In search of productivity? The cost of presenteeism could be a catalyst for action

Young black businesswoman working late on laptop in office

According to analysis by the Institute for Public Policy Research (IPPR), as reported in The Guardian, the cost of staff sickness has grown by £30bn a year to £103bn in 2023. The annual bill was £73bn in 2018.

This, the report warns, is largely caused by a loss of productivity amid “staggering” levels of presenteeism.

When we talk about presenteeism during our webinars, people often ask us to explain what it is. Definitions vary, but in essence, presenteeism or working while sick (according to Wikipedia) is: “The act or culture of employees continuing to work as a performative measure, despite having reduced productivity levels or negative consequences”.

Commenting on the IPPR’s analysis, Dr Jamie O’Halloran, a senior research fellow at the IPPR, said: “Too often, UK workers are being pressured to work through sickness when that’s not appropriate – harming their wellbeing and reducing productivity. This can be because of a bad workplace culture, poor management, financial insecurity or just weak understanding of long-term conditions among UK employers”.

“Our demonstration of a ‘hidden’ productivity cost of working through sickness should catalyse a change in approach. We should strive to make sure the work we do is good for our health, that we have the time to recover when we need it, and to ensure businesses both contribute to and benefit from population health. This would protect workers, boost profits and deliver growth.”

Working through poor health is more common among those from marginalised ethnic groups, people in lower quality jobs and staff lacking formal qualifications. Black or Asian employees are twice as likely to work through sickness compared to those who are white British, the IPPR said.

The IPPR’s study is the final interim report from the cross-party IPPR Commission on Health and Prosperity. Its recommendations to ministers to clamp down on businesses that harm health and incentivise firms that improve the health of their workforce, could have far-ranging consequences for the future of workplace culture, employee health and wellbeing.

A joined-up approach to tackling presenteeism

Commenting on the report, Karl Bennett, Wellbeing Director at Perkbox Vivup (and Chair of EAPA) said:

“Presenteeism is rarely the result of one single factor. In the same way as “it takes a village to raise a child” it takes every part of a business to ensure their staff are fit, well and present at work – both physically and emotionally”. 

“How aware are most businesses of the reasons their staff are absent or not performing? I don’t just mean the line manager, or colleagues, I mean every level of the business. How joined up is the organisational infrastructure? Is HR training their managers to hold constructive, productive return to work, leavers and 1:1 sessions with their team? If so, how is this information being shared and what action is taken around the results to ensure measures are put in place to mitigate it happening again with others? Is the organisation shouting about the way they look after their teams and the value they place on their employees?” 

“It’s a fact that if an employee doesn’t feel like they are part of something, they will disengage, which could ultimately result in lethargy and presenteeism.  This data won’t come as a shock to most businesses, but they may need to question fully whether they have an issue”. 

Many businesses live in a world of blissful ignorance when it comes to employee wellbeing and this data shows that is a mistake. Not being aware of your organisational culture, how engaged your staff are, the reasons they are leaving or unwell are the key metrics which should be used regularly, not just as a barometer, but as an ongoing beacon regarding employees’ wellbeing. Get this right and your staff will be happy, engaged and ‘present’ at work.

You might also like:

Join our growing network of employers
Receive Make A Difference News straight to your inbox
Review Your Cart
0
Add Coupon Code
Subtotal

 
Logo

Sign up to receive Make A Difference's fortnightly round up of features, news, reports, case studies, practical tools and more for employers who want to make a difference to work culture, mental health and wellbeing.