HR Management & Compliance

Why Drug Test? Simple. Save Money

"Why do we have substance abuse testing programs?" asks Dr. W. Smith Chandler. The answer is simple—they save money.

Chandler, an SPHR and physician who is board-certified in occupational medicine, has helped many employers develop substance abuse programs. His comments came during a recent audio conference sponsored by BLR®.

How Do Substance Abuse Programs Save Money?

To get to the answer to this question, says Chandler, we have to make some generalizations about substance abusers.

Generalization #1: Accident Prone

Although some substance abusers are good workers, in general, they are not. For example, with regard to workers’ compensation claims, it is generally accepted that as a group, substance abusers file five times as many complaints as nonabusers, Chandler says.

Generalization #2: Health Care

One commonly voiced ratio is that abusers cost twice as much for health care as nonabusers.

Generalization #3: Attendance

As a group, substance abusers are absent from work more often than nonabusers. One generally accepted figure is that they take three times as many sick days, Chandler says.

Generalization #4: Unproductive

When at work, substance abusers are less productive.

So in the end, Chandler says, employers initiate substance abuse programs to improve safety, control costs, control absences, and improve productivity.

Testing Is Extremely Effective

Workplace testing is extremely effective at curbing drug use in the workplace, and it is highly cost-effective as well, says Chandler.


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Who Can Be Tested, and When?

If you are subject to federally mandated testing, for example, under U.S. Department of Transportation (DOT) driver testing rules, you already know who to test, and when. The regulation provides a recipe, and you just follow it, Chandler says.

Employers that are not mandated to test will have to determine who and when to test. One approach is to follow the federal rules on a voluntary basis, says Chandler. Then, whenever there is a question, you just say, "We do what the Feds recommend."

Preemployment Testing

The most common testing option is preemployment testing. Remember, says Chandler, that the Americans with Disabilities Act does not consider a drug test to be a medical test. He strongly recommends preemployment testing for illegal drug use.

However, you cannot test at this point for alcohol use. That’s because alcohol testing is considered to be a medical test, Chandler notes.

Impairment Testing

Another area for testing is impairment, or as it is sometimes known, probable cause or reasonable suspicion testing. Chandler strongly recommends such testing.

Postaccident Testing

Many employers also conduct postaccident testing, as an accident may be construed as an indication of impairment. In some states, employers get a break on insurance if they require postaccident testing. In addition, in these states a positive test may be a basis for denying a claim.

Random Testing

Random testing is a powerful incentive that is extremely effective at catching substance abusers. (Editor’s note: Some states have enacted laws that specifically regulate the use of drug testing in employment. In almost all cases, employers are permitted to conduct preemployment and reasonable suspicion testing. However, some states regulate or prohibit random testing unless otherwise required by law.)

Alcohol vs. Drug Testing

It’s very important to interpret alcohol test results carefully because alcohol is a legal drug. That is, you have no legal right to have any level of cocaine in your system—so the issue is just whether the substance is present. The level is not an issue.

However, since alcohol is a legal drug, the level is important. With alcohol, Chandler strongly recommends interpreting test results patterned after DOT rules.


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Drug Testing

With illegal drugs, all you have to do is decide what drugs to test for. There are three broad options:

  1. DOT panel
  2. Reduced panel
  3. Expanded panel

The DOT panel includes cocaine, marijuana, opiates, amphetamines, and PCP. It’s very easy to justify because "we just do what the Feds do." The DOT panel is the most commonly used, says Chandler.

Some employers use a reduced panel, typically dropping PCP and/or opiates and/or amphetamines. They do this to reduce the cost of testing and also the cost of Medical Review Officer (MRO) services.

Other organizations use an expanded panel; that is, they test for more than DOT requires. It’s fine to do, but it significantly increases costs, Chandler says.

In tomorrow’s Advisor, more tips on drug testing policies and an introduction to an online, all-in-one HR problem solver.

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