Absent workers cost €172m, says SFA

Absenteeism cost small businesses €172 million last year with stress replacing back pain as the main cause of employees time …

Absenteeism cost small businesses €172 million last year with stress replacing back pain as the main cause of employees time off work, a new report has found. Brandon Glenn reports.

The study, which was compiled by the Small Firms Association (SFA), also shows that small firms lost 3.8 million workdays last year due to absenteeism.

The study defines absenteeism as sick leave, unexcused time off, and excused time off. It does not include annual leave, public holidays, or maternity leave.

It found the national average for absenteeism is 7.8 workdays per person, with larger firms losing 10.5 days per employee and small firms losing 5.9 days per employee.

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Small firms may suffer less absenteeism because they feature jobs that are more flexible with more multi-skilling, according to Ms Patricia Callan, assistant director of the SFA.

Ms Callan also said that stress had replaced back pain as the biggest cause of absenteeism in 2003.

The electronics industry was most affected, losing 11.5 days per employee in 2003, followed by the clothing and footwear sector which lost 10.5 days per employee. Workers in the wholesale distribution industry were absent least, 5.5 days per employee, the survey found.

On a regional basis, the Midlands, which lost 12 days per employee, and the North-East, which lost 11.5 days per employee, fared the worst. The South-East had the lowest rate of absenteeism, losing 7 days annually per employee.

The SFA surveyed about 1,200 small firms for the report while the Irish Business and Employers Confederation (IBEC) surveyed the large firms.

The SFA defines a small firm as one with fewer than 50 employees. Forty-one per cent of the small companies surveyed provide sick pay when employees are absent.