jelf wellbeing event, september 30th 2014

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The cost & myths of staff absence

Malene Nielsen 30th September 2014

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Release the hidden profits

‣ Understand the true & full cost - and create your own ROI calculator

- Without this, no decisions can be made

‣ Overcome the myths of absence

- Or you won’t be in control

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True costs of absence

‣Lower sick pay and staff replacement costs (incl. overstaffing!)

- If no sick pay, what’s the impact?

‣Reduce administration related to absence

- The value of less time spent by HR and managers, e.g. one HR admin per 250 employees

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True costs of absence continued

‣ Fewer unfair dismissal and IP claims

- How many claims due to poor absence management ?

‣ Retention, presenteeism, client satisfaction a.o.

- Difficult to measure, but indirect costs just as high as the direct costs of absence

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Top 5 Myths

1. Absence doesn’t cost anything if no sick pay

2. Managers will know if employees are pulling sickies

3. Employers must implement GP’s recommendations ‘fit note’

4. Absent employees should be left to recover in peace

5. Sickness requires bed rest and time off work

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Next steps - create the Toolkit

‣Robust data collection

‣Daily absence reporting

‣Policy with measurable triggers and actions

‣Early manager and OH intervention

‣Line management training

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Absence is a management problem….

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