Q&A - What is absenteeism and what can businesses do about it?

Absenteeism concerns employees who don’t turn up for work and who don’t have a legitimate reason. It is, therefore, largely about unauthorised absence from work.

There are various ways of calculating absenteeism – here is a popular formula:

The important point to remember about absenteeism is that is represents a significant business cost. Sickness absence alone costs UK businesses around £600 for each worker per year (source: BusinessLink). The key for management is to understand the reasons for absent employees (genuine or not). E.g.

- Genuine sickness, bereavement, bullying, stress
- Some employees simply “playing the system”
- Predictable / traditional absenteeism –e.g. Monday / Friday, when there is a major sporting event during the day or at the end of a shift pattern

What can a business do to reduce absenteeism? Here is a list of some possible actions:

- Understand the causes
- Set targets and monitor trends
- Have a clear sickness & absence policy
- Provide rewards for good attendance
- Consider the wider issues of employee motivation