Posts Tagged ‘EAP ROI’

Getting evidence on good mental health ROI

Written by Vicky Mulchinock on . Posted in News

Getting evidence on good mental health ROI

While support for employee mental health and wellbeing generally has become the norm, there’s still a lack of hard evidence of ROI – limiting investment and making the HR approach look woolly. We’ve reached the stage where depression and anxiety is talked about, out in the open rather than dealt with behind closed doors, and people are more able to be people, not forced to adopt a rigid employee persona.

According to the Government’s Thriving at Work report, the cost of poor mental health among employees is costing employers between £33 and £42 billion. UK employers bear much of the burden of the costs of ill-health in general, chronic disease and incapacity, and HR need to have a better grasp of which particular interventions help them mitigate against these costs. In other words, talking about new attitudes to mental health, providing yoga sessions and free fruit, may feel the right thing to do, but there need to be hard numbers on Return on Investment.

There’s been some research on the ROI of some workplace health interventions over the last 30 years. But much of it originates in the USA where employers bear significant healthcare costs and have a direct financial interest in improving workforce health and promoting early intervention. The more reliable research includes a study by the large US insurance firm insurance firm LifeSolutions which found a return of between $5.17 and $6.47 (in terms of increased work productivity) for each dollar spent on the EAP. An academic study involving work with the Australian Fire Service found that mental health training for managers led to real impact on work-related absence and an ROI of £9.98 for each pound spent; while the Government’s Thriving at Work highlighted a significant return for employers investing in mental health interventions: an average of £4.20 for every £1 (with a range up to £9).

And while EAPs are the most commonly used workforce health intervention in the UK with close to half of the workforce (a total of almost 14 million) having access, very few providers or employers are able to collect systematic evaluation data beyond ‘take-up’ or utilisation statistics and satisfaction surveys. To help bridge this gap, EAPA launched the EAP calculator in October last year. Independently developed by the Institute of Employment Studies (IES), this new tool can be used by HR professionals to estimate the value of their EAP investment. Since the launch, there are now 529 users with the average return on investment calculated at £10.44 per £1 investment.

The more the calculator is used, the richer the dataset becomes. In turn this data can be used to revise and update the methodology, building the rigour and realism of the figures put forward to senior executives in boardrooms. There’s then a clear basis for investment in more specific mental health initiatives for employees. And over time, as the UK dataset grows and the anonymous data is collated and analysed, there is the detail needed for organisations and HR teams to benchmark returns and value against comparative employers in their sector and region.

The web tool available here and is available to everyone. We encourage EAPA members to try the EAP calculator and share with their clients to help build the data available. The full calculator has more detail, variables and greater intricacy and can handle employers with over 15,000 employees. Plans are underway to make the full calculator available in the coming months and we will keep members updated as this progresses.

The importance of promoting EAP services

Written by Vicky Mulchinock on . Posted in News

The importance of promoting EAP services

A US study published last week has revealed that the promotion of EAP services in the workplace has a significant and positive impact on overall EAP usage.

The study examined utilisation data from US EAP provider, KGA to explore the impact of different kinds of promotional activity on increasing and decreasing the use of EAP services. Analysts reviewed the utilisation records over a two-year period for 82 employers, with 150,000 total covered employees. Interviews were also conducted with HR managers which uncovered themes around the challenges to promotion and the potential tactics that could be most effective.

The analysis of 5,985 EAP cases found that promotional materials were the number one source of referral into the EAP, with one in three cases citing it.

“This latest study highlights the importance of an effective promotional strategy in driving user awareness and engagement with EAPs,” said Neil Mountford, Chair of UK EAPA. “We know from our members that employers who engage in regular EAP promotional activity, particularly online through webinars, email promotions and apps, can see a significant uplift in usage.”

“We urge employers to consult with their EAP provider and tap into their experience and expertise in creating promotional plans tailored to the needs of the organisation. EAP providers can also advise on which channels have been proven to work most effectively and can help develop the messaging around EAP promotion so that it addresses the specific priorities and concerns of their workforce,” he said.

“The more effort an organisation puts into promoting the EAP programme and driving engagement and utilisation, the better its data will be. This can provide valuable insights into how employees are feeling as well as point to early warning signs of recurring themes around physical or mental wellbeing and general workplace issues and ensures that the right areas are prioritised by the organisation. At a time when mental wellbeing is top of the HR agenda, there has never been a better time to look at EAPs and broaden perceptions around what it can do and how it can fit in with a wider wellbeing strategy.”

New ROI tool for employers and EAPs

Written by Vicky Mulchinock on . Posted in ROI

New ROI tool for employers and EAPs

Last month, at our AGM, EAPA UK announced the launch of the UK’s first EAP ROI tool. This new tool, funded by EAPA UK and developed by Professor Stephen Bevan at the Institute of Employment Studies (IES) is the culmination of two years of research, resulting in the development of an algorithm that enables employers and EAP providers to now measure return on investment.

“For the first time EAP providers and employers will be able to demonstrate the value of their EAPs, using the results to better inform their health and wellbeing strategies and deliver even greater value to employees. Importantly, over time, this ROI tool will also provide a UK benchmark of EAP providers to help employers make more informed judgements of EAP value and quality,” said EAPA UK Chair, Neil Mountford.

Now available on the EAPA UK website, we would like to encourage our members and the organisations they work with to test out the EAP ROI tool. We’d also love to hear your thoughts and feedback at so that we can continue to refine and enhance the tool.


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