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Learn What Businesses Can Do to Help Their Caregiving Employees

Alzheimer's disease costs American businesses $33.16 billion a year. Businesses are largely unaware of their annual cost from Alzheimer's disease, primarily because of widespread misconceptions that the disease only affects people after their work life. That belief overlooks the current employees who care for a family member with Alzheimer's disease.

The absenteeism of workers who are caregivers for those with Alzheimer's disease costs U.S. businesses $7.89 billion. Productivity losses associated with caregiver absenteeism costs $13.22 billion. Replacement of caregiver workers leaving their employment costs U.S. businesses $3.59 billion. The cost of continuing insurance for workers on leave is $719 million and the cost of additional temporary worker replacement fees is $598.7 million. The cost to businesses of additional usage of Employee Assistance Programs (EAPs) by employed caregivers is $5.525 million.

Moreover, businesses pay $7.09 billion of the health care costs of people with Alzheimer's disease. Business taxes also contribute $54.126 million to research on Alzheimer's disease. The combination of these figures, $33.168 billion, is the total cost to businesses of employed caregivers.

A full-time employed caregiver of an Alzheimer's patient loses an average of 23 days annually to absenteeism and/or interrupted work. Working Alzheimer's caregivers say they have had to go in late, leave early or take time off to provide care. In addition, between one-tenth and one-fifth of caregivers leave the workforce entirely. For the employer, a worker's departure brings the costs of:

  • termination
  • vacancy until the job is filled
  • advertising for and hiring a replacement worker
  • training a replacement worker
  • reduced productivity until the new hire becomes proficient

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Last updated: March 30, 1999

Please return to https://www.alz-nova.org or
call toll-free (866) 259-0042 or (703) 359-4440
for more information about services in Northern Virginia.

© 1997 - 2001 Alzheimer's Association of the National Capital Area. All rights reserved.

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