The Modern Caregiving Crisis: What It Means for Workplaces

Modern life is filled with milestones and challenges that shape employees’ personal and professional journeys. From parenting young children to caring for aging relatives, employees face complex demands that require more than just resilience—they need support systems that empower them to thrive at work and beyond.

Caregiving, in particular, represents one of the most demanding and often invisible responsibilities employees juggle daily. Whether it’s a last-minute call from a daycare or coordinating a loved one’s medical appointments, these unpredictable stressors don’t just impact personal lives—they ripple into workplace performance, engagement, and retention.

Maureen Calabrese, Chief People Officer at Modern Health, recently underscored the challenges of caregiving while working. “Our lives, our calendars, they are balanced to the minute,” she described. “It's a precarious balance, like a giant Jenga tower that, with the slightest nudges, just kind of falls over.”

Caregiving’s Hidden Costs—For Employees and Employers

The numbers paint a stark picture of caregiving’s toll:

• 41% of parents feel so stressed they struggle to function most days, according to the U.S. Surgeon General.
• Over 11 million Americans in the “sandwich generation” are simultaneously caring for children and aging relatives, a dual responsibility that often leads to emotional exhaustion and financial strain.
• Without adequate workplace support, caregivers are more likely to experience burnout, absenteeism, and even exit the workforce entirely.

In a Modern Health panel discussion, Catherine Rusch, MSW, Health and Performance Consultant, HUB International, spoke on the workplace impacts of caregiver stress:

Investing in Caregivers Pays Off—Here’s How

Organizations that fail to support caregivers risk not only higher turnover and absenteeism but also diminished team dynamics and morale. On the other hand, proactive support has clear benefits:

• Retention and Talent Attraction: Employees who receive caregiver planning resources are 36% more likely to stay with their employer, and family-friendly benefits influence job decisions for 33% of new workforce entrants.
• Reduced Absenteeism: Stress related to caregiving drives absenteeism and presenteeism, contributing to billions in productivity losses annually.
• Engagement and Productivity: Flexible work arrangements and inclusive policies consistently enhance loyalty, engagement, and overall performance.

Building a Caregiver-Friendly Workplace: What You Can Do

Creating a workplace culture that supports caregivers doesn’t require a complete overhaul—it’s about integrating thoughtful, accessible policies and resources that meet employees where they are.

Here are strategies to get started:

• Flexible Work Options: Offer hybrid or remote work, adjustable schedules, and caregiving leave to help employees balance their responsibilities.
• Inclusive Benefits: Ensure benefits are financially accessible and reflect diverse family structures. For example, Modern Health allows employees to designate anyone in their household as a dependent, offering tailored support for today’s evolving caregiving roles.
• Leadership Training: Equip managers with tools to support caregivers empathetically and effectively, while encouraging leaders to share their own caregiving experiences to reduce stigma.
• Peer Support: Create Employee Resource Groups (ERGs) for caregivers and host workshops on navigating workplace benefits.
• Inclusive Leave Policies: Provide paid leave for caregiving needs, ensuring terms are inclusive and offer full wage replacement to maximize accessibility.

A Series on Supporting Employees Through Life’s Milestones

Caregiving is just one of the many challenges employees face throughout life’s journey. This blog is part of a series exploring how HR leaders and benefits decision-makers can better support their teams at every stage—from navigating significant life transitions to managing moments of crisis.

Stay tuned for our next post, where we’ll discuss how to empower employees to adapt and grow during periods of change and uncertainty.