News

02.06.10 by Work Screen

Presenteeism v sickness absence: which is more costly?


Presenteeism v sickness absence: which is more costly?

Absence is pretty easy to get your head around but, according to the think-tank The Work Foundation, HR also needs to address the issue of presenteeism.

Personnel Today report on The Work Foundation survey published in April.

The Work Foundation argued that the cost of presenteeism could match or account for one-and-a-half times more working time lost than the estimated £13bn annual cost of sickness absence (see key findings below).

The report also argued sickness presence was a much more prevalent malaise than sickness absence and could prompt higher levels of the latter, as well as simply being a drain on productivity and competitiveness - both key issues for employers as we come out of the recession and the economy moves into (albeit slow) recovery.

As the report's lead author Katherine Ashby explains: "If you are tackling the underlying factors related to sickness presence, you will be reducing absence, too.

"For HR, it is about raising awareness around sickness presence. It is being aware of it as an issue, acknowledging it could be having a negative impact, and monitoring it. Is it something line managers know about and could be looking at more?" she adds.


Key findings were:

• Sickness presence is significantly related to performance, associated with lower line manager supervision and assessment, reduced psychological wellbeing and increased levels of sickness absence.
• It is more prevalent than sickness absence, with 45% of employees reporting one or more days of sickness presence against 18% reporting sickness absence over the same period
• Personal financial difficulties, work-related stress, perceived workplace pressure (from senior managers, line managers and colleagues) to attend work when unwell were found to be key contributing factors.
• As well as reporting a higher number of days' sickness presence, employees who perceived pressure from managers and colleagues to work when unwell were also more likely to report their performance was adversely affected by working when unwell.
• Employees who were unable to adjust their work around their health problem were also more likely to report that their performance was adversely affected by working while unwell, while employees who had money worries had a significantly higher number of sickness presence days.
• Sickness presence can act for employers as a useful bellwether of general employee health and wellbeing.
Employers that focus solely on sickness absence may be at risk of underestimating employee ill health and missing important warning signs

Key recommendations were:


•Organisations should look at how they are applying absence management policies and how, or whether, these are properly understood by managers.
•The capability of line managers to deal with work-related stress, including any managerial and organisational causes of reduced psychological wellbeing and stress, should be prioritised.
•Organisations should embrace the fit note as a constructive opportunity to review how managers and their teams are working together to adjust work for employees and accommodate any health problems.
•Employers should consider whether it makes sense to offer workplace-based financial support for employees.
•HR should assess the need for ongoing monitoring and evaluation of employee health and wellbeing, and evaluate the effectiveness of any targeted interventions

Read More