Understanding the Productivity Costs That Come Along With Substance Use Disorders

substance use disorders

The impact of substance use on productivity

Substance use disorders have an impact on every area of a person’s life—including their productivity at work.

And, while output and performance likely aren’t your top concerns when an employee is struggling with substance use (obviously, their overall health and well-being come first),  the reality is that substance use disorders do have a measurable impact on worker productivity—and, as a result, your company’s success, morale, and bottom line.

We’re taking a closer look at how substance use impacts productivity and what you can do to help your employees thrive at work (and beyond).

Understanding substance use in the workplace

It’s tempting to think that addiction isn’t an issue within your workforce, but it’s alarmingly common. One out of every 11 U.S. workers reported having a substance use disorder within the past 12 months.

Substance use is even more prevalent in certain fields and occupations. In the construction industry, as just one example, 19% of workers said they had a substance use disorder.

It’s important to note that there’s a difference between substance use and a substance use disorder. Many people use substances sporadically or socially, such as having a few drinks at a company happy hour or taking a prescribed painkiller following a surgery. That’s considered substance use, and it’ll likely have little to no long-term impact on an employee’s work performance.

A substance use disorder, on the other hand, is when that use becomes frequent, compulsive, or disruptive—interfering with a person’s health, relationships, responsibilities, and ability to function at work or in daily life. It’s at this point that you’ll see tangible impacts at work, such as missed days, decreased focus, errors on the job, and strained team dynamics.

Direct impacts on individual productivity

Many people who struggle with substance use issues manage to maintain employment—but they also admit it’s increasingly challenging to do their best work.

Over 42% of employees who use substances say they experience a noticeable drop in their productivity as a direct result of their substance use. This happens for a variety of reasons, including:

  • Cognitive effects: Substance use can impair memory, focus, decision-making, and problem-solving, making it harder to complete tasks efficiently or accurately. Long-term substance use can cause fundamental changes in the brain (such as disrupting how neurons send, receive, and process signals), which can affect a person’s contributions at work—even if they aren’t actively using a substance at that exact time.

  • Physical effects: Substances don’t just alter the brain—they alter the body too. Fatigue, drowsiness, and other physical side effects of substance use can slow down work performance, as well as increase the potential for errors and risks.

  • Absenteeism and presenteeism: Substance use disorders are directly linked to increased absenteeism. When employees do show up to work, their substance use can cause them to perform below capacity or expectations (known as presenteeism). Understandably, both absenteeism and presenteeism have direct implications for a worker’s productivity.

  • Safety risks: In jobs that involve machinery, driving, or other physical or high-risk tasks, substance use increases the likelihood of accidents and errors. This doesn’t just hinder productivity, but also puts both the employee and their coworkers in unnecessary danger.

Ripple effects on the team and workplace

Substance use disorders don’t just affect the individual—they can create noticeable challenges for the entire team and workplace. When one employee struggles, the effects often ripple outward in the following ways:

  • Increased workload for coworkers:When an employee misses a day or a shift, falls behind on tasks, or needs extra supervision, coworkers often have to pick up the slack. This leads to added stress and potential burnout for the rest of the team.

  • Strained communication and collaboration: Substance-related issues can create misunderstandings, delays, or tension among team members, making it harder for them to work together smoothly and efficiently.

  • Lower morale: Seeing a colleague struggle, navigating increased conflicts, or dealing with the fallout of unaddressed substance use issues can lower your team’s spirits and engagement levels.
  • Disruption of workflows and productivity: When tasks are delayed or projects require rework, it’s not just a problem for one person. Often, the entire team’s efficiency suffers.

Organizational costs of substance use

It feels like a row of dominoes: substance use hinders an employee, which affects the team, which impacts your organization as a whole. From lost output to increased healthcare spending, the following organizational effects can quickly add up:

  • Lost productivity and reduced output: It’s quite literally costly when employees and departments can’t perform consistently. Across U.S. businesses, substance use issues cost companies an estimated $81 billion in lost profits every year.

  • Higher healthcare costs and insurance claims: High-quality substance use treatment can be costly. Additionally, substance use disorders often contribute to other health problems like injuries, cardiovascular issues, and mental health conditions. This all contributes to higher medical claims and insurance costs for employers.

  • More sick days and turnover: Employees with substance use disorders take nearly 50% more unscheduled leavethan other workers. Additionally, they have an average annual turnover rate that’s 44% higher than the workforce as a whole. This is disruptive and also leads to extra recruiting, onboarding, and training expenses.

  • Risk of liability in safety-sensitive industries: Employees struggling with substance use can create legal or regulatory risks for the organization, especially in industries with strict compliance requirements. Failing to address substance-related issues appropriately doesn’t just increase the risk of accidents—it can lead to fines, lawsuits, or other penalties.

How Carrum Health can help

Substance use disorders aren’t just individual issues that should be dealt with off the clock. Whether you realize it or not, substance use disorders can have a major impact on your teams and organization—even when employees aren’t actively using substances at work.

The good news is that Carrum Health can connect your employees with the treatment they need and deserve, without major financial burdens for you or your workers.

Carrum partners with substance use treatment centers of excellence that meet the established criteria for high-quality substance use treatment, so your employees can access personalized, evidence-based care that supports them on their recovery journey.

After all, you don’t just care about helping your employees be productive workers—you care about helping them be happy, healthy people. When they get the care they need, everybody wins.