Biz owners see ROI after helping employees

Every $1 invested in an employee and family assistance program (EFAP) translates into a return on investment of $8.70, finds a study by Morneau Shepell research group. That’s due to a combination of improved productivity at work and less time away from work.

Read: 3 challenges for small biz owners

“One of the most critical factors for business success is employee productivity: it impacts an organization’s bottom line,” says Paula Allen, vice president, Research and Integrative Solutions at Morneau Shepell. “The personal issues of employees impact their productivity. The typical cost of an EFAP is about 1% of the cost of a health benefits plan.”

Read: Can small business cope with skills shortage?

Key finds include:

• 63% of employees’ productivity at work had been negatively impacted in the four weeks before they contacted their EFAP because of the issue that led them to call;
• employees seeking help through EFAP recorded a 35.9% increase in productivity at work;
• employees using their EFAP recorded less time away from work; and
• one-third of employees say they would’ve been off work for more than 20 days were it not for the support they received.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.