Why Do Small Businesses Need a Substance Abuse Policy?
From an employer's perspective, the most pressing reason for having a substance abuse policy is the social reality of the problem itself -- since nearly three-quarters of illegal drug users have a full- or part-time job. For small businesses, having a well-defined substance abuse policy is even more critical -- since spiraling absenteeism, missed workdays and health insurance premiums can quickly eat into their payrolls, and ultimately, their annual bottom line.
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Costs And Liabilities
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Without a substance abuse policy, small businesses expose themselves to higher costs -- beginning with health insurance, which is doubly expensive for employees with alcohol problems, according to a Substance Abuse and Mental Health Administration (SAMHSA) fact sheet. Employees using alcohol or other drugs are three and one-half times likelier to suffer job-related injuries, leading to higher workman's compensation and insurance claims. Increased absenteeism rates hurt productivity, as other employees must pick up their missing coworker's responsibilities.
Employee Safety Protections
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Establishing a policy signals the company's commitment to protecting safety, according to a U.S. Occupational Health and Safety Administration (OSHA) overview. Ten to 20 percent of workers who die in job-related accidents test positive for alcohol or other drugs. Not surprisingly, some of the industries with the highest occupational injury rates -- such as construction, mining and manufacturing -- tend to have equally high incidences of substance abuse, according to OSHA.
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Long-Term Savings
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Setting out a policy lets workers know that they can eventually return to work, once they have received appropriate treatment. Small businesses benefit from lower turnover -- since employees with substance abuse problems are twice as likely to change jobs in a year than their peers who don't have such problems. Employers also get a larger return on their investment. According to SAMHSA's fact sheet, research has shown that investing in employee assistance programs exceeds the cost by a 12 to 1 ratio.
Legal Requirements
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Employers may also be required to implement substance abuse polices for legal reasons. Federal law, for example, requires evidence of such policies for companies that are in the transportation industry -- or billing the U.S. government for $25,000 or more per year, according to Nationwide Medical Review. In addition, having such policies can put small employers in a better position to act against illegal drugs being used or sold during working hours.
Social Sanction
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When substance abuse policies are established, workers know that their employer has recognized the problem -- and is willing to take proactive steps to combat it. For example, trucking company owner Liz Tate took classes on recognizing the signs of substance abuse, and how to confront employees whom she suspected of having problems, "Inc" reported in July 2007. Such efforts let employees know that a company's culture will be less likely to tolerate illegal drug use.
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References
- Inc: More Employees Admit Drug Use, Alcohol Use: Tamara Schweitzer: July 2007
- Occupational Health and Safety Administration: Workplace Substance Abuse: July 2007
- Nationwide Medical Review: America's Drug Problem
- Substance Abuse and Mental Health Services Administration: The Cost of Substance Abuse: 2008
Resources
- Photo Credit Old-fashioned syringe image by odze from Fotolia.com
