The Impact of Drug Intervention on the Bottom Line in Business

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The Impact of Drug Intervention on the Bottom Line in Business
02/05/2002

RickWade.jpgby Rick Wade, guest columnist

The statistics are staggering. An estimated 14.8 million Americans were illicit drug users in 1999. Of that group, 77 percent were employed either full-time or part-time. The fact is that untreated alcohol- and other drug-related problems greatly affect any employer's bottom line in the form of decreased productivity and increased on-the-job accidents, absenteeism, turnover and medical costs. And those costs are not just associated with employees who themselves have a problem. The on-the-job performance of workers whose family members or friends suffer from alcohol and other drug problems is also affected.

Alcohol and other drug abuse and addiction have a significant financial impact on society, with costs estimated at more than $100 billion dollars per year nationally. In South Carolina alone, our costs have reached $2.5 billion a year. In addition to absenteeism and turnover, employers of workers with substance-abuse problems also suffer from higher healthcare costs. In fact, Blue Cross/Blue Shield found that families' healthcare costs decreased by 87 percent after treatment.

In South Carolina, studies show that the average abuser is injured on the job two to five times more often than a non-abuser. The average abuser is 26 percent to 31 percent less productive than the average non-abusing employee. And, alcohol and other drug abuse in South Carolina is a factor in 33 percent to 39 percent of all insubordination problems and product- or service-quality problems.

The good news is that prevention and treatment work. South Carolina provides a wide array of prevention, intervention and treatment services at the community level through 34 county alcohol and drug abuse authorities serving all 46 counties of the state. The costs for prevention and treatment are far less than the cost of ignoring the problem. Specifically, every $1 invested in treatment nets a $4 return in savings associated with the reduction in drug-related crime, criminal justice costs and theft.

Employers of all sizes, from the largest corporation to the smallest neighborhood business, have everything to gain by taking an active role in addressing their employees' alcohol- and other drug- related problems and supporting the recovery process. By committing to an alcohol- and other drug-free workplace and supporting prevention, treatment and recovery programs for employees and their families, organizations experience a variety of benefits including increased productivity, reduced errors, reduced absenteeism and improved safety.

It's time we all commit to improving our workplaces, our schools, our homes and our communities. It's the bottom line.

Appointed by Governor Jim Hodges in January 1999, Rick C. Wade is the director of the South Carolina Department of Alcohol and Other Drug Abuse Services (DAODAS), the state agency responsible for ensuring the availability and accessibility of alcohol, tobacco and other drug abuse prevention, intervention and treatment services throughout South Carolina. DAODAS and its statewide network of 34 county alcohol and drug abuse authorities provide direct services to residents in all 46 counties of the state.
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