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Indiana Alcohol Forum September 10, 2004 Indianapolis, IN

Indiana Alcohol Forum September 10, 2004 Indianapolis, IN. Thinking Outside of the Bottle Pamela L. Ruster, LCSW, CEAP President and CEO Supportive Systems, LLC Indianapolis, IN 46224 (317) 788-4111 (800) 660-6645. Economic Impact. Losses attributed in 1995

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Indiana Alcohol Forum September 10, 2004 Indianapolis, IN

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  1. Indiana Alcohol ForumSeptember 10, 2004Indianapolis, IN Thinking Outside of the Bottle Pamela L. Ruster, LCSW, CEAP President and CEO Supportive Systems, LLC Indianapolis, IN 46224 (317) 788-4111 (800) 660-6645 Supportive Systems, LLC ~ Corporate Development

  2. Economic Impact Losses attributed in 1995 to alcohol alone were estimated at $119 Billion The Economic Costs of Alcohol and Drug Use in the United States. Rockville MD, NIDA, 1998 Supportive Systems, LLC ~ Corporate Development

  3. Economic Impact “Cost of illness” for alcohol abuse in 1998 were estimated to be $185 Billion Supportive Systems, LLC ~ Corporate Development

  4. Statistics Impacting the Workplace • 40% of industrial fatalities are related to alcohol use • 47% of industrial injuries are linked to alcohol consumption and alcoholism Occupational Medicine, Vol. 2, No. 4 1989 Supportive Systems, LLC ~ Corporate Development

  5. Economic Impact • Productivity Losses: $134 Billion • Value of Goods and Services not produced because of alcohol abuse Supportive Systems, LLC ~ Corporate Development

  6. Facts you need to know • Alcohol abuses are: • Five times more likely to file a worker’s compensation claim • Incur 300% higher health costs • 1/3 less productive • Absent from work 3 times as much TheRegionalDrugInitiative.org Supportive Systems, LLC ~ Corporate Development

  7. Statistics Impacting the Workplace • $50 is the average monthly healthcare expenditure for a normal citizen: the early alcoholic is spending double that amount 10 years before crisis state • By the time the alcoholic reaches crisis state the cost is 10-12 times that amount • Alcoholics are susceptible to illness: and occupy 25-40% of hospital beds Commission on Model State Drug Laws Report 1989 Supportive Systems, LLC ~ Corporate Development

  8. Statistics Impacting the Workplace • Replacing an employee costs: • Recruiting • Advertising • Interviewing • Training • And the risk of the new person having an addiction… just like the last person! Supportive Systems, LLC ~ Corporate Development

  9. Statistics Impacting the Workplace • Just a 5% decrease in employee turnovers lowers operational costs by 10% and Increases productivity by a significant 65% • Harvard Business Review Supportive Systems, LLC ~ Corporate Development

  10. Did You Know Human Resource Dept. Professionals state: • they don’t know how torecognize addictions 54% • they areunsure how to get someone treatment 36% • It is easier to terminate than to get treatment 25% • Therapy/treatment is too expensive 25% • “Making Recovery America’s Business”, Workplace Addiction Survey: Hazelden Foundation Supportive Systems, LLC ~ Corporate Development

  11. Positive Points • 84% of HR professionals see addiction as a chronic illness or disease process • 80% recommended treatment over firing • 73% of employees returned as productive members of the workforce • 89% believe addiction treatment to be effective “Making Recovery America’s Business”, Workplace Addiction Survey: Hazelden Foundation, www.hazelton.org Supportive Systems, LLC ~ Corporate Development

  12. Statistics Impacting the Workplace • Identification, treatment and follow-up can bring the alcoholic to near normal healthcare usage within 2-3 years • Addictions treatment accounts for 15% of healthcare cost when untreated compared to 1% when treated. Commission on Model State Drug Laws Report Supportive Systems, LLC ~ Corporate Development

  13. Mental Health Parity • Despite concerns that mental health parity would spiral premiums, The 2000 Rand Study demonstrated substance abuse parity increased costs by a little as .7% Supportive Systems, LLC ~ Corporate Development

  14. Statistics Impacting the Workplace • 10% of the Hotel industry admit to heavy alcohol use in the past 30 days. • 15% of the “Eating and Drinking places”: admit to heavy alcohol use. “Drug Abuse among US Worker: Prevalence and Trends by Occupation and Industry Categories”, US Dept of Health and Human Services, 1996 Supportive Systems, LLC ~ Corporate Development

  15. After Treatment, in the hospitality industry alone… • Job related injuries dropped from 9% to 5% • Tardiness decreased from 39% to 7% • Absenteeism dropped from 42% to 5% • Job errors fell from 32% to 6% • Failure to complete assigned tasks fell from 23% to 5% “Drug Abuse among US Worker: Prevalence and Trends by Occupation and Industry Categories”, US Dept of Health and Human Services, 1996 Supportive Systems, LLC ~ Corporate Development

  16. Construction Industry • Highest rate of any industry for substance abuse among fulltime workers between the ages of 18 and 49 • 14% report heavy alcohol use “Drug Abuse among US Worker: Prevalence and Trends by Occupation and Industry Categories”, US Dept of Health and Human Services, 1996 Supportive Systems, LLC ~ Corporate Development

  17. After Treatment, in the construction industry alone… • Worker comp claims and general liability insurance for one small paving company increased by 100%. • The company reports a $60,000+ savings by instituting a substance abuse testing and treatment program. “Drug Abuse among US Worker: Prevalence and Trends by Occupation and Industry Categories”,US Dept of Health and Human Services, 1996 Supportive Systems, LLC ~ Corporate Development

  18. Contributing Factors • Workplace Culture • Workplace Alienation • Alcohol Availability • Supervision • Policies Source: NIAAA Supportive Systems, LLC ~ Corporate Development

  19. Effects of Employee Drinking • Hangovers at work correlated with sleeping on the job, conflicts with co-workers, sick at work; • Absenteeism, tardiness, or leaving early • Decreased productivity • Diminished quality Supportive Systems, LLC ~ Corporate Development

  20. Steps Employers can Take • Establish a Drug Free Workplace • Write a clear and comprehensive policy • Provide an EAP • Train supervisors • Educate employees • Conduct Drug and Alcohol Screening Supportive Systems, LLC ~ Corporate Development

  21. Prevention Includes • Health Promotion Programs • For all employees • Coping Skills Intervention • For employees • For supervisors Supportive Systems, LLC ~ Corporate Development

  22. Prevention and Early Detection • Employee Assistance Programs • Train supervisors to recognize problems • Provide timely and confidential assessment • Refer employees for treatment • Work with community resources to provide needed services • Conduct follow-up after treatment Supportive Systems, LLC ~ Corporate Development

  23. Future of the Workforce • Substance abuse is increasing for American teenagers…up 78% in the past three years. • Substance abusers do not make good employees. Supportive Systems, LLC ~ Corporate Development

  24. Future of the Workforce • What will you do? Supportive Systems, LLC ~ Corporate Development

  25. Indiana Alcohol ForumSeptember 10, 2004Indianapolis, IN Thinking Outside of the Bottle Pamela L. Ruster, LCSW, CEAP President and CEO Supportive Systems, LLC Indianapolis, IN 46224 (317) 788-4111 (800) 660-6645 Supportive Systems, LLC ~ Corporate Development

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