When you add up the hidden costs of hiring an employee with a substance abuse problem (increased absenteeism, loss of productivity, theft, increased health insurance costs, and increased workers’ compensation claims), the expenses can amount to a substantial loss of profit.

More and more frequently, employers protect their “bottom line” by implementing workplace random drug testing. A recent study conducted by the U.S. Department of Labor reports companies which used a workplace random drug testing program reported a whopping decrease of 63.7% in worker’s compensation claims. Injury rates reportedly are lowered by 22.3%.

In this article dealing with drug testing featured in the March issue of The PEO Insider, Randall W. Montalbano wrote: “One mechanical contractor firm paid $2 million a year in claims prior to implementing a random drug-testing program. The first year their program was in place, they paid only $1.26 million. At the close of the second year, the total for insurance claims was only $264,000. You do the math.”

Montalbano’s articles rated drug use among several industry categories. Eating and drinking establishments reported drug use in up to 16.3% of their employees. Other industries figured in with comparatively high rates of drug use. A sampling follows:

Source: The ProEmp Journal.

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