What’s the current EAP landscape look like
When it comes to supporting the mental health and wellbeing of your team, selecting the right Employee Assistance Program (EAP) can be a game-changer – or a costly misstep.
Over the years, we’ve had countless conversations with business leaders, HR, People & Culture, and WHS Managers about their experiences with EAPs. We’ve heard success stories where EAPs made a tangible difference. But we’ve also heard frustrations: poor uptake, lack of value, and generic support that misses the mark.
One thing is clear: leaders are looking for EAPs that offer real support tailored to their unique workforce – without breaking the bank. Whether you’re setting up an EAP for the first time or reviewing an existing provider, understanding what to look for (and what to avoid) will help ensure your investment delivers genuine impact.
What is an EAP and Why Does It Matter?
At its core, an EAP is a workplace service designed to support employees through personal and professional challenges – before these issues affect their health, performance, or team dynamics. But not all EAPs are created equal.
Research shows that access to high-quality mental health support leads to better workplace outcomes. A 2022 Deloitte report found that for every $1 invested in mental health initiatives, organisations saw a median return of $5.70 due to improvements in productivity, reduced absenteeism, and lower turnover.
That’s why choosing the right EAP matters. When well-designed and well-communicated, an EAP can become a trusted resource for your people and a strategic asset for your organisation.
5 Key Benefits of a Well-Managed EAP
Improved Employee Performance
Access to professional, qualified counselling helps employees manage life’s challenges, reducing stress and improving focus, job satisfaction, and productivity.Reduced Absenteeism and Presenteeism
With the right support in place, employees are more resilient and engaged. This leads to fewer sick days and less time spent ‘clocked in but checked out’.Cost Savings
EAPs prevent minor issues from escalating into major, expensive problems – such as extended sick leave or psychological injury claims.Better Organisational Performance
An effective EAP enhances workforce wellbeing, loyalty, and morale – ultimately boosting reputation, reducing turnover, and supporting a positive workplace culture.Legal and Ethical Compliance
In Australia, employers are legally required to manage psychosocial risks under WHS legislation. EAPs are a practical way to demonstrate and uphold your duty of care.
5 Common Pitfalls of Ineffective EAPs
Despite the potential, many EAPs fail to deliver. Here’s why:
Underutilisation
A great service is useless if no one uses it. Subscription-based models can become costly liabilities when awareness is low or employees are hesitant to engage.Stigma
Many employees fear that seeking support will make them look weak or hurt their career. Without a psychologically safe culture and clear communication, usage stays low.High Costs Without ROI
EAPs with extensive service menus and low usage often fail to justify their price tags, especially when benefits aren’t measured or reported.Inexperienced Counsellors
Not all EAPs provide highly qualified, workplace-savvy professionals. Generic or unhelpful sessions quickly damage trust and perceived value.Privacy Concerns
If employees don’t trust the confidentiality of the service, they won’t use it. Clear privacy protections are essential for uptake.
6 Essential Features to Consider in an EAP
Once you’ve decided an EAP is right for your organisation, it’s time to select a provider. Use this checklist to ensure their offering aligns with your workforce’s needs:
1. Counselling & Mental Health Support
Short-term sessions (typically 3–6 per issue)
24/7 crisis support
Multi-channel access: phone, video, chat, face-to-face
Digital therapy and self-guided options
2. Organisational Support
Manager and leader coaching
Critical incident response
Mediation and conflict resolution
3. Wellbeing & Lifestyle Services
Financial and legal advice
Career coaching and performance support
Health and wellness programs
4. Digital & Self-Help Tools
Mobile apps with guided content
Resource libraries and self-assessments
Mental health check-ins
5. Customisation & Reporting
Industry-specific customisation
Usage and outcome reporting
Confidentiality guarantees
6. Specialised and Inclusive Support
Access to psychologists for complex needs
Diversity-aware counselling (e.g. LGBTQ+, CALD)
Support extended to family members
What Does an EAP Cost?
EAP costs in Australia range from $3,000 to $50,000+ annually, depending on company size and service scope. This averages around $75 per employee per year – a modest investment compared to the cost of a single mental health-related WorkCover claim, which averages over $25,000 according to Safe Work Australia.
Remember: with the right EAP, the return on investment is substantial:
Reduced costs from absenteeism and presenteeism
Fewer psychological injury claims
Greater employee retention and engagement
A stronger, more sustainable employer brand
Choosing the Right Payment Model for Your Organisation
Once you’ve clarified the features that matter most in an EAP, the next logical step is to consider how the service is delivered and billed. Not all EAP payment models suit every organisation, and choosing the wrong one can lead to poor return on investment, unnecessary costs, or underwhelming support for your people.
The two most common pricing models for EAPs are subscription-based and pay-for-use-only. Each comes with distinct benefits and trade-offs depending on the size, budget, and needs of your workforce. Here’s a breakdown to help you decide which model best fits your organisation.
Subscription-Based EAP
This model is generally more favourable for larger organisations that have dedicated budgets for employee wellbeing. It involves a fixed fee (usually annual) that covers a package of counselling sessions and other services. Think of it like a gym membership—predictable, convenient, but only valuable if used effectively.
✅ Pros:
💰 Better value for money for large teams, especially where high usage is expected.
📊 Fixed fees make budget planning easier for finance teams.
💼 Discounted hourly counselling rates through pre-packaged sessions.
🤝 Often includes a dedicated account manager and additional features.
⚠️ Ideal for industries with high psychosocial risks and consistent service demand.
⚠️ Cons:
💸 High upfront cost can be prohibitive for smaller organisations.
🕒 Unused sessions typically do not roll over — use it or lose it.
📞 Support from large providers can feel impersonal or difficult to access.
🔒 Data reporting is often controlled by the provider, limiting transparency.
Pay-for-Use-Only EAP
Smaller businesses or those with fluctuating or unpredictable needs often benefit more from a pay-as-you-go model. This approach means you only pay when your employees actually use the service, offering greater cost control and customisation.
✅ Pros:
💰 Lower entry costs make it more accessible for small to medium enterprises.
📊 Transparent, usage-based invoicing improves accountability and budget tracking.
🔄 Greater flexibility to add services—like leader coaching or critical incident support—as needed.
🧐 Encourages regular review and evaluation of service quality and value.
⚠️ Cons:
📈 Monthly costs can vary, making budget forecasting harder for large organisations.
📉 Fewer bundled features may reduce employee engagement if not offset with communication and culture strategies.
🔍 Counselling quality must be vetted—cost savings should never come at the expense of care quality.
Making the Right Investment
Selecting the right payment model isn’t just about the bottom line – it’s about ensuring your EAP aligns with your values, risk profile, and workforce needs. For large organisations with steady, high usage, a subscription model may bring efficiency and scale. For smaller or growing businesses, a pay-for-use-only approach offers flexibility, affordability, and transparency – especially when paired with high-quality providers.
As you explore your EAP options, keep in mind that the most effective programs are those designed with your people in mind – backed by trusted expertise, tailored features, and clear ROI.
Make Your EAP Work for You
An Employee Assistance Program can be a powerful part of your Psychosocial Risk Management strategy – but only if it’s tailored, trusted, and well-integrated. By understanding the benefits, avoiding common pitfalls, and choosing features that genuinely meet the needs of your people, you can turn your EAP from a tick-box policy into a meaningful, measurable asset.
Let’s Make It Easy
👉 Ready to find the best support for your team?
At Get Mentally Fit, we’re committed to helping businesses select or design EAP solutions that work – for your people, leaders and organisation, and your bottom line.
Whether you’re reviewing your current provider or starting from scratch, we can help you:
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Assess your organisation’s needs
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Compare providers and service models
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Communicate and launch your EAP effectively
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Build a wellbeing strategy around it that drives real results
Get in touch with us today and let’s build an EAP that makes a difference in your people’s lives, and supports the success of your Organisation.