Absenteeism costs businesses in Ireland over €563 million each year, according to a new study from the Small Firms Association (SFA).
The report claims that small firms with less than 50 employees are less likely to have workers absent on sick leave than larger organisations.
The national average for absenteeism is 8 working days. For large companies this rises to 10 working days, while for smaller firms. For small firms the average falls five working days, the survey found.
In cash terms, absenteeism costs small businesses with sick pay schemes approximately €563 million per annum, based on average earnings of €143 per day.
"This takes no account of other direct costs such as the requirement to replace absent staff with other workers or overtime payments, and the cost of medical referrals; or of the indirect costs such as the effect on productivity and quality, the increased work pressure on other colleagues, and the admin time in managing absence," said SFA director Avine McNally.
The overall cost in reality could be in closer to €900m", she added.
Back pain/injury and stress are the most commonly cited problems on medical certs, according to the study. Stress was also found to be one of the main reasons for absenteeism in the workplace.
The west and northwest and the north-ast fair worse in terms of absenteeism, with an average of 9.1 days and 7.2 days lost in both regions per annum.
Ms McNally called on businesses to develop a policy to deal with absenteeism in the workplace.
"Employers should be aware that there are a wide range of factors that can influence employees' attendance patterns and levels. These include good communication, training and development, working conditions, job design, team working and the creation and fostering of a culture and organisational morale, which encourages and recognises excellent attendance," she said.
"Promoting employee health and welfare, tackling the issues surrounding stress in the workplace and management
training for handling absenteeism, should assist in reducing absenteeism," Ms McNally added.
