• Menu
  • Skip to main content
  • Skip to secondary navigation
  • Skip to primary sidebar
  • Skip to footer

Before Header

  • About
  • Search
  • Resources
  • Privacy
  • Contact
 

Amaxx Workers Comp Blog

Reduce Workers Compensation Costs By 20-50%

Header Right

  • Home
  • Books
    • Big Book
    • Mini Book
  • Training
    • WC Mastery Membership
    • Course Curriculum
    • Certified Master of Workers’ Compensation
    • Certified Master of WC – Best in Class
  • Coaching
    • CompElite Strategic Coaching for Employers
    • BrokerElite Coaching for WC Business Growth
  • IMR Software
    • IMR Comprehensive
    • IMR Metrics Suite
  • Blog
  • WC Help

Mobile Menu

  • Home
  • Books
    • Big Book
    • Mini Book
  • Training
    • WC Mastery Membership
    • Course Curriculum
    • Certified Master of Workers’ Compensation
    • Certified Master of WC – Best in Class
  • Coaching
    • CompElite Strategic Coaching for Employers
    • BrokerElite Coaching for WC Business Growth
  • IMR Software
    • IMR Comprehensive
    • IMR Metrics Suite
  • Blog
  • WC Help
  • About
  • Search
  • Resources
  • Privacy
  • Contact
You are here: Home / Medical & Pharmacy Management / Prescription Drug Use & Abuse / How Prescription Drugs Impact Your Company and What You Can Do About It

How Prescription Drugs Impact Your Company and What You Can Do About It

March 5, 2018 By //  by Michael B. Stack

How Drugs Impact Your Company and What You Can Do About It More than 70 percent of employers say they have felt the impact of prescription drug usage. That sobering statistic from the National Safety Council highlights the fact that, despite successful efforts by some employers and Pharmacy Benefit Managers to stem the abuse and misuse of opioids and other legal drugs among injured workers, the workplace continues reeling from the effects of legal medications.

The NSC’s survey of employers shows there are many areas where employers can take action to address the issue, and for each employee helped, employers can save more than $3,200 annually. Representatives of the NSC, United Airlines, and the Workers Compensation Research Institute will unveil the latest research on how opioids are impacting employers, and the duration of disability for injured workers, during WCRI’s upcoming annual conference.

Substance Use Disorder

‘Substance use disorder’ is the current term to describe the recurrent use of alcohol and drugs that cause clinically and functionally significant impairment, including health problems, disability and a failure to meet major responsibilities at work, school or home. The terms substance abuse and substance dependence are no longer used, according to the latest version of the Diagnostic and Statistical Manual of Mental Disorders.

In 2014, there were an estimated 1.9 million people with opioid use disorder related to prescription pain relievers and an estimated 586,000 with an opioid use disorder related to heroin use. There are a variety of symptoms, such as an inability to control or reduce use, continued use despite interference with major obligations or social functioning, use of larger amounts over time, development of tolerance, spending a great deal of time to obtain and use opioids, and withdrawal symptoms that occur after stopping or reducing use, such as negative mood, nausea or vomiting, muscle aches, diarrhea, fever, and insomnia.

Impact on Employers

Absenteeism is cited as the #1 impact of prescription drugs in the workplace, according to the NSC survey. Workers who have substance use disorders miss almost 50 percent more work days than their peers — up to six weeks annually.

Using pain relievers at work, having a positive drug test and being impaired or having decreased job performance were also included on the list of ways prescription drugs have impacted companies.

‘Near miss or injury’ was named by 15 percent of the respondents as a problem among prescription drug abusers. 84 percent of the employers cited concern over the costs of workers’ compensation because of prescription drug use.

Here are some additional findings from the survey:

  • 76 percent are not offering training on how to identify signs of misuse.
  • 81 percent lack a comprehensive drug-free workplace policy. Of those that do a drug test, 41 percent don’t test for synthetic opioids.
  • 19 percent feel ‘extremely prepared’ to deal with prescription drug misuse.
  • 70 percent would like to help employees return to work following appropriate treatment.
  • 88 percent are interested in insurance coverage for alternative pain treatments

The NSC conducted the survey of more than 500 HR decision makers for companies with at least 50 employees. Looking at specific industries and demographics, the Council said construction, entertainment, recreation and food service sectors have twice the national average of employees with substance use disorders.

Industries dominated by women or older adults had a two-thirds lower rate of substance abuse, and industries that have higher numbers of workers with alcohol use disorders also had more illicit drug, pain medication and marijuana use disorders

Employers were most concerned about the costs of benefits associated with substance use disorders, and their ability to hire qualified workers. They were less concerned about drug misuse and illegal drug sales or use.

The NSC also said that workers who are in recovery have lower turnover rates and are less likely to miss workdays, less likely to be hospitalized and have fewer doctor visits.

While 71 percent of employers say prescription drug misuse is a disease that requires treatment, 65 also feel it is a justifiable reason to fire an employee.

Action Steps

Healthcare costs for employees who misuse or abuse prescription drugs are three times higher than for other employees. And the annual cost of untreated substance use disorder ranges from $2,600 to as high as more than $13,000 per employee.

The good news is employers can take steps to protect their companies and employees. They include:

  1. Recognize prescription drugs impact the bottom line
  2. Enact strong company drug policies
  3. Expand drug panel testing to include opioids
  4. Train supervisors and employees to spot the first signs of drug misuse
  5. Treat substance abuse as a disease
  6. Leverage a best-in-class Pharmacy Benefits Management provider relationship

Conclusion

Nearly 21 million are living with substance use disorders of one type or another; more than the entire population of the state of New York. Most of those people are employed.
The problem costs the U.S. economy more than $400 billion per year. Employers can play a significant role in reducing this epidemic. In fact, employer-supported and monitored treatment yields better-sustained recovery rates than treatment initiated at the request of friends and family members.

Michael Stack - Amaxx Author Michael Stack, CEO Amaxx LLC. He is an expert in workers’ compensation cost containment systems and helps employers reduce their workers’ comp costs by 20% to 50%. He works as a consultant to large and mid-market clients, is a co-author of Your Ultimate Guide To Mastering Workers Comp Costs, a comprehensive step-by-step manual of cost containment strategies based on hands-on field experience, and is founder & lead trainer of Amaxx Workers’ Comp Training Center.

Contact: mstack@reduceyourworkerscomp.com.

Workers’ Comp Roundup Blog: https://blog.reduceyourworkerscomp.com/

©2018 Amaxx LLC. All rights reserved under International Copyright Law.

Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker, attorney, or qualified professional.

Filed Under: Prescription Drug Use & Abuse

Related Articles

Prescription Drug Abuse

Opioid Study Highlights Effective Use and Dangers

Opioid Study Highlights Effective Use and Dangers

Tools to Combating Pharmacy Spend in Workers’ Compensation

Tools to Combating Pharmacy Spend in Workers’ Compensation

Prescription Drug Formularies to Reduce Workers’ Comp Costs

Prescription Drug Formularies to Reduce Workers’ Comp Costs

New Federal Guideline Aims To Clarify Safe Opioid Weaning Practices

New Federal Guideline Aims To Clarify Safe Opioid Weaning Practices

Brand Name and Specialty Drugs Drive Up Workers’ Comp Pharmacy Costs

Brand Name and Specialty Drugs Drive Up Workers’ Comp Pharmacy Costs

Weeding Out The Truth About Medical Marijuana

Weeding Out The Truth About Medical Marijuana

NCCI Report Highlights Early Identification of Prescription Drug Abuse

NCCI Report Highlights Early Identification of Prescription Drug Abuse

11 Tips for Safe Use of NSAIDS to Treat Pain in Workers’ Compensation

11 Tips for Safe Use of NSAIDS to Treat Pain in Workers’ Compensation

Keeping Up With Clinical Trends – Use Of Hepatitis C Medications In Workers’ Compensation

Keeping Up With Clinical Trends – Use Of Hepatitis C Medications In Workers’ Compensation

Fentanyl in Workers’ Compensation – 4 Ways to Keep Injured Workers’ Safe

Fentanyl in Workers’ Compensation – 4 Ways to Keep Injured Workers’ Safe

Compounded Medications — 6 Solutions to Address a Nagging Issue for WC

Compounded Medications — 6 Solutions to Address a Nagging Issue for WC

4 Ways to Stay Vigilant On Specialty Medication Costs

4 Ways to Stay Vigilant On Specialty Medication Costs

Train to Succeed

BECOME CERTIFIED IN WORKERS’ COMPENSATION

Proven Course Catalog & WC Toolbox Give You The Power To Achieve Lower Costs and Better Injured Worker Outcomes

VISIT WORKERS' COMP TRAINING CENTER

Free Download

The 6-Step Process To Determine Workers' Comp Injury Causation - FREE Download Click Here Now!

Previous Post: « Fourteen Steps Employers Can Take to Manage Workers Compensation Claims
Next Post: NCCI Report Recap: How Professional Administration Factors In »

Primary Sidebar

FREE DOWNLOAD

The 6-Step Process To Determine Workers' Comp Injury Causation - FREE Download Click Here Now!

Our Sponsors

Catastrophic and Risk Solutions, Case Management Solutions, and Specialty Networks
 

WC Cost-Driver Metrics Suite

Blog Categories

Search Our Archive

Subscribe to Our FREE Newsletter

Return-to-Work Essentials

Footer

Search Our Archive

Search our continually growing archive of over 5,000 articles about Workers' Comp issues.

Quiclinks

  • Calculators
  • Terms & Abbreviations
  • Glossary of WC Premium Terms
  • WC Resources
  • Best Practices
  • Industries
  • Return-to-Work Essentials

RSS Recent Blog Posts

  • Building Partnerships, Not Transactions: The Secret to Better Claims Outcomes
  • Building Your Workers’ Comp Dream Team
  • Your Workers’ Comp Oasis: Why Vision Comes Before Action
SUBSCRIBE TO OUR FEE NEWSLETTER
Let Us Help You Stomp Down the High Cost of Workers' Comp!
Top of Page ↑
  • Home
  • Training Center
  • Search
  • Membership
  • Products
  • Blog
  • About
  • Contact
  • Subscribe
  • Login
Copyright © 2025 Amaxx, LLC. All Rights Reserved. · Privacy Policy / Legal Notice