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How much is absenteeism costing your company?

• By People Matters

The main responsibility one has as a manager is to ensure that your staff is efficiently and reliably working towards achieving the company’s aims and objectives. There are several factors that negatively affect an organization’s productivity - employee absence being one of the most important. Even if a single member of the workforce is not present to fulfil their duties for one day, it tends to have an effect on the whole pattern of the working day. Of course, the problem is compounded if a number of your employees miss several days of work.

While a certain level of employee absence is part and parcel of organizational reality, managers need to be aware that not all absences should be accepted passively as inevitable. Absence from work can be basically divided into three categories:

  • Authorized Leave: this includes previously agreed time off such as for holidays, training courses, family commitments etc
  • Sick Leave: refers to individuals missing work due to health reasons, ranging from a day or two off for a common cold or a stomach upset, to longer periods away from work due to more serious or chronic medical conditions.
  • Unauthorized Leave: this comprises of incidences of staff not reporting to work without giving prior notice of their absence. This is generally because they feel they are unable to come to work for any number of reasons like family responsibilities or because they are unhappy at work or lacking in motivation. This would also include occasions when employees take sick days off when they believe they would not get annual leave.
  • This article deals with issues concerning the latter two of the above. In fact most of the problem absence issues that managers have to tackle are due to short term sick leave.


    Real Cost of Absence

    A high prevalence of both sick leave and unauthorized leave can be a sign of unseen complications which, if not caught early on, can cause long term repercussions. Some of which are

    By nipping the problem of high absence levels in the bud, management can minimize the above. To start it is very important that there is regular and constant monitoring of absence in the organization to establish if there is a problem in the company. By measuring and analyzing the statistics, one can specify the type of absence that is a concern. For example are certain employees prone to taking Mondays or Fridays off sick or is there a more than normal incidence of long term sick leave. A careful analysis can also highlight if there are certain departments or types of jobs more affected. By spotlighting the nature of employee absence managers can take appropriate steps to counter it.

    What can an managers do to prevent illegitimate absence and support attendance?


    Conclusion
    No organization can take the issue of employee absence lightly. Managers need to carefully monitor employee attendance in their organizations to identify problem areas. A clear, fair and firm absence management policy together with the implementation of the above strategies can go a long way towards reducing disproportionate employee absenteeism.