Absenteeism is an expensive and global problem and costs the economy billions per year. Absences in professional occupations — jobs that require a lot of training, have the greatest impact on the economy and account for the majority of lost productivity. But why are employees too sick to come to work, and what can be done about it?
Absenteeism affects a business and its employees in many ways. At an individual level, the negative consequences of absenteeism are a loss of pay and the stress of disciplinary action. At the group level, including colleagues or coworkers, a person's lack of attendance may double their workload, create overtime, and increase the likelihood of conflict — especially when other employees sacrifice personal time to pick up the slack.
This is why reducing absenteeism is essential, as it has a far-reaching effect on your employees' happiness. Not to mention the impact on your bottom line, such as reduced productivity and lost business. Fortunately, you can reduce employee absenteeism — it's not easy, but focusing on employee mental health is typically the best course of action.
Simply put, absenteeism is the failure to attend or remain at work when scheduled.
There are two types of absenteeism, planned and unplanned. An example of unplanned absenteeism is sickness, while industrial action is an example of planned absenteeism.
When absenteeism takes place over a long period of time, it is usually due to a chronic illness, but other causes can include a lack of child care.
Organisations measure absenteeism using an absenteeism rate. They calculate it by dividing absent days by available workdays in a given period. When absenteeism becomes excessive, it usually indicates an underlying cultural issue.
Many employees work much longer than their contracted hours to go above and beyond — and they’re paying for it. In the US, 23% of employees feel burned out constantly or most of the time, with 45% reporting feeling burned out sometimes. Burned out employees are 63% more likely to take time off than their well-rested counterparts, and are also much more likely to seek other jobs.
Everyone wants to do their best and help others when asked. However, the line between helping and feeling overwhelmed is very thin. Setting polite boundaries is healthy. Moreover, when people understand their capabilities and don't take on too much, they protect their mental health. Overwhelm impacts an employee's mental wellbeing and the quality of their work, so they mustn't feel obliged to spread themselves too thin.
Presenteeism occurs when an employee is working when they shouldn't be. For example, they could be unwell but feel some pressure — from either themselves or their boss to come to work. When people work instead of resting, their productivity levels drastically drop. So, while they may be sitting at their desk, their eyes are likely glazed over and they cannot concentrate. The worst part is that being at work prevents them from getting better, so they'll likely be in this unproductive state for longer than if they had just taken time off to recuperate.
We're guilty to some extent of taking our work home with us, even more so if we work where we live. However, not shutting off after a long day doesn't allow the body to get enough adequate rest, be it mental or physical. If burning the midnight oil continues for a period of time, stress-related conditions such as anxiety may begin to develop. This, in turn, could lead to greater absence rates and a drop in productivity.
Everyone loves to receive appreciation when they have done something they are proud of — it's human nature. In an ideal world, it would be great if employees felt motivated 100% of the time, but that's not the reality. Rewarding employees for their time and effort shows you care about their development — and them. In fact, organisations who prioritise recognition and reward report lower levels of absenteeism and higher levels of productivity.
You can reduce absenteeism in the following ways.
Communication issues, in some way, are at the heart of all business problems. However, with absenteeism in particular, a lack of communication is often the sole cause. We all know factors such as burnout and presenteeism contribute to absenteeism. But, if employees can voice their concerns and seek help sooner, it could stop them from reaching a crisis point.
We recommend using a mixture of tools to gather employee feedback. With Perkbox, there is a polls feature where employees can have their say on various topics. Furthermore, if you combine polls with other surveys, such as pulse and employee engagement, you can learn a lot about how your employees feel.
Additionally, Perkbox's company homepage tool lets you share information easily on the app. Think of it as a digital notice board where you can attach PDFs, videos, images, and more. Using electronic cards, you can post company news updates, documentation — and even photos from your latest work social. Posting cards is easy and there are a range of templates to choose from. Plus, you can create a card from scratch if you want something different.
When employees know their efforts matter, they feel good about their work and are more engaged. Demonstrating that you appreciate the work your teams do not only boosts morale but also gives them a sense of fulfilment.
With Perkbox, employees can recognise each other on the go and leave personal messages, which are recorded on a live recognition feed. What's more, each message can be tagged to company values so your teams know exactly what behaviours your organisation values. Managers can also attach points to each recognition they send, which employees can save or redeem right away on thousands of rewards.
Wellbeing support is something all companies should offer — providing they are financially in a place to do so. Every cent spent on wellbeing benefits your employees and business. When Employees are happy and healthy, they are more productive and innovative and take fewer authorised absences. There are many ways to boost wellbeing in your organisation, but the most efficient and cost-effective tend to involve employee experience platforms that include wellbeing content.
Perkbox includes an ever-expanding library of wellbeing resources that cover employee wellbeing in its entirety. There are HITT workouts, yoga flows, finance and nutrition webinars, strength training sessions, and much more. And, because all these resources are available 24/7 on the Perkbox app, it doesn't matter if your employees work out from home during lunch, or visit the gym before heading to the office — everyone benefits.
Everyone loves a holiday, and giving employees time off to travel, spend time with family — or just reset, makes for a happier and healthier workforce. As an employer, planning ahead and arranging cover to ensure that popular times such as bank or school holidays are covered will maintain productivity levels.
Nobody can be 100% productive all of the time and people naturally tire without appropriate time off to recharge. With Perkbox, employees get access to thousands of discounts and perks, including hotels, attractions, spas, and airlines, so they can enjoy their paid leave without breaking the bank.
The increase in flexible, hybrid, and remote working is one of the biggest changes to have swept through Australian workplaces in generations. Most companies who offer flexible working ideally want full-time employees onsite at least 3 times a week.
The benefits of flexible working typically centre around wellbeing and productivity, as employees don't have to factor in a stressful commute or distractions common in office environments. But how people respond to flexible working is very individual. Some for example, prefer to work from home more often, where others like to be around colleagues in an office environment.
Absenteeism has several causes, from burnout to presenteeism. Unless a person has a long-term health condition or is experiencing a disruptive change in their personal life, absenteeism typically stems from cultural issues.
The first step in tackling cultural problems is focusing on employee experience and how it can be improved. Has your organisation undergone a significant cultural change, for example, redundancies? Or has there been a merger? Have you recently grown and has this increased workload? Fixing these problems can be a challenging task. However, using an all-in-one employee platform, such as Perkbox, can help.
Perkbox is a comprehensive solution that focuses on employee wellbeing, perks and benefits, recognition and reward, and communication — the most significant drivers of employee experience. With its detailed reporting functionality, you can clearly see how your teams use the platform and what features they like most. Using this information, you can track and reliably measure how Perkbox improves employee experience and absenteeism rates.
We've put together this guide to help you create the best possible employee wellbeing strategy.
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