Drake Beam Morin estimates the costs associated with losing an employee to range anywhere from one to five times their salary. Even low paid hourly employees who quit shortly after being hired can be costly. For supermarkets the average cost of turnover for each hourly employee is estimated at $3,752.
Another study found that for middle management and lower-level workers the cost is estimated at 50 percent of annual salary.
An EAP can help an employer retain its top performers. Dissatisfaction and unhappiness with work can be magnified by problems at home.
Turnover among McDonnell Douglas employees treated for alcohol or drug dependency dropped from 40% to 8% after the EAP had been in effect for 4 years.
The 1999 annual Workforce Commitment Index measurement found that the No. 1 employee motivator was management's recognition of the importance of their personal and family life. Employees who spend just a moderate amount of time each week attending to personal matters are more likely to remain committed.
