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Unseen Repercussions: Addiction’s Impact on California’s Business Sector

By Annette DuBois, California Business Journal

If California was a country, the diverse and sprawling state could hold its own against many nations in terms of influence and success.

Between Hollywood, agriculture, Silicon Valley, and tourism, the list is long for reasons the Golden State thrives. Beyond its enduring appeal, California faces challenges. Addiction is a growing public health concern.

Addiction in the workplace leads to diminished productivity, declining employee health, job injuries, and missing work days. This extends to the broader economic impact on the state’s powerful position in commerce.

The Cost of Addiction in the Workplace

Substance misuse is widespread in the state. Last year, 9% of employed Californians had a SUD. Only 10% received treatment. Employees with SUD miss almost 50% more days than the average of three weeks. 22% changed jobs last year. This rate is 40% higher for those with SUD.

Drug abuse costs California businesses $15.5 billion per year. This includes lost productivity and healthcare expenses. Alcohol use disorder (AUD)is the most prevalent overall SUD, with 22% of rehab admissions. 32% attending state-funded rehabs used amphetamines primarily.

Workers with alcohol dependency are 2.7 times more likely to miss work due to injuries. Around 24% of workers have admitted to drinking while working. As of March 2021, California was among five states where drug overdose deaths were higher in rural areas than urban areas.

California Recovery and Workplace Support

Browse the links below for essential California recovery resources and workplace support.

Recovery Roadmap

Emergency Helplines

SAMHSA National Helpline: 800-662-HELP (4357)
California Department of Health Treatment Referral Line: 1-800-879-2772

Government Guidelines

● California County Alcohol and Other Drug Program Directory

Federal Laws and Regulations on Drug-Free Workplaces

California Worker’s Rights

California Workplace Addiction

California law provides stronger protections to employees than federal law. The California Labor Code underlines workplace policies like reasonable accommodations.

Supporting workers reduces healthcare insurance costs, and the likelihood of accidents, and increases productivity.

Treatment is Great for Business

The reality of substance abuse at work requires support from employers. Business leaders must be proactive in addressing addiction. This involves creating supportive work environments, offering employee assistance programs, and promoting the available resources for lasting recovery.

By addressing addiction head-on, businesses safeguard their workforce and bottom line – and contribute to a healthier, more prosperous California.