New research from GRiD, the industry body for the group risk sector, shows that 32% of employers do not measure the impact of sickness absence – despite ongoing national concern about productivity and rising levels of ill health, as highlighted in Sir Charlie Mayfield’s Keep Britain Working review.
The findings mark a significant shift from 2024, when the proportion of employers tracking absence reached a six-year high of 69%. In 2025, that figure has dropped to 61%, while the percentage not measuring absence has risen from 27% to 32%.
Accurate absence data is crucial for employers seeking to understand and address both absenteeism and its often-overlooked counterpart, presenteeism. Without visibility, organisations may struggle to identify the scale of the problem or choose effective interventions.
“It’s vital that employers record absence and have a good understanding of the impact to their business,” said Katharine Moxham, spokesperson for GRiD. “Those that do are in a much better position to know what support to put in place, and can then measure the return on investment of mitigating absence and expediting returns to work.”
How employers measure absence
Among employers who do track the impact of sickness absence, the most common method is calculating the cost of lost time (48%). Other approaches include:
- Measuring lost productivity (45%)
- Calculating the cost of sick pay provision (40%)
- Assessing indirect costs such as management time and colleagues covering work (39%)
- Tracking direct costs like agency fees or temporary staff (34%)
The role of employer support and early intervention
GRiD emphasises that employee benefits – particularly group risk products such as life assurance, income protection, and critical illness cover – play a vital role in supporting staff through health and personal challenges. Early intervention is especially important, as the chances of a successful return to work decrease the longer an employee is absent.
“Unplanned absences can disrupt workflow, reduce efficiency, and increase operational strain,” said Moxham. “Providing proactive support helps employees stay in work wherever possible and ensures a smooth, timely return when absence does occur.”
How do you track absence?
One reason why some employers may find it hard to measure the impact of absence is that they are struggling to track the reasons for absence in the first place.
This is a list of the
Most common sickness absence categories used by employers:
- Musculoskeletal disorders (e.g. back pain, neck and shoulder issues, joint problems, repetitive strain injury)
- Minor illnesses (e.g. colds, flu, headaches, minor infections)
- Mental health conditions (e.g. stress, anxiety, depression, burnout)
- Respiratory conditions (e.g. chest infections, asthma, COVID-19)
- Gastrointestinal issues (e.g. stomach bugs, gastroenteritis, digestive disorders)
- Injuries and accidents (e.g. sprains, fractures, falls, sports injuries)
- Chronic or long-term medical conditions (e.g. diabetes, heart disease, cancer treatment, autoimmune conditions)
- Surgery and medical procedures (including post-operative recovery)
- Pregnancy-related illness (excluding maternity leave)
- Work-related stress or pressure
- Other or unspecified reasons
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