Estimation of
Costs Associated with
Employee Drug and
Alcohol Use
This worksheet is provided to give
business owners an idea of some of the costs associated with drug and alcohol
abuse. For this example, we have used the average cost of an employee,
which includes salary, benefits and overhead to be $30,000.
| FACT |
ESTIMATED COSTS |
YOUR ACTUAL COSTS |
| Employees
using drugs and/or alcohol on the job are 1/3 less productive.
1/3 x $30,000 = $10,000
(there are usually 2080 hrs/ work year. |
$10,000
|
|
| They are
absent three times more often.
Estimating that the average
employee misses 10 days/yr.
Estimating that the abuser
misses 30 working days/yr.
$30,000 yr = $115/working
day x30 days = $3,450 |
$3,450
|
|
| They are
late three times more often. Estimating that the average employee is an
hour late 10 times/yr.
$30,000/2,080 = $14.42
per hr x 10 = $144.20 x 3 = $432.60. |
$433
|
|
| They are
five times more likely to file a Worker’s Compensation claim.
Estimating cost/employee
= $500 x 5 = $2,500 |
$2,500
|
|
| They have
3.6 times more accidents than other employees.
Estimating the average
accident costs in either property, down time, injury to customer or other
employees = $500
Estimating the average
number of accidents per employee/yr. = 1 1 x $500 x 3.6 = $1,800 |
$1,800
|
|
| Your Estimated
Cost for each employee with these problems |
$18,183
|
|
|