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01-12-2004 | Review Article

Economic costs to business of the HIV/AIDS epidemic

Authors: Dr Gordon G. Liu, Dr Jeff J. Guo, Scott R. Smith

Published in: PharmacoEconomics | Issue 18/2004

Abstract

HIV infection is a devastating disease for individuals and society. The economic burden of employees with HIV infection is a matter of increasing concern for employers. The purpose of this paper was to conduct a comprehensive review of published studies which measured/estimated economic costs incurred by HIV-infected employees, and evaluate the potential economic impact of the HIV/AIDS epidemic on business in different countries. This review finds a conceptual consensus in the literature that suggests that the HIV/AIDS epidemic has a potentially sizable economic cost to business, primarily due to increased costs for employment-based insurance premiums, welfare benefits, lost productivity, new hiring and training, and a downsized economy and labour market.

Based on published data in the US, accounting for the first three major cost items, in 2002 an HIV-infected worker would cost an employer in the US an estimated $US37 320 for asymptomatic individuals and $US50 374 for symptomatic individuals per person-year. However, this review found little consistent empirical data in the literature regarding the scale of disease costs specific to businesses in different settings. In addition, the current literature offers little guidance in terms of well designed, validated, and easily replicated analytical frameworks for conducting a comprehensive cost analysis from a business perspective.

Future research is needed to improve both the theoretical modelling and empirical work in assessing the full economic impact of the HIV/ADIS epidemic on patients, businesses and society at large.

Trade names are used for identification purposes only and do not imply endorsement.

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Title: Economic costs to business of the HIV/AIDS epidemic
Authors: Dr Gordon G. Liu
Dr Jeff J. Guo
Scott R. Smith
Publication date: 01-12-2004
Publisher: Springer International Publishing
Published in: PharmacoEconomics / Issue 18/2004
Print ISSN: 1170-7690
Electronic ISSN: 1179-2027
DOI: https://doi.org/10.2165/00019053-200422180-00003

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Economic costs to business of the HIV/AIDS epidemic

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Acknowledgement