Workers with Disabilities are Good for Business

Hiring people with disabilities can have a positive impact on your bottom line. Many companies are discovering that the decision to hire or retain people with disabilities is like striking gold. Companies are enjoying increased employee retention, gaining a competitive edge, and are taking advantage of lucrative tax incentives to offset costs.

Increase Employee Retention, Reduce Expensive Turnover

Replacing employees is expensive in terms of tangible and intangible costs. The cost of a single turnover can range from 93% to 200% of the employee’s annual salary. (Griffeth & Hom, 2001). Many companies are finding that hiring people with disabilities can be an effective solution to high turnover. Consider the following examples.

Meet/Exceed Performance Standards by Hiring Those with Needed Skills

Employers are finding that employees with disabilities have average to above average performance. Many employers were surprised to find that employees with disabilities were not only able to get the job done, but were able to influence co-workers to improve performance. Consider these facts:

Reduce the Costs of Employee Benefits

Many employers are finding that aggressive return to work programs for employees experiencing a disabling life event are yielding positive outcomes. These companies have offset their losses from increased insurance costs, lost time, replacing and training employees. One manufacturer discovered that instead of spending $327,000 in long-term disability benefits, he was able to return a 28-year old employee to work at a cost of approximately $6,800, for savings of $321,200! In addition, the evaluation of risk for a returning employee with a disability often uncovers hazards for all employees. This information can doubly benefit an organization by accommodating a returning employee as well as preventing disability for all employees.

Hiring people with disabilities can give you a competitive edge by helping you to attract qualified employees in a shrinking workforce, gaining insight into a multi-billion dollar market segment, and acquiring creative problem solving skills.

Attracting Qualified Employees in a Shrinking Workforce

Some industries are beginning to feel the crunch of a shrinking workforce. The Bureau of Labor statistics estimates that between 2002 and 2012 thirty five million people will leave their occupations and need to be replaced as baby boomers retire. Between 2010 and 2030, the American workforce is expected to shrink by 10% (Segal, 2003). Many companies are finding that recruiting and retaining workers with disabilities is one strategy to counter the effects of a shrinking workforce.

Gain Insight into a Multi-Billion Dollar Market Segment

Did you know there are 54 million Americans with disabilities representing over $200 billion in discretionary spending? This does not include their extended families and support networks that you will also attract to your business if you are able to serve people with disabilities. More and more, companies are beginning to recognize the value of this target market. Employees with disabilities can provide greater insights into the needs of older customers and those with disabilities. One positive effect of having individuals with disabilities as employees is that you can learn about their needs, and as a result are able to develop products and services that are friendlier for persons with disabilities.

Acquiring Creative Problem Solving Skills

People with disabilities bring unique perspectives and problem solving skills to the work place. This is a factor in improved productivity and creativity. “People with disabilities are very creative and knowledgeable about a variety of issues, because they have to be in their everyday lives,” says Britta Strohmeyer, Pillsbury Winthrop Shaw Pittman LLP. Expanding recruiting strategies to include people with disabilities has made it possible for Veronic Villova of Embassy Suites to better fill open positions. The Society for Human Resource Managers (SHRM) provides a compelling business case for diversity that directly links success to a diverse work force.