Caregiving Impact Employer Perspective

As a CorporationPromote Health

As a Payer Company’s Healthcare

Cost

As an EmployerWork Product

and Efficiencies

Alzheimer’s disease•Most commonly reported disease requiring care by an employee

Chronic Pain•Caregivers are 35-50% more likely to experience chronic pain

Stroke•5th most commonly reported condition requiring care by an employee

Diabetes•Twice as common in caregivers than non-caregivers

Health risk behaviors•Smoking is higher among caregivers

Depression•Risk strongly correlated with caregiving

Heart Disease•Three times more common in caregivers

Employee Caregiving Impact:

•Lower Productivity• Presenteeism• Absenteeism

•Decreased Retention

1

Caregiving ImpactAdditional Perspective

Every year, employers assume $13.4 billion in increased health care costs for caregiving employees

Lost productivity to U.S. business for caregiving employees is estimated at $17.1 to $33.6 billion annually

Cost of replacing experienced workers can range from 50-150% of their annual salary

Source: •Mature Market News, “The MetLife Study of Working Caregivers and Employer Health Care Costs” 2010..

“Aging will make it hard for governments to deal with mounting financial pressures. It may be time to rethink our policies towards work.”

– Jean-Philippe Cotis, Chief Economist, OECD

My Administration's Middle Class Task Force, led by Vice President Joe Biden, has made supporting family caregivers a priority, and we are working to assist caregivers as they juggle work, family, and financial responsibilities.

– President Obama, Proclamation for National Family Caregivers Month, 2010

ReACT is an employer-focused coalition dedicated to addressing the challenges faced by

employee caregivers and reducing the impact on the companies that employ them.

ReACT seeks to create a business environment where the unique challenges of caregiving for

adults with chronic diseases are understood and recognized by employers to ensure caregivers

feel supported and have the resources they need to better meet their personal responsibilities

for caregiving and their professional demands.

ReACT engages leading corporations and thought-leader organizations including: Aetna,

Cleveland Clinic, Gallup, Georgetown University, Gundersen Lutheran, Healthways, Johnson and

Johnson, Mercer, Microsoft, M.I.T Age Lab, MWV, National Alliance for Caregiving, Pfizer, United

States Chamber of Commerce, and Alzheimer’s Association

Employee Caregiving and ReACTStructure Mirrors Reality

Employee Caregiving ReACT Organizational Structure

Not a simple 1:1 relationship, rather a network of committed individuals

ReACT is not a formal organization – rather a loose coalition of committed individuals from companies that understand the issue.

Not about 1 issue – about many ReACT representatives are not only HR professionals – but from a wide range of functions within our members’ organizations.

Caregiving is not a heroic event around a brief crisis, rather it is about an enduring commitment.

Executive level support from ReACT member companies sustains the implementation of the vision

• Surveyed 3,500 employee caregivers

Employee Impact

• Modeling project

Employer Thought-Leadership • “how to”

toolkit

Employer Solutions Toolkit

2011 2012 2013

ReACT(ions)Create Employer Action

Foun

datio

nal R

esea

rch

Ampl

ify

Incu

bate

Launch Caregiver Remote Connectivity Technology Pilot

Near FinalizationAnticipated Launch in July

Technology Tool Pilot w/ ReACT

Companies’ employees

3 Fo

cus

Area

s

What Employees NeedPreliminary Model

Low Priority for Future Investment

Higher Driver of Job Satisfaction

Low Driver of Job Satisfaction

Poorly Experienced in U.S. Workplaces

Highest ROI / Largest Uncapitalized

Potential

Low Return on Further Investment

Paid Sick Leave That Can be Used for Caregiving

Assisted Living and Nursing Home Counselors Unpaid Vacation or Leave

That can be Used for Caregiving

Flex Time Allowance

Paid Vacation or Leave That Can be Used for

Caregiving

Health Counselors That Provide Information about

Conditions

Access or Recommendation to Relevant Support Group

Emotional Distress Employee Assistance

Program

Access to Financial or Legal Advisors Substantially

Experienced in U.S. Workplaces

Current Key Job Satisfaction Driving

Variables

Unpaid Sick Leave That Can be Used for

Caregiving

Based on ReACT Gallup/Healthways data