Tuesday, March 25, 2008

Test Your EAP IQ: Who Should Be for EAP Services

Which of following policy statements supports the view that an EAP is a benefit to employees like any other, and which one supports the view that an EAP is a comprehensive, loss prevention and behavioral risk management tool to control costs, preserve human resources, reduce employment practices liability, and help employees be healthy, happy, and productive.

Policy Statement A: The EAP is available to all full and part-time employees as part of their benefits package offered by the company.

Policy Statement B: The EAP is available to all employees, part-time employees, their immediate family members, all employees paid as contractors, temporary employees (IRS Form 1099), and volunteers.

The limited view is Statement A. The comprehensive view is Statement B.

Statement B costs a company more, but it will protect the organization more.

Statement B will affect the bottom line more in terms of "dollars recovered from loss". The afforded protection will be unknowable because the loss events that may have occurred, won't. There is a way to identify cost-benefit however. That is to look at property casualty losses and claims from on comparable industry to the next, and over a series of years in the company that has decided to make its EAP a loss prevention program.