The Growing Challenge
Over the past decade, there has been a large spike in the number of employees having to care for their parents. This challenge is expected to further grow over the next decade as more and more aging Baby Boomers struggle with their health. While not readily apparent, the negative financial impact on employers is significant. In MetLife’s Study of Caregiving Costs to Working Caregivers, it is estimated that, as a result of workers taking care of their parents, U.S. businesses lose $5.1 billion annually in absenteeism, $4.8 billion in shifts from full-time to part-time work, $6.6 billion from replacing employees, and $6.3 billion from workday adjustments.*
Faced with this growing challenge, companies have a choice. They can continue to ignore these realities or instead develop a strategic Human Resource (HR) plan capable of preventing parental care from becoming a major corporate issue. By investing in the right parental care benefits, companies stand to benefit in numerous ways. Not only can they reduce the financial burdens of employee absenteeism, lost productivity, and job quitting/dismissals, but they can also improve employee retention and recruitment by showcasing their commitment employee health and that of their loved ones.
Parental Care Growth
The number of working men and women who provide basic parental care has skyrocketed over the past few decades.
an impending crisis
As the number of individuals aged 65 or over grows from ~15% of the population to over 20% by 2030, the financial toll on companies will become more and more apparent.
Parental Care - A major hr Challenge
Elder care-giving peaks between the ages of 45 to 64 when workers’ hourly wages are at their highest, thereby driving up higher corporate costs per lost work hour relative childcare costs per lost hour.
Reduced Employee Performance
The toll on workers can vary from turning down a promotion or taking a less demanding job to arriving late or taking time off during the day.