The Economy of Addiction: Exploring Substance Use in the U.S. Labor Market

Substance use as a coping mechanism for job-related stress is an escalating concern among U.S. workers. To better understand this issue, we surveyed 1,000 American workers across various industries, demographics, and employment statuses, uncovering key trends in job stress and its links to substance use. The findings reveal significant generational, gender, and economic disparities, shedding light on how workplace pressures and financial strain contribute to this growing challenge.

Key Findings

61% of Americans report spending at least $50 each month on substances due to work and financial stress.
1 in 4 members of Gen Z and 1 in 3 millennials have upped their substance use due to stress caused by layoffs and the adoption of AI in the workplace.
1 in 3 millennials feel substance use has held them back from advancing in their careers, compared to only 1 in 10 baby boomers.
34% of Gen Z and 29% of millennials have sought or considered seeking professional help for substance use or job-related stress, compared to only 16% of baby boomers.

75% of Young Workers Feel the Rising Tide of Job Stress

More than 75% of Gen Z and millennials experience increased stress due to their jobs or job hunts. 20% also feel this rising stress has negatively affected their well-being. In contrast, only 5% indicated that their stress levels had decreased, suggesting that for the majority of younger workers, career-related pressures are a mounting source of mental strain.

What’s more, pressure from the job market drove 45% of all American workers to use substances — a number that jumps up to 55% for Gen Z and millennials. In comparison, only 27% of baby boomers felt similar pressure.

Financial Pressure Is the Main Cause of Job Stress

Similarly, financial pressure is the leading cause of job stress for 47% of Americans — a sentiment that transcends generational divides:

Though the influence of economic strain seems pervasive for all workers, others actually felt that the following factors caused more stress at work:

Ultimately, however, none of these factors prove to be as stressful as financial pressures.

The Cycle of Substance Use and Economic Strain

Overwhelmingly, 86% of Americans agree that the current economic climate pushes more and more people towards substance use.

However, it’s no secret that substance use can further exacerbate financial challenges — and that’s something that many younger Americans have experienced personally:

Despite feeling the pinch, 61% of Americans report spending at least $50 monthly on substances, further straining their finances. There are generational differences here as well, with younger Americans seeming to devote more of their budget to substances than older ones.

Here’s how many Americans in each generation spend less than $50 per month on substances:

Further, 73% of men drop more than $50 on substances per month, compared to only 50% of women who do the same.

Though few Americans spend upwards of $300 monthly on substances, 9% of millennials and 8% of Gen Z do — double the amount of baby boomers (4%). Similarly, 8% of men will spend at least $300 on substances per month, which is nearly twice the amount of women (5%) who do so.

Because this is a systemic issue, effective economic policies can play a key role in easing financial stress and reducing substance dependency. Raising minimum wages and improving access to affordable healthcare can help alleviate financial burdens and lower reliance on substances. For instance, research highlights that expanding Medicaid alone improves access to treatment and reduces opioid overdose deaths. It’s possible that other policies could have similarly beneficial impacts.

Even Higher Stress Levels Among the Unemployed

Job seekers face heightened stress, driven by financial pressures and the challenges of finding employment.

Roughly 1 in 4 Gen Zers are unemployed and job hunting, but financial pressures cause more stress than the job search itself. Only 14% cite job search as the primary cause of their stress whereas nearly half cite financial concerns.

Two-thirds of Young Americans Use Substances as a Coping Mechanism

A significant 69% of Gen Z and 68% of millennials report using substances on a weekly or daily basis, compared to just 31% of baby boomers, who exhibit the highest rate of abstinence. This makes younger Americans more than twice as likely to use substances regularly than their older counterparts.

Alcohol is the substance of choice for 41% of Americans, making it the most popular of all. Here’s how the others shake out:

Though Gen Z is the only generation who doesn’t use cigarettes at all, they do use recreational drugs like cannabis at far higher rates than all other generations. Here’s how the generations stack up when it comes to using recreational drugs:

Gen Z also reports the lowest rate of complete abstinence from substances (2%), while baby boomers report the highest (29%). Interestingly, despite the reported use of substances across generations, the majority of Americans didn’t feel an impact in their personal lives, with 1 in 3 stating that their personal relationships suffered no negative impact as a result of their choices.

Men Are More Likely To Turn To Substances To Cope with Stress

Men are more likely to use substances to deal with stress related to their jobs. Specifically, 29% of men report using substances daily for stress relief, compared to 22% of women. Additionally, women are slightly more likely to have abstained from substances entirely during the last year (12%) than men (8%).

Work Drives Half of Americans To Use Substances

Nearly half of Americans (46%) report increasing substance use due to job-related pressures or the search for employment.

Men are more affected, with 51% increasing usage compared to 41% of women.

There’s a correlation between age and increasing substance use due to job stress, with younger Americans doing so at far higher rates:

In addition to this worrying increase, 34% of workers have even used substances on the job. For 23% of workers, their employers are unaware of this habit — which means that the employers of 11% of workers are aware and allow substance use on the job.

That said, people use substances at work for a surprising reason. A staggering 41% of Americans have been pressured into using substances to manage their job performance and even just meet workplace expectations. Millennials are most likely to feel this pressure (54%) out of all generations and are more than twice as likely to do so as baby boomers (only 20%). And at 50%, Gen Z isn’t far behind them.

You’d think that substance use would be particularly prevalent among remote workers, given the increased isolation and ease of opportunity to do so. However, only 16% of remote workers report an increase in substance use, while 29% report no changes at all.

One-third of Millennials Believe Substance Use Has Affected Their Careers

Only 23% of Americans feel that their substance use has impacted their ability to move forward in their careers.

However, that figure jumps up to 33% for millennials, making them the generation most likely to feel the effects of substance use on career advancement. In contrast, a mere 9% of baby boomers feel the same way.

There’s also a notable gender difference here. 29% of men feel as though substance use has impacted their career advancement, compared to only 17% of women.

What’s more, stagnation at work can propel further substance use, which is the reality for 28% of Americans. Not only are millennials the most likely to experience career stagnation in the first place, but at 41% of workers, they’re also the most likely to increase substance use because of it. Gen X and Gen Z have also upped their intake but to a lesser extent (22% and 26%, respectively), and baby boomers trail behind at 12%.

Stress Due to a Changing Job Market

1 in 4 members of Gen Z and 1 in 3 millennials are more stressed and increasing their substance use due to job layoffs and the rapid adoption of AI technologies.

However, workplace changes have affected these two generations the most. Only 21% of Gen Z and 24% of millennials haven’t experienced layoffs or been impacted by AI, compared to 57% of baby boomers.

Overall, while 1 in 3 Americans find no impact on their stress or substance use from layoffs or AI adoption, a small portion have. Layoffs alone contributed to increased stress for 8% of respondents, and both stress and substance use for 10%. Another 7% reported higher stress and substance use as a result of both layoffs and AI adoption.

It could be that emerging technologies are contributing to employee anxiety due to the loss of current jobs and overall job availability. Job loss due to AI is a very real fear for many workers. This means people need to keep their skills sharp, and potentially develop new skills altogether, to stay competitive in the job market, both in the short- and long-term. With more of their careers ahead of them than behind, it’s no wonder that younger workers are more worried about these shifts.

Industries More Prone to Substance Use

Workers in all industries use substances, but some industries are more likely to do so than others. 74% of Americans working in construction and skilled trades use substances at least weekly, if not daily.

Other industries with similar patterns of substance use include:

The disparities in substance use between industries point to underlying differences in job stressors, such as customer-facing roles in retail and the fast-paced environments of IT. Understanding these nuances is critical for designing effective, sector-specific mental health and substance use initiatives.

9 out of 10 Workers Want Employers to Support Mental Health

A significant 92% of Americans feel that employers should take more responsibility for supporting employees’ mental health.

However, younger Americans are far more likely to believe that employers should be legally liable for managing workplace-induced substance issues. 58% of Gen Z and 45% of millennials hold this opinion, but a mere 29% of baby boomers feel the same way. This expectation illustrates a generational shift toward recognizing the interconnectedness of mental health, workplace stressors, and substance use.

The Reality of Employer Mental Health Support

Despite these expectations, only 16% of workers find their employers to be supportive when it comes to managing job stress and preventing substance use.

Though feelings are relatively consistent across generations, baby boomers are the least likely to find their employers supportive (12%). Gen X (17%), millennials (18%), and Gen Z (14%) all report feeling slightly more employer support.

Common shortcomings include limited accessibility to mental health resources, lack of awareness about available programs, and the stigma attached to seeking help in professional settings. These barriers often lead to the underutilization of critical support systems, exacerbating mental health challenges within the workforce.

Employers can take proactive steps to enhance their mental health support initiatives. Practical strategies include:

Offering mental health days: Providing paid days off specifically for mental health can alleviate stress and prevent burnout.
Expanding Employee Assistance Programs (EAPs): EAPs can offer confidential counseling and resources tailored to diverse employee needs.
Improving access to counseling services: Employers can collaborate with professionals who hold specialized degrees to provide targeted support.

By addressing these gaps, employers not only fulfill a moral and legal obligation but also foster a healthier, more productive workforce. And there’s clearly a need for a comprehensive overhaul of workplace mental health initiatives, particularly as younger generations demand accountability and robust support systems.

Half of Young Workers Seek Professional Help

When it comes to actually seeking professional help (such as counseling or therapy) for issues like substance use and job stress, there’s another significant generational disparity. Nearly half of Gen Z and millennials have at least considered getting help for these challenges, while 16% of baby boomers have done the same.

Here’s what Americans are seeking professional help for:

An additional 9% of Americans are considering professional help without following through.

Younger generations are more likely to acknowledge the importance of proactively addressing mental health and substance use, but many people still don’t pursue the resources they need. 88% of Americans experience at least one of these issues, but only 27% have actively sought help, leaving the majority (61%) unsupported.

Significant barriers make it difficult for people to find, let alone work with, a counselor, therapist, or support group. Social stigma around mental health persists, discouraging many; the high cost of services and geographic disparities in access to qualified professionals further exacerbate the challenge.

Open conversations in workplaces and communities about mental health and substance use are essential to foster supportive environments that reduce these barriers. Resources such as substance abuse counselor degrees and career guides underscore the importance of trained professionals in creating accessible pathways to help. Prioritizing mental health in these ways can lead to healthier, more resilient workplaces.

Methodology

To examine the complex relationship between substance use and the U.S. labor market, we conducted a survey of 1,000 American workers and job seekers. This survey captured diverse perspectives from respondents across various industries, age groups, and employment statuses, offering valuable insights into how job stress, economic pressures, and workplace environments influence substance use.

Questions explored topics including the role of economic strain in substance dependency, the impact of workplace culture, and the effectiveness of mental health support systems.

Through this thorough analysis of survey responses, we identified significant connections between labor market dynamics and substance use behaviors. These findings shed light on the broader implications of stress and economic hardship on workforce well-being and emphasize the importance of targeted interventions to foster healthier, more supportive work environments.

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