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Thursday, June 27, 2024

When Therapists Lose Their Licenses, Some Turn to the Unregulated Life Coaching Industry Instead

Jessica Miller
Salt Lake Tribune
Originally published 17 June 24

A frustrated woman recently called the Utah official in charge of professional licensing, upset that his office couldn’t take action against a life coach she had seen. Mark Steinagel recalls the woman telling him: “I really think that we should be regulating life coaching. Because this person did a lot of damage to me.”

Reports about life coaches — who sell the promise of helping people achieve their personal or professional goals — come into Utah’s Division of Professional Licensing about once a month. But much of the time, Steinagel or his staff have to explain that there’s nothing they can do.

If the woman had been complaining about any of the therapist professions overseen by DOPL, Steinagel’s office might have been able to investigate and potentially order discipline, including fines.

But life coaches aren’t therapists and are mostly unregulated across the United States. They aren’t required to be trained in ethical boundaries the way therapists are, and there’s no universally accepted certification for those who work in the industry.


Here are some thoughts on the ethics of this trend:

The trend of therapists who have lost their licenses transitioning to the unregulated life coaching industry raises significant ethical concerns and risks. This shift allows individuals who have been deemed unfit to practice therapy to continue working with vulnerable clients without oversight or accountability. The lack of regulation in life coaching means that these practitioners can potentially continue harmful behaviors, misrepresent their qualifications, and exploit clients without facing the same consequences they would in the regulated therapy field.

This situation poses substantial risks to clients (and the integrity of coaching as profession). Clients seeking help may not understand the difference between regulated therapy and unregulated life coaching, potentially exposing themselves to practitioners who have previously violated ethical standards. The presence of discredited therapists in the life coaching industry can erode public trust in mental health services and coaching alike, potentially deterring individuals from seeking necessary help. Moreover, clients have limited legal recourse if they are harmed by an unregulated life coach, leaving them vulnerable to financial and emotional distress.

To address these concerns, there is a pressing need for regulatory measures in the life coaching industry, particularly concerning practitioners with a history of ethical violations in related fields. Such regulations could help maintain the integrity of coaching, protect vulnerable clients, and ensure that those seeking help receive services from qualified and ethical practitioners. Without such measures, the potential for harm remains significant, undermining the valuable work done by ethical professionals in both therapy and life coaching.