MDGuidelines contributes a column to DMEC’s (Disability Management Employer Coalition) @Work magazine. The authors were Gage Koeller, MPH, Research Analyst, MDGuidelines team – Alight Solutions and Matt Thiese, PhD, Assistant Professor, University of Utah
Full article here: https://dmec.org/resources/work-magazine/why-should-employers-care-about-rising-sleep-disorder-rates/
Publication date: September, 2025
Insomnia and related sleep disorders are increasingly recognized as a significant burden for the U.S. workforce due to health and safety issues. Total costs associated with these disorders exceed $100 billion annually with the majority attributed to indirect effects such as lower productivity, increased accidents, and elevated healthcare use.1 What can employers do to mitigate them?
Between 1993 and 2015, insomnia diagnoses increased elevenfold, from 800,000 to 9.4 million, and they continue to rise.2 Insufficient sleep has been linked to cardiovascular disease, cancer, diabetes, and other conditions.3
Sleep disorders are also associated with higher rates of workplace injuries and traffic incidents, presenteeism, absenteeism, and accidents, and can increase costs to employers from $322 to $1,967 per employee in lost productivity and workplace accidents.3
The good news is sleep disorders can be addressed with employer interventions and education.,4,5
Jenny Haykin, a DMEC Editorial Advisory Group member, encourages members to check with their employee assistance program, wellness program and medical plan partners for educational resources. As the Integrated Leaves & Accommodations Program Manager at Puget Sound Energy (PSE), Haykin hosts Sleep Hygiene Lunch & Learns for employees and the company has given away a special pillow as a door prize. “We also have healthy sleep activities for points in our wellness plans,” Haykin said.
Biological, environmental, and social factors play a role in the development of sleep disorders. They are more common in female employees especially during puberty and menopause1 and are associated with high levels of stress, increased electronic media use, and high caffeine intake, which may be linked to the workplace. Workplace interventions, as outlined here, could help mitigate this issue.
The most effective intervention for insomnia is cognitive behavioral therapy (CBT), but it may have high costs and limited trained providers, which can be a barrier for some employers.2 CBT is a form of psychological treatment that involves changing unhelpful ways of thinking and learned patterns of unhelpful behavior. Internet-delivered CBT, or insomnia therapy delivered via telehealth or virtual meeting, has been emerging as an effective therapy and a possible alternative to overcome some of these barriers.
Employers might consider health programs that include physical activity programs, digital media/screen detoxes, and stress management programs.6
In addition, these programs or therapies should encourage employees to address nonworkplace stressors and promote healthy habits and relationships (for example, family reconciliation or avoiding negative vices). Any combination of these interventions can play an important role in addressing insomnia, quality of sleep, burnout, and relaxation.
Employers can also implement these programs or therapies through employee assistance programs to address sleep quality.
In general, promoting a healthy and safe work culture can help combat insomnia and sleep disorder rates. Sleep disorders are complex and difficult to tackle, but employer interventions can improve employee well-being and productivity.
References
- American Journal of Managed Care. 2020. Epidemiology, Pathophysiology, Diagnosis and Monitoring, and Nonpharmacologic Therapy. Retrieved from 26(4 Suppl): S76-S84. doi:10.37765/ajmc.2020.42769
- RAND Corporation. 2016. Why Sleep Matters: The Economic Costs of Insufficient Sleep. Retrieved from https://www.rand.org/pubs/research_reports/RR1791.htmlDopheideJA
- Sleep Medicine. 2017. Short Sleep Duration and Health Outcomes: A Systematic Review, Meta-Analysis, and Meta-Regression. Retrieved from https://doi.org/10.1016/j.sleep.2016.08.006
- Glick DR, Abariga SA, Thomas I, et al. Economic Impact of Insufficient and Disturbed Sleep in the Workplace. Pharmacoeconomics. 2023;41(7):771-785. doi:10.1007/s40273-023-01249-8
- Int J Environ Res Public Health. 2020. Insomnia Interventions in the Workplace: A Systematic Review and Meta-Analysis. Retrieved from doi:10.3390/ijerph17176401
- Int Arch Occup Environ Health. 2023. Workplace Mistreatment and Insomnia: A Prospective Study of Child Welfare Workers. Retrieved from 96(1):131-141. doi:10.1007/s00420-022-01910-3
