Caregiving can be a rewarding experience, but it can also be a financial burden. According to a 2021 report from AARP, the average cost of informal caregiving is over $7,000 per year. That means families are spending 26% of their income to care for their loved ones. This cost can be even higher for those who are caring for elderly loved ones or for those with chronic health conditions.
Not only can this take a toll on employee morale, but it can also affect your bottom line by leading to a decrease in productivity. To retain employees and maintain productivity, it’s important for employers to be aware of the financial burden that caregiving can have on their employees and their families.
In addition to the financial costs of caregiving, there are also opportunity costs. Many caregivers have to give up paid work to care for their loved ones. This can lead to a loss of income and benefits, as well as job security. It can also make it difficult to return to the workforce after caregiving duties end.
Even if they don’t leave their job completely, advancement is more difficult for employees who are doubling as caregivers. They often have to pass up promotions or other growth opportunities to care for their loved ones. This can impact their career growth and earnings potential over the long term. It can also lead to absenteeism, as employees struggle to balance their caregiver duties with their work responsibilities.
And this is not the exception. Harvard reported 75% of employees stated that their work suffers due to caregiving responsibilities, and this number is expected to increase due to the COVID-19 pandemic.
However, less than 25% of employers thought this was a problem. Don’t let the impact of caregiving among your employees catch you by surprise.
The financial impact of caregiving can be significant, but there are ways to lessen the burden. Many employers offer caregiver support programs to help offset some of the costs. These programs typically provide access to resources and information, as well as financial assistance. Caregiver support programs can make a big difference for employees and their families.
Below are some examples of support programs you can offer your employees:
- Financial support for paid caregiver support services
- Time-off policies that offer flexibility for caregiving duties
- Employee assistance programs that provide counseling and mental health support
- Training and resources on caregiving
- Discounts on caregiving products and services
- A family caregiving benefit
These are just a few examples, but there are many other ways that employers can support their employees who are caregivers. If you’re unsure where to start, try talking to your employees about the impact caregiving has on their lives and what kind of support they need. By offering caregiver support, you can improve employee morale, productivity, and retention.
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