The vast majority of UK businesses are concerned about the impact of long-term and short-term employee sickness.
This is according to research from MetLife UK which found 88% held these concerns about employees taking four weeks or more off. A similar proportion (86%) also expressed concern over short-term sickness where workers took less than four weeks off work.
The survey of 1,000 HR directors or business owners and senior decision makers in the UK found long-term sick leave was costing employers an average of £20,735 per employee per year, and short-term sickness costing £13,800.
The calculations took into account the impact of the employee’s absence, the services offered to them, and other subsequent costs such as hiring temporary staff or the extra hours taken up by other employees.
Around one in seven (15%) businesses said they did not estimate how much they spent on short-term and long-term sickness per employee, meaning businesses could be spending more than they think on absenteeism.
The research examines how employers of all sizes are impacted by sickness absence, the ways to lessen its effects, and how small and medium businesses could benefit from early intervention, while prioritising workers’ interests.
It also shed light on some of the biggest challenges for companies in the next 12 months. These include business performance (12%), employee retention (8%), and long-term sickness (6%).
Sickness surging
Charlotte O’Brien, head of employee benefits at MetLife UK, said: “While the absolute priority is ensuring employees feel supported during moments of absence, whether short or long-term, without careful management this could prolong time away from work and could trigger more serious issues, higher costs, and greater business disruption.
“Sir Charlie Mayfield’s government review aims to cut the numbers of long-term sickness which calls for a lot more to be done through the workplace – which is where the benefits of preventative and early intervention tools are so important.
“Quick and targeted action enables employers to minimise time off, reduce the risk of long-term ill health, and ensure employees feel properly supported and cared for.”
Report author Liz Barclay said: “I’ve spent decades working with businesses of all sizes.
“Sickness absence is surging, and as a small business owner, I know the impact it can have on productivity and profitability, as well as on the relationship with customers.
“For me, the most important people at the heart of the detriment, are skilled, experienced and are hugely valuable and valued employees – people with mortgages, rent and bills to pay.
“People who are becoming unwell and being unnecessarily lost from the workplace, when their preference would be better health and remaining in work earning their salary. Founders, owners and bosses owe it to their business and their employees to support them, as quickly as possible, back into the saddle.
“I am not simply replaying the problem statement we already know exists, it’s both the wake-up call and a rallying cry to UK businesses. The purpose of this whitepaper is to bring to the forefront a possible solution to help safeguard both workforce wellbeing and the bottom line.”