By Christine Vanlandingham
In tough budget climates, there is a strong business case for supporting family caregivers.
Employee turnover is a costly issue for US businesses. According to the Society for Human Resource Management (SHRM), replacing an employee can cost between 50% to 60% of their annual salary. For employees who are caregivers, the stress and demands of their dual roles can lead them to resign from their jobs. Older Americans Act (OAA) caregiver support programs, which include respite care, counseling, training, and more, provide essential resources that enable employed caregivers to continue working without sacrificing their own well-being or the care they provide to their loved ones.
Beyond employee turnover risks, caregiving responsibilities can lead to significant lost productivity in the workplace. According to a report by AARP, U.S. businesses lose up to $33.6 billion annually due to lost productivity from full-time employees who are caregivers. This loss is often due to absenteeism, distractions, and the need to take time off work to provide care. By supporting caregiver programs, employers can help mitigate these losses and support staff. Respite care and other support services provided under the OAA give caregivers the time and resources they need to manage their caregiving duties without compromising their job performance. This support allows employees to remain focused and productive while at work, reducing the overall impact on the business.
Employee engagement is a critical factor in the success of any organization. Engaged employees are more likely to be motivated, committed, and productive. However, the stress and demands of caregiving can significantly impact an employee’s ability to engage fully with their work. The OAA’s caregiver support programs can alleviate some of this stress by providing essential resources and support. When employees feel supported by their employers, they are more likely to be engaged and satisfied with their jobs. This increased engagement can lead to higher productivity, better job performance, and a more positive work environment.
According to the National Alliance for Caregiving and AARP, approximately 53 million Americans are caregivers, with many balancing these responsibilities alongside their jobs. The Family Caregiver Alliance reports that 60% of family caregivers are employed full-time or part-time. Additionally, a study by the MetLife Mature Market Institute found that working caregivers cost employers an estimated $13.4 billion annually in increased health care costs.
The evidence is clear: supporting caregivers through programs like the Older Americans Act is not only beneficial for employees but also for employers. By reducing employee turnover, minimizing lost workplace productivity, and increasing employee engagement, caregiver support programs offer a significant return on investment. It is crucial for policymakers, business leaders, and communities to continue to support and expand these programs. By doing so, we can create a more compassionate, productive, and engaged workforce, ultimately benefiting our society as a whole.
We urge Congress to continue funding and expanding the Older Americans Act and other similar programs that support America’s caregivers. Business leaders should also recognize the value of these programs and actively support their employees who are caregivers. Together, we can make a meaningful difference in the lives of caregivers, address lost workplace productivity costs, and improve the overall health of our workforce and economy.
To lend your voice to support for Older Americans Act and other programs that support America’s caregivers, contact your state and federal legislators. You can find their contact information at areaagencyonaging.org/advocacy.
Christine Vanlandingham is CEO of Region IV Area Agency on Aging in Southwest Michigan. Questions on age or independence services? Call the Info-Line for Aging & Disability at 800-654-2810 or visit areaagencyonaging.org. The Generations column appears each weekend in The Herald-Palladium.