Dublin, Oct. 03, 2022 (GLOBE NEWSWIRE) — The “US Employee Assistance Program Services Market – Industry Outlook and Forecast 2022-2027” report has been added to ResearchAndMarkets.com’s offering.
Market is expected to reach a value of $3,107.19 million from $1,630 million in 2021, growing at a CAGR of 11.4%
It is no surprise that the COVID-19 pandemic has taken a toll on the workforce’s mental, physical, and financial health. The pandemic has increased the need to address employees’ mental and physical health issues in an already challenged system.
While businesses have found ways to physically protect their employees by providing tech support and introducing new leave policies, the disruption it has caused in mental assistance is expected to continue. The uncertainty around family, finances, health, and other concerns has created an environment brewing behavioral health issues.
Health issues such as migraine and depression contribute to around 13% of the losses caused due to ill health at work, and there are high chances that it is caused due to mental pressure and stress. Owing to such factors, employers in the US face significant difficulties, such as lack of productivity and the need to hire, which eventually results in huge costs incurred for employers.
As a result, employers in the country have become concerned about reducing these costs by providing assistance programs. This concept witnessed a significant boost by the end of 2020 when the economy started to rise again and offices began to open.
Financial, mental, and physical assistance are directly linked. Financial stress, aggravated by COVID-19, is the leading cause of lost productivity, unplanned absences, lower job performance, and more significant distractions among employees. Financial stress impacts emotional and physical well-being. A financial literacy program is considered suitable for the company’s bottom line.
Improving financial literacy increases productivity, boosts job satisfaction, and saves health care costs and turnover. Several vendors have introduced a financial assistance program due to the pandemic, coupled with modern digital solutions and human support, thus boosting the EAP services market.
OPPORTUNITIES & CHALLENGES ANALYSIS
Mental & Physical Health Awareness via Social Media Platforms
Several social media platforms are suitable for various purposes and people. If Snapchat is widely popular among youngsters, LinkedIn can connect to a clan of professionals. Nevertheless, specific topics are relevant to the entire population regardless of profession, background, interests, or culture, such as assistance, be it mental, physical, or both.
Given the popularity amassed and the amount of time an average individual spends in a day scrolling through social media, it has perhaps become the best and the fastest way to spread awareness regarding mental wellness and physical assistance. Using relevant hashtags can turn a discussion into a trending topic, thus gaining popularity and the necessary attention from EAP service providers.
Constant Struggle for Employee Engagement and Participation
While assistance programs have been well-intentioned efforts by employers to create a better quality of life for their employees, there has been significant debate on whether they work due to largely unsuccessful assistance outcomes. This is either because participation is low or the level of engagement is negligible.
Moreover, lack of awareness among employees is a significant issue. It is evident that even if there is a program in place for the improvement of employees, it does not guarantee employee participation if there is a lack of interest among the workforce. While incentives have solved the problem of involvement to a certain degree, these programs still seem superfluous as they do not necessarily improve employees’ well-being due to lack of engagement.
Rising Demand for Financial Assistance
Often, employees are not motivated to fix their finances since it drains their energy. For such employees, incentives are a documented success in spurring behavioral change. To combat the well-behind lag of participation, corporates are ratcheting up the incentives offered in combination with assistance programs. They were unheard of half a decade ago but are now gaining popularity rapidly. Vendors are designing incentive programs that are in sync with the goals and objectives of the company. Modest financial incentive programs are mainly effective.
The EAP services market in the US is highly fragmented, with several small vendors operating. However, the market is witnessing consolidation, albeit at a slow pace.
Vendors are also looking at new ways to deliver corporate assistance programs using the potential of digital technology to host virtual screenings and offer information via company portals. Moreover, it is increasingly being guided by the roots of CRM as employers look to dynamically tailor their programs and provide an experience that is personal and individualized. For instance, targeting offers based explicitly on employee health risks and conducting feedback surveys.
Over the past couple of years, however, the market has witnessed the entry of many external players, such as in-house services by large businesses and other entities in the health and fitness space that offer membership discounts to drive up their share in the market .
Mergers and acquisitions are expected within the industry as players look to expand and become more comprehensive in their offerings. A trend witnessed among vendors in a landscape where consolidation is taking place is the focus on merging two platforms. Even prominent players join hands, resources are spent on connecting rather than innovation.
The leading market players include:
- ComPsych Corporation
- AllOne Health Resources
- McLaughlin Young
- New Avenues
- SWEAP Connections
- Beacon Health Options
- Ceridian HCM
- My Secure Advantage
- Novant Health
Key Topics Covered:
1 Research Methodology
2 Research Objectives
3 Research Process
4 Scope & Coverage
4.1 Market Definition
4.1.3 Market Estimation Caveats
4.2 Base Year
4.3 Scope of the Study
4.3.1 Market Segmentation by Service Type
4.3.2 Market Segmentation by Delivery Model
4.3.3 Market Segmentation by Interaction Platform
4.3.4 Market Segmentation Based on Gender
4.3.5 Market Segmentation Based on Industry
5 Report Assumptions & Caveats
5.1 Key Caveats
5.2 Currency Conversion
5.3 Market Derivation
6 Market at a Glance
7 Premium Insights
7.1 Market Definition
7.2 Report Overview
7.3 COVID-19 Impact Analysis
7.4 Opportunities & Challenge Analysis
7.5 Segment Analysis
7.6 Regional Analysis
7.7 Competitive Landscape
7.8 Frequently Asked Questions
8.1.1 History of Apple Services in the US
8.1.2 Cost of Stress to US Corporate Caused Due to Financial Problems and Other Issues
8.1.3 Planning Guidelines for Assistance Programs
8.1.4 Success Factors for Assistance Programs
8.1.5 Mega Trends in Employee Assistance 2021
8.2 State of US Healthcare
8.2.1 Well-Being in US by State
8.3 Regulatory Framework
8.4 American Workforce Analysis
8.1 Economic and Demographic Analysis
8.1.3 Generation and Age Trends
8.1.4 Racial/Ethnic Trends
8.2 Private Sector Insights
8.2.1 Large Private Sector Businesses
8.2.2 Medium Private Sector Businesses
8.2.3 Small Private Sector Business
8.2.4 Non-Profit Organizations
8.3 Impact of COVID-19
9 Market Opportunities & Trends
9.1 Rising Role of Technology
9.2 Growing Reign of Him
9.3 Extension of Services to Families
9.4 Increasing Penetration of Telehealth
9.5 Mental & Physical Health Awareness on Social Media
10 Market Growth Enablers
10.1 Growing Focus on Improving Employee Wellbeing
10.2 Growth in Individualized Self-Care
10.3 Rise of Information Economy
10.4 Increase in Number of Working Hours
10.5 Broad Shift in Assistance Perspectives
10.6 Hike in Attrition in US
10.7 Health Issues Due to Work Stress
10.8 Rising Demand for Financial Assistance
11 Market Restraints
11.1 Remote Work and Increased Surveillance by Employers
11.2 Constant Struggle for Employee Engagement and Participation
11.3 Singular Approach to Assistance
11.4 Lack of Gender-Specific Approach
11.5 Dearth of Cultural Support
12 Market Landscape
12.1 Market Overview
12.2 Market Size & Forecast
12.4 Service Type
12.5 Interaction Platform
12.8 Pest Analysis
12.9 Five Forces Analysis
13 Service Type
13.1 Market Snapshot & Growth Engine
13.2 Market Overview
13.3 Personal & Work Stress
13.4 Mental Health
13.5 Family & Relationship
13.6 Substance Abuse
14 Delivery Model
14.1 Market Snapshot & Growth Engine
14.2 Market Overview
14.3 Local External
14.4 Domestic Internal
15 Interaction Platform
15.1 Market Snapshot & Growth Engine
15.2 Market Overview
15.4 Video & Telephonic
16.1 Market Snapshot & Growth Engine
16.2 Market Overview
16.6 Media & Technology
17.1 Market Snapshot & Growth Engine
17.2 Market Overview
For more information about this report visit https://www.researchandmarkets.com/r/6zo50m
US Employee Assistance Program Services Market