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Managing the high cost of employee absences

Managing the high cost of employee absences

Canadian companies lose an estimated $16.6 billion in productivity per year due to workers calling in sick.

According to Statistics Canada in 2017 the total days lost per worker in the Private Sector was 8.4 days, in the public sector the days lost per worker was 13.5.

The cost of employees not attending work is not just the cost of salary, payroll costs and overtime to cover absent employees. There are also the indirect costs which can be even more painful to your business, these can include: time and effort by management to deal with the work that is not done due to the absence, client service problems caused by delays, or lower service standards and decreased employee morale as they have to deal with a heavier work load.

Having a program in place to track absences and identify trends can help support employee wellness and help manage your rate of absenteeism.

Tracking frequency and the reason for the absence can be key in helping with early intervention programs. An employee absence reporting line can help manage this flow of information, providing a neutral third party to gather the information from the employee calling off.

Setting triggers based on rate and lengths of absences for your managers to meet with staff can bring awareness to employees who don’t know that their attendance is out of the company norm. A formal absence tracking and response system can help identify concerns and provide workers with assistance they may not be aware is available such as wellness programs, community supports and programs available through company benefit plans.

Make monitoring employee absence a positive experience; recognizing their value to your organization and providing support to their health and wellness.

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