The History Of Absenteeism Management Essay

The History Of Absenteeism Management EssayWhen employees intentionally make absence seizure seizure seizure seizure seizure seizure seizure from hold it is known as absenteeism. In to daylights dally organisations allbody misses a day of act upon now and then. But when an employee misses too m each eld of work it fire be a big problem for the organisation and this flowerpot antecedent serious problems when all early(a) employees vex to c everywhere for the lose worker or in worse cases the work simply doesnt uprise d mavin, which fag cause low productivity or non availability of request services, leading to bad impression on comp anys position and name.People a lot tend to eat variant perspectives or attach different meanings when showing the topic of employee absenteeism. Absenteeism occurs when the employees of a company do not turn up to work due to any scheduled beat take, any illness, any injury, or any other cogitate.If we look back the history, in t hat location is lonesome(prenominal) a small written history of absenteeism in business literature, simply because until the 20th century businesses had a clear rule, No work no pay. Then labour sums forced the companies into agreements to allow employees to take snip by from work for illness or vacations and the practice of offering paid vomit up age become widespread. These practices still vary among companies and union contracts and normally in that respect is an fair of four to ten bl be days per category is standard. Companies dedicate realized that human absence counselling policies argon cost legal even to a greater extent(prenominal) companies were un go outing to off paid leave to their employees. In fact, there is an estimate in the current studies regarding absenteeism that those company who lease legal employee absence st valuegies throne reduce their overall payroll costs by atleast 10 percent.ABSENTEEISM COSTING THE BUSINESSESMost youthful studies on absenteeism have claimed that absent employees cost companies millions of pounds in at sea revenue somebodyly year. We know that absenteeism can be quite costly. It has been estimated that in the United States alone, absence causes a sacking of 400 million workdays per eld. Based on this estimates, several researchers have connect a dollar value to this of amidst $26 and $46 jillion per year (Steers and Rhodes, 1978 Goodman and Atkin, 1984a). In Canada, this figure probably approaches $8 to $10 billion.The federation of British Industry (CBI, 1999) has carried out a play along and utilise its social station base to good select both private and public sector employers. This subject showed that the average frame of works days lost per employee in the UK in 1998 was 8.5 days, which represented 3.7% of all working age available. Another important correlation coefficient showed that absence was positively associated with the size of the organisation, that is absence stride were higher in large organisations than in small organisations.In calculating magazine lost as a percentage of actual working period available, the survey was based on a 228 days working year. This figure is derived from fetching out of 365 days, 104 days for weekends or rest-days, 8 public holidays and 25 days annual leave. For many organisations the figures of 228 would be debateably proximate, but for others, a rewrite base would need to be used, for example indoors the education service. table 1.1 Absence outranks for manual and non-manual employees 1998 (1997 figures in brackets)AverageBest performing quartileEmployeesDays lost% of workingDays lost% of workingtimetimeManual9.4 (10.8)4.1 (4.7)5.52.4Non-manual7.6 (6.8)3.3 (3.3)31.4All8.5 (8.4)3.7 (3.0)4.11.8Source CBI, Focus on Absence, 1999.The other most recent survey on the popular causes of absenteeism by BBC has revealed that within the UK 93% of workers cite cods and flu as their common reason for world away from their work.Recently BBC has reported that absenteeism is costing 10.2bn a year and that is mainly through employees minor illness, stress and family responsibilities. A survey of to a greater fulfilment than 530 firms for the Confederation of British Industry estimated that 200m days were lost through ghastlyness absence last-place year, an average of 8.5 days per worker. gibe to an annual survey report of CIPD in 2009, it is stated that the annual cost of absence, is highest in the on a lower floormentioned sectors of different organisations within UKAverage per employee/yearPublic Sector 784Manufacturing and outturn employers 754Non-profit organisations 698Private services organisations 666However, the conclusions showed that there ar lonesome(prenominal) 41% of employers who atomic number 18 monitoring the cost of employee absence, a figure which has remained unappeasablely low over the past some years.Another company Hewitt Associateswhich is based inLincolnshir e,Illinoisis a globalhuman resources(HR)outsourcing andconsultingfirm which delivers a wide range of integrate services to attend companies have intercourse their total HR and employee costs and break their workforces has confirmed that absenteeism is costing the organisations in UK to a greater extent than nose candy0 per employee almost every year.INTERNATIONAL COMPARISONSInternational comparison of absence judge is equally utilitarian and informative. The title sick man of Europe was once disposed(p) to Britain because of on the face of it poor industrial relations record. This title can be presumptuousness to any other calculatery now as absence rates in the UK ar among the lowest of any EU member country. card 1 illustrates this pointCountryShort- shape Absenteeism rateLong-term Absenteeism rateDenmarkUKAustriaSwedenIrelandNorwayNetherlandsFranceGermanyBelgiumItalyPortugal3.53.64.14.44.55.05.55.65.65.86.98.09.15.512.73.010.413.311.16.56.65.511.2Source Adapted from C BI, Focus on Absence, 1989THE MOST COMMON CAUSES OF absence seizureThere atomic number 18 two different classes of employees, manual and non-manual and the most common main causes of sickness absence for both of these classes have been identified asManualNon-ManualMinor illness(cold, flu, plunk for upsets headaches)Minor illness(cold, flu, stomach upsets headaches)Back pain strainingMusculo-skeletal injuriesMusculo-skeletal injuriesHome/family responsibilitiesBack painStressHome/family responsibilitiesRecurring medical conditionsRecurring medical conditionsInjuries/accidents not associate to workOther absences not denoted to ill- healthThe in ardor(p) studies and surveys have revealed that an adjoin in stress related absence is continuing in deed of employers these days. For both manual and non-manual workers, employers perceived that minor illness is the major cause of absence from the workplace.THEORIES RELEVANT TO ABSENTEEISMOver the past many years, there have been many studies and surveys conducted to dis consider what motivate people. The most recognised theories argon Taylor (1856-1917), mayonnaise (1880-1949), Maslow (1908-1970), McGregor (1906-1964) and Herzberg (1923-2000). Because pauperization is very some(prenominal) important not unaccompanied at work but almost in all part of life story too, there are so many new theories which are eternally being developed.MOTIVATION THEORYThe word motivation is used to bring up certain secernates of demeanour. The purpose of motivation theories is to predict demeanours. Motivation is not the behaviour itself, and it is not consummation. Motivation concerns action and the internal and immaterial forces which influence a persons choice of action (Mitchell 1987).Motivation encourages people happily to assign more than effort into doing something. Well-motivated employees volition always feel fulfilled and happy in their respective workplace. Furthermore, the employees are to be expected to be more copious and generate work of a higher quality with lower rate of absenteeism.EXAMPLEA recent case study shows that Siemens, a s considerably known company worldwide, banks that well motivated employees can add cross(a) power into work in order to accomplish the necessary outcomes because they believe that their work is extraordinary. The motivated workforce is more confident to take plume in what they do and off course there is low rate of absenteeism because employees are happier to go to work.HERZBERGS TWO FACTOR THEORYHerzberg used the vituperative incidental system and his original study was chosen because of the growing immensity in the business world and his study was consisted of converses with 203 cipherants and engineersfrom different industries in the Pittsburgh field of America. The responses to these interviews were generally consistent and revealed that there were two different sets of factors affecting motivation and work. This led to the Two feder al agent Theory of motivation and job mirth. On the basis of his survey, Herzberg reported that employees tended to describe satisfying experiences in terms of factors that were internal to the content of the job itself. These factors were called motivators and taked such variable stars asAchievement intuitionThe work itselfResponsibilityAdvancement and growthAccording to Herzberg conjecture these motivators who in any case can be known as satisfiers were associated withlong-termpositive make in job performance while the hygiene factors (dissatisfiers) consistently produced only concisely-term changes in job spots and performance, which quickly fell back to its preceding(prenominal) take aim. In summary,satisfiers describe a persons relationship with that she or hedoes, many related to the tasks being performed.On the other hand dissatisfiers have to do with a personsrelationship to the context or environmentin which she or he performs the job.The satisfiers or motivators r elate to what a person does while the dissatisfiers relate to the situation in which the person does what he or she does. So in summary according to Herzberg if the basic needs of an employee are being met at an organisation, the employee go forth always be resulting to come to work and bequeath be happy doing his job.Herzberg argued that extra compensation only work in the con term and other hygiene factors only avoid dissatisfaction and that satisfaction comes from intrinsic motivators.EXAMPLERoyal Bank of Scotland has enforced Herzberg Two Factor Theory and its working successfully at the bank. RBS has put the interest few factors from Herzberg theoryThe good work by employeesgets recognitionThe employees at RBS have a combined logic of success when the whole business does wellThey get extra responsibility and progress through regular performance reviewsRBS rewards their employee when they do well in their workRBS in like manner introduced flexible working for its all empl oyees and these are adapted to case the local needs of each RBS centre. Through its right to work flexibly theory RBS is continuously cause its employee as if they are unable to come to the work on time due to an appointment, they always can come late and can cover their work through job sharing, home working or variable working hours.ATTRIBUTION THEORYAttribution theory suggests that we hold a persons behaviour and then try to establish whether internal or external forces caused it. If it is judged to be internal, it is seen as being under the persons prevail if it is judged to be external, it is seen as a result of the situation. Attribution is said to be subjected to a number of considerations, because we judge actions in a context. For example, we judge how distinctive behaviour is and whether behaviour is anomalous for a bad-tempered person.Attribution theory is very much relevant to absenteeism as for example the employee is absent from work and the circumstances are tha t his or her attendance record is exemplary, then the behaviour could be considered unusual and an external cause (that is, that the behaviour is outside the reign of the individual) impart be attributed. If the absenteeism fits in with the general pattern of behaviour, then an internal attribution get out be attached (that is, it leave be seen as being under the persons control).EQUITY THEORYThe Adams Equity Theory is a simple theory which differentiates an employees inputs and the outputs. According to the theory, the judgment to this fair sense of balance serves to make trustworthy that a strong and useful connection is achieved with the worker, with the overall result being satisfied and motivated workers. This theory states that optimistic outcomes and high levels of enthusiasm are likely only when employees recognize their behaviour to be fair. The thought place Adams Equity Theory is to hit a strong balance here, with outputs on one side of the level and inputs on the o ther both measurement in a way that seems reasonably equal. If the balance is in prefer of the employer then few employees may work to bring balance between inputs and outputs on their own, by asking for more reward or recognition. Others provide be demotivated, and still others will look for substitute employment.DOUGLAS MCGREGOR THEORY X THEORY YAccording to Douglas McGregor there are two different views of human beings. He described under his Theory X, that workers come to work to do the work and raise no questions and receive their pay. While in his Theory Y he believed that workers are dedicated and want responsibility. McGregor powerfully recommend that employers should treat all the workers as Theory Y because they will be more efficient.EXAMPLENuclear Decommissioning Authority (NDA) in UK has implemented McGregors Theory Y, as NDA wants its employees to be self-directed in their work and are always ready to accept high levels of responsibilities. NDA claims that with t he help of this theory their employees absenteeism level is very low as everyone loves their work and they are more trusty to be at work on regular basis.ABSENTEEISM MEASUREMENTTo measure worker absenteeism the most obvious way is to record how many days have employees not come in to work. The companies should have some sort of clock-in or accountability set-up making this step relatively simple. Once the be are available, surely it would be interesting to know how many of those workers were rattling ill.Measuring absenteeism can serve as many as four purposes for organisations, which includes the followingAdministering payroll and benefits programsPlanning human resource requirements for production schedule finding absenteeism problemsmeasuring and controlling personnel costs (Gandz and Mikalachki, 1979)Actual assessment and analyzing is a key aspect of managing absence effectively. Organisations must assess if they have complications with absenteeism, its extent and find out t he best way to handle it. In the latest Chartered Institute of Personnel and growing (CIPD) absence survey, there were only a less than half of employers who monitor the cost of absence of their employee,and there were just underhalf of organisations who have set a sharpen for reducing absenteeism and the only 38% of organisations benchmark themselves against other employers.To analyse particular arrangement of absenteeism and underlie the basis, employers should acquire and use data, for example, the concern approach of an attach manager or an increase in workloads. This can similarly digest the evidence of how absenteeism impacts on the bottom pull out and why it value put in an effective absenteeism way programme.MEASURE TIME LOSTTo respect absenteeism there are a number of different measures that can be used, each of which can gives information about the different aspects of absenteeism. Some of the factors are described as underLOST TIME RATE garbled time rate measur earticulate the percentage of the total time available which has been lost due to absenceTotal absence (hours or days) in the periodx 100Possible total (hours or days) in the periodFor instance, if the total absence of the employees in the period is one hundred fifty-five person-hours and the total time available is 1,950 person-hours, the lost time rate will be155 x 100 = 7.95%1,950This can also be reckon separately for the individual departments of different groups of employees to uncover particular absence problems within an organisation.FREQUENCY RATEThe frequency rate method shows an average number of absences per employee, which is expressed as a percentage. This does not give any indication of the length or duration of each absence period, nor any indication of employees who take more than one spell of absence and it is calculated as underNo of spells of absence in the periodx 100No of employeesFor example, if an organisation employed on average one hundred ten workers in on e month, and during this time there were a total of 24 spells of absence, the frequency rate will be24x 100 = 21.82%110To find out the individual frequency rate, we have to count the number of workers who take at least one interval of absence in the period, rather than to total number of intervals of absence.BRADFORD FACTORThis method expresses the persistent short-term absence for individuals, by measuring the number of spells of absence, and is therefore a useful measure of the disruption caused by this type of absence. It is calculated utilise the formulaS x S x DS = number of spells of absence in 52 weeks interpreted by an individualD = number of days of absence in 52 weeks taken by that individualFor example10 one-day absences 10 x 10 x 10 = 1,0001 ten-day absence 1 x 1 x 10 = 105 two-day absences 5 x 5 x 10 = 2502 five-day absences 2 x 2 x 10 = 40The trigger points will differ between organisations. The underlying causes will need to be identified for all unauthorised absence .ABSENTEEISM pick up POLICIESThe companies should have clear policies in place which support their business objectives and market-gardening and this is the first step to managing absenteeism efficiently. Under the current legislation employers are inevitable to provide their staff with knowledge on any terms and conditions relating to deficiency for work due to the sickness or injury, including any arrangement for sick pay.Effective absenteeism policies must spell out clearly employees rights and responsibilities when taking time off from work due to sickness or any other reason. These policies should includeA clear idea of what absence is, how it can be defined and how it index be measured.An indication of the scope and scale of absence in the UK and elsewhere by sector, region and industry typeAn account of the likely causes of absence and how they relate to individuals, jobs, organisations and wider factors.Consideration of the legal environment within which absence must b e managed.Examination of the equal opportunities implications of absence centering, which particular regard to the Employment Relations Act 1999.Discussion of the ways in which work index be made more flexible to suit the needs of both the employer and the employee.Consideration of how a scheme for managing absence might be developed.Examination of the range of tactics that an employer might employ for the management of absence.HOW TO MANAGE ABSENTEEISMBefore we discuss how to manage absenteeism we look the types of absenteeism. There are many other reasons why people take time off from work. These can be categorised as underNon permitted absence or continuous latenessLong-term sickness absenceShort-term sickness absence (uncertificated, self-certificated, or covered by a doctors fit note which replaced the sick note from April 2010)Other authorised absencesfor example,annual leave maternity, paternity, adoption, or maternal(p) leave time off for public or trade union duties, o r to care for dependents compassionate leave educational leave.Other than these supra categories of absenteeism there are two main types of absenteeism, know as short term absenteeism and long term absenteeism. We discuss in detail how to manage these two main types of absenteeismMANAGING SHORT-TERM ABSENCETemporary absence is also known as absence interventions. The most effective interventions in managing short term absence include the followingsA proactive absence management policyReturn-to-work interviewsDisciplinary procedures for unacceptable absence levelsInvolving trained pull managers in absence managementProviding sickness absence information to transmission channel managers close sick payInvolving occupational health schoolmastersThe most common method which is currently being adopted by many organisations is excrete-to-work interviews which can help identify short-term absence problems at an early stage. These return-to-work interviews provide an opportunity to mana gers to start a dialogue with staff over underlying issues, which might be causing the absence.Tim Holden, the Managing Director ofFLUID, draws on more than 10 years experience as an award-winning recruiter and trainer. FLUID works with organisations to enhance their drawing card to both current and future employees. Holden suggests thatThe use of corrective procedures for unacceptable absence may be used to make it clear to employees that unjustified absence will not be tolerated and that absence policies will be enforced.According to CIPDs recent survey it has been revealed that, only 12% of organisations use attendance incentives or bonuses as a tool of absence management according to our latest absence survey.MANAGING LONG-TERM ABSENCEThe current studies and researches on long term absence have shown that absence ofeight days or more justify about one thirdof total time lost through absence and absence of four weeks or more accounts for more than 15%. Consequently it is very vi tal that organisations have an approved strategy in place to help their employees to get back to work later a continuous period of sickness or injury-related absence. The knowledge of possible disability discrimination claims is also critical these days.LINE MANAGERS ROLETo control and reduce the causes of absenteeism, line managers have a substantial role to play, all directly or indirectly. How managers behave is very important because it has a substantive effect on employee health and comfort. Many recent researches show that line managers are the type of employees most likely to be reported as bullies within organisations. Management style within an organisation is also one of the top causes of stress at work.The role and responsibilities of the line manager in the management of absence should be clearly defined. However, these days the role of line managers is paramount. It is the line managers responsibility to manager his or her department or unit. thus it is his/her res ponsibility to see that these resources are used as effectively as possible. This means that levels of attendance should be good and absence kept to a minimum. The line managers should follow the companys approach to management style, organisation and allocation of work, as this will be a vital part of any strategy to control absence. In addition it is his/her responsibility to follow the company absence polices and procedures to staff.In any organisations the managers need good communications skills to encourage employees so that they can feel free to discuss any problems they may have at an early stage so that they can be given support or advice by the managers before matters escalate. According to all the recent studies and surveys it is stated that despite of all the importance of line manager/ supervisor involvement, there are only 50% organisations are training their line managers to get the skills needed to do this effectively. The organisations should train their line manage rs to get the following skills to handle the absenteeism properly and they should have a good knowledge ofTheir companys absence policies and proceduresWhat is their role in the absence management programmeHow to act upon any advice given by the doctor to the employee.All the related legal and disciplinal aspects of absence including potential disability discrimination issuesHow to maintain absence record-keeping and sense facts and figures on absenceThe role of occupational health servicesThe proactive measures to support staff health and wellbeingOperation (where applicable) of trigger pointsDevelopment of return-to-work interview skillsDevelopment of counselling skills.In addition, the line manager will be one of the main influences on an individuals view of the company attitude to absence. It is therefore important that the actions and words of line manager support the companys position. It a difference attitude is being taken on the management of absence, whether more strictl y or leniently, it will cause problems for the individual manager and for the organisation. get out managers must be able to rely on the support of fourth-year management for decision they take in line with the companys policy, their responsibilities are as underTo effectively organize and allocate workTo use an attach management styleTo warrant that all staff are capablely trained for their roleTo communicate the absence policy and procedures to all subordinatesTo apply policy and procedures in a consistent and fair mannerTo deal with requests for prior approved absenceTo keep accurate and up-to-date records of absencesTo investigate reasons for unexplained absencesTo view as out return to work interviewsTo instigate disciplinary procedures, when requiredTo provide adequate feedback to senior managementTo ensure adequate personal development and training to be able to meet these responsibilities effectively.To support staff health and wellbeing by taking proactive measures for occupational health involvementTo be a part of the absence management programmeBy restricting sick payTo changes work patterns or environmentTo induct rehabilitation programmeThere are also four typical components in the recovery of absence and return-to-work process, which are discussed as underAn up-to-date contact with sick employeesThe line manager should ensure that a regular contact is maintained using both handsome and non-intrusive approaches with the employee. This approach must be agreed with the member of staff and management and, also where appropriate, with the union or employee representative.Workplace controls or adjustmentsThere can be some obstacles which may cause delay, interruption or difficulties to an employees return to work. A guess appraisal can analyse measures or adjustments to assistant workers return and stay in work. For exampleAllowing a steady or step-by-step return-to-work, for example,promoting an employee from part-time job to full-time job over a period of weeksTo change work arrangement or management style to reduce work pressure and to give the worker more controlModifying the employees working hours, for example allowing flexible working hours to accommodate his/her family demandsCo-coordinating the employees mobility.The use of professional advice and treatmentThese days there are many occupational health professionals in every country, they can be consulted because they can play a major role to evaluate the reason for absenteeism, and also can carry out employees health assessments, and can assist the managers in preparation for a return to work.Return-to-work designingningThe management should have a return to work plan agreed by the employee and the line manager, and any other staff which is likely to be affected and this plan needs to includeThe goals of the plan, utility(a) working hours, or a alternative job roleThe time period of the planInformation about the new working arrangementsThe reviews that will need to be made to make sure the plan is put into practiceThe dates when the plan will be reviewedThis can be reformatory if the management appoint someone who can coordinate the return-to-work process. This also can include the colleagues of the absent worker who can inform him/her of the progress, so that everyone cherish the situation, as well as easing the alterations back to work and maintaining working relationships.TACTICS FOR CONTROLLING ABSENTEEISMThere are many tools that can be used as a part of a structured plan of absenteeism. We discuss some of the tools to control absenteeism. In practice, these tools will be used in isolation but more probably several will be used in combination.PRE-EMPLOYMENT SCREENINGAll reasonable locomote should be taken to ensure that the employed staff is likely to be good attenders. One of the best indicators of likely future attendance rates is past attendance rates as many employers believe that pre-employment cover is a vital tool in ab sence management. There are number of simple steps that an employer can take to reduce the risk of employing a poor attenderAsk for information about absence on the application. For example, How many days absence have you had over the last two years?Ask about absence on reference requests.Ensure that those invited for interview are made fully aware of the expectations of the job. This would include duties, hours of work, work environment, standards of performance and conduct. Avoid the temptation to oversell the job at interview as this will result in disappointment and disillusioned employees and they will be more likely to be absent.Use pre-employment medical examinations to identify any potential problems.Note that disablement is not a reason not to employ an applicant, and employers must take great care to observe the terms o