or other behavioral clinics. While researching, check to see if they offer EAP programs and compare costs and benefits.
Different EAP Plans
Before choosing the EAP you want your company to use, make sure you compare plans. Websites like EAPquotes offer a price comparison. Make sure, as with any quote you receive, you look at the full picture and not just the bottom line price.
Costs vs. Advantages
Employee Assistance Program costs are worth the benefits. Offering your company an Employee Assistance Program will benefit your business in the long run:
- Increased productivity due to the ability to work through personal problems. When an employee is happy at home, he is more productive at work
- EAP programs can help connect your employees to the help they need. All in house counseling is free to your employee, making it easier for him to get the help he needs
- When employees are happier, moral in the workplace goes up, which again correlates with increased productivity
- All of the above help to decrease absenteeism due to sick time or family leave, fewer accidents in the work place, and even an increase in employee retention
When you factor in the savings and long term advantages, how can your company afford not to implement an EAP?