The Definition And Reasons For Absenteeism Management Essay

Absenteeism is a habitual or absence from work or obligation. It is a big problem for the business when any employee does not come on work too many days. High absence rates in any business it is a result of a poor work discipline or laziness. Low payment of work or the workers are not satisfied with the working hours or condition are not good for the employees or Employees are not interested to do the hard job. These are the main reasons of the absenteeism.

Definition

Voluntary non attendance at work, without valid reason. Absenteeism means either habitual evasion of work, or willful absence as in a strike action. It does not include involuntary or occasional absence due to valid causes, or reasons beyond one’s control, such as accidents or sickness. See also attendance management.

Definition for: Absenteeism

the problem of employees taking short-term, unauthorized leave from work, resulting in lost productivity and increased costs. Absenteeism is usually sickness-related. Other causes may include a lack of motivation, domestic difficulties, or poor management.

How much Absenteeism Cost you business

Absenteeism is a big problem and it affects every business and If the workers are not coming on the work during their working time then the company will be loss millions of dollars each year. And it is no sure that the absenteeism will cost your business.

Find out whether the absent employee missed work voluntarily or involuntarily.

There are two condition for the absenteeism, Voluntarily or Involuntarily .Voluntarily goes to the any illness of the employee or unavoidable reason.

Casual sick days are counted as a unplanned absence result in the highest per-day

productivity loss, Vacation days are include as a planned absence and its ratio is 15% and 21% is a versus. The per year unplanned absence employee days are5.3.

http://www.super-solutions.com/CostofAbsenteeism.asp* *

According to a new survey by Mercer, The total absence of the employee, If we compare the total cost of absence 36% of payroll to the health and care 15.4%.Unplanned absence for accounts are 9% .Vacations and holidays average 26.6%, it is a planned absence for a midsize business. We can account the unplanned absence for as much as $4.5 million dollar per year.

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This new survey tell us that absence cost employers more than half the cost of health care, casual sick days result in the highest per day productivity loss, planned absence like vacation 15% and versus are 21% per day, On average, employees have 5.3 unplanned absence days per year.

Any employer of the company must consider indirect and direct both cost when an employee does not come on the work, Direct costs are the benefits go to the employees because when the employee does not come on the work then the employer have to pay the money. These include sick, holiday and vacation pay and Disability benefits when available.

The indirect costs are as follows:

The employee` s absence affects on the project and it slows down the project` s completion and it affects a temporary worker.

The employee` s absent “covered” by coworkers, a temporary worker ,”floaters” or the employee` s supervisor.

Replacement workers are less efficient:

-71% Worker replacement are less efficient during unplanned incidental absences.

-79% Worker replacement are less efficient during planned absences.

-80% Worker replacement are less efficient during extended absences.

-The replacement work out put of 4 to 8 co-workers was reduced by 19%.

You can manage the costs of absenteeism by knowing your costs and use the ratios of total costs to direct costs to estimate your organization` total costs.

You can manage the absenteeism when you Educate your staff and managers on:

1-First check the real costs of absences.

2-First check the other employers are doing ( or not doing) to better track and manage absences.

http://news.bbc.co.uk/1/hi/business/356360

The Continuing Cost of Absenteeism( By Will Smale) BBC News Online Business Reporter

The genuine cause of absenteeism is a Workplace stress and You wake up with a screaming hangover and really can’t face going into work.

Getting out of bed it is very hard and seems impossible, misery and the pain is that bad.

You should keep in mind do not be drunk so much on a school night, but you got a bit carried away with the fun and the company, there are a chances of illness and death are more and more.

HIGH COST

Ill health create a problem for some` s job, mental issues such as stress or depression as a result of bullying, pressure, or over work. There is a certain level of absenteeism, 15% and the employers can not do about it.

CBI SPOKEMAN

13.4 million Working days are lost to anxiety and stress and depression and 12.3 million upper limb problem and back. In UK £11.5bn in 2002 was paid out in wages to the people who did not come to work and in this figure the over time and temporary staff covering cost is also include.

MESSAGE OF IHC

The message of IHC is simply prevention, check the reason why staff may be absent from the work and sort out this problem because it is a big loss for a Industry Sector.

Removing causes*

INVESCO has decided to attempt the problem of absenteeism, it is

investment management company of London and Henley-on-Thames and employing 1,00 permanent staff, it deeply checked the absenteeism, whether to visit a doctor or councillor, was costing in late 2002it was estimated £38,000 a year

after carrying out a study into the problem.

Sometimes worker does not go to work is a pleasant thought

For solving the problem, INVESCO realised its health provision, deciding to

invest in a private GP for the worker of the INVESCO and to bring in a physiotherapist.

http://www.enotes.com/biz-encyclopedia/absenteeism

SKIVING

According to CBI, The company can do so much to prevent absenteeism, and 15% absence are not original the report shows on the absenteeism cost on the companies. Absenteeism occurs when any worker of the company does not come to work due

to illness or injury or scheduled time off, or any other reason. The cost of

absenteeism, generally expressed in terms of lost productivity and it is

difficult to determine in the business. US Bureau of the Census and U.S Bureau of Labour shows the direct

losses at more than $40 billion a year. The report of Social Security Administration

tell us that in one year workers missed more than half a billion days. One recent Gallup poll did

not put a price tag on the sniffles and swollen eyes, but claimed that more

than 3 million workdays per year are lost when working people stay home

because their allergies are acting up.

unionsCASE STUDY

The recent study involved a

television manufacturer which is operated with a lean staff. Work was required to be on the floor for every non salaried employee. The union advised with the company to decrease the number

of annual excused absences, which are allowable from 24 days to 18, and if any employees are doing absences near by 18% and then he could be terminated. Before the termination the company determined that decrease in absence shows that how it was serious this problem for the company to carry on the employee for the work and reduce the absenteeism.

When the new new contract came into effect the unexcused absence was decline 45% and excused absence was drop 22 percent. The people use the time which was given to vacation was increased for absences 81 percent, Employee use the vacation time more and more, and the employees do not give the advance notice, and it is a very big caused disruption and any every thing should be in scheduled of the supervisors.

Labour negotiations, the company protected the elimination

of the vacation-day changeover practice. It is also told employees that if you are looking for a desiring different jobs then your previous attendance record should be very good.

company also offered to the employees a

perfect attendance bonus of $200 because the company is interested to decreased the absenteeism cost.

127 employees qualified for the bonus as a good result of attendance, in the first years of arrangement. Last year only 27 employees had perfect attendance records. In this case study this company

shows the importance of understanding absenteeism and this is the experience of company. The potential abuses

of absence-management policies

PAID TIME OFF SYSTEM

In the study of 464 hospitals, these hospitals are using seven

different methods which are very useful for controlling absenteeism, Just paid leave bank continuously showed a positive effect in controlling absenteeism. This is a very good method and it is known as the paid time off system.

Mostly companies have consider the amount of time previously set aside for

sick leave, At the start of the year

any employees of the company think that they have a certain number of paid days and they can take the holiday with out any reason during the year. For the employees of the any company, no sick days are allotted and if

an employee is seriously ill and he cannot return to work and he used all

the days which was provided by the company for a holidays in his or her “bank,” short term disability payments company pay. One

company using such a policy and it found its employees reporting of illness

and absences rate was dropped by more than 30 percent in one year, Because the company is interested to check the performance of the employees during the production period.

HOW TO MEASURE ABSENTEEISM

Worker absenteeism is a big issue in the business field and it stress over the manager every time during the work and due to absenteeism they can not run their operation and efficiently and worker absenteeism is also a expensive and costly for any business and it affect on the moral and increase the stress in the business.

essknowledgesource.com/manufacturing/worker_absenteeism_how_to_measure_it_anhttp://www.busind_reduce_it_021319.html#>

MEASURE IT:

The best way to measure the worker absenteeism is to check how many days the employees do not come on the work. Mostly companies use the clocking system to come on work and it is a simple way to check the absenteeism ratio. If you have a numbers then it is a very simple to record how many employees are genuinely ill.

http://www.businessknowledgesource.com/manufacturing/worker_absenteeism_how_to_measure_it_and_reduce_it_021319.html#>.

REDUCE IT:

During the Business the employees are not perfect, Human error, frustration and burnout are invetable. It is no easy that people think and perform. An individual can change personal behaviour that he has mad. Below are some compliance and some motivation about the absenteeism,

WAGES PAYMENT/INCENTIVE SYSTEM

Worker response about the wage depend on the production quality, they are trying to produce more and more best product. Hourly Earnings- Evaluate how is your wages method relates to the production. All the worker are not equal not equal paid the money. Is your compensation system and quality of product and quantity reflect your answer?

http://www.businessknowledgesource.com/manufacturing/worker_absenteeism_how_to_measure_it_and_reduce_it_021319.html#>

CASH REWARDS AND RECOGNITION:

Competency overload – Part of enjoying your work is essential and it is being a confident in you efforts and it is also the contribution to the bigger picture, constantly malfunctioning equipment and Insufficient training, Fatigue Stress, etc. can discourage your workers. You should Make sure you are given your worker the best tools to do their best.

http://hubpages.com/hub/tips-to-reduce-absenteeism-into-minimun

P RACTICAL GUIDELIME FOR CONTROLLING UNAUTHORIZED ABSENCE

There are many ways and theories to explain of absence causes, but we need comprehensive approach to reducing the absenteeisms cost and issues, Some methods are here:

Your should put the absenteeism rate as a big issue in the business and also make a reducing absence into minimum, and also check the performance of the control the absenteeism. Train manager how to conducting counselling session with their subordinate and how to manage the cost of absenteeism. On the absence day, the company should pay less money to the worker and then communicate them how much money they have lost. In this way you can prevent them to extend their absence. You have to determine the local legal policy for applying this method.

ABSENCE MEASUREMENT AND MANAGEMENT:

These hints gives the guidance ,

It shows the main causes of absence

It tells us the practical information on managing sickness absence effectively

Implications of legislation affecting absence

Includes the CIPD viewpoint

According to CIPS, employee absence is a significant cost of the business and the annual survey tell us that data on sickess absence costs and also the working days lost.d

GO TO OUR MOST RECENT ABSENCE AND SURVEY

TYPES OF ABSENCE

These are the following reasons why people take a absence:

Short time sickness ( covered by the doctor, Uncertificated, Self -certificated)

For a long term sickness absence

Determined Lateness or with out authorised absence

Any other authorised absence: motherliness, annual leaves for the workers, adoption, parental leave, trade union duties, educational leaves, care for the dependents.

WHY MEASURE ABSENCE:

In the latest CIPD absence survey, just fewer employer give the attention to reduce the cost of absenteeism and 38% of organisations tried to solve this problem against the other employers. Employer should check the data and identify the absence and underlying the absence, for example increased in workload. Absence impact on the bottom line.

HOW TO MEASURE TIME COST:

We can use the number of measures that can be used to assess absence:

LOST TIME RATE:

It shows the percentage of total time vailable that is lost due to absence.

TOTAL ABSENCE:

Total absence ( hours or days) in the period x 100

Possible total absence ( hours or days) in the period

For example, if the total absence in the period is 124 person-hours and the total time available is 1,550 person-hours, the lost time rate is:

*12* x100 =8%

1,550

We can calculate these figures as a separately because it is for individual department of groups of employees to disclose the particular absence problems.

It is shows the average of absence per employee, It gives us the percentage and does not give the suggestion of the length of each absence period of the company and not shows that employee who is going to take more then one spell of absence in the company

No of spells of absence in the period x 100

No of employees

For example, During in one month and the average of organisation employed on 80 workers, and in this time ,total 16 spells of absence, then the rate if frequency is

16 x 100 = 20%

80

If we calculate the number of employees that take at least one of spell of absence in the period, but moderate to total number of spells of absence, It gives us an individual frequency rate.

WHAT ABSENCE POLICIES NEED TO CONTAIN?

In the best absence policies must predict the employees` rights and obligations when the employees are taking time off form work due to the reason of sickness,

The policy should give the details of contractual sick pay terms and it has the relationship with statutory sick pay

The policy should draw the process employees must follow if they want to take time off sick-covering and they will tell the employer which and when employees inform if they are not able to attend work.

The policy should include the employees want ( after how many days) a self-certificate form

The policy contain when the company need the fit note from the doctor

The policy should give details that adjustments may be suitable to support the employee in returning to work in the company as soon as is possible

  The policy should point out that the organisation reserves the right to need employees to go to an examination by a company doctor.

The policy should contain that the company demands the report of the employee’s doctor

The policy should include the return-to-work interviews and these are identified as the most useful intervention for maintaining short-term absence.

In the best interventions in managing the short-term absence include are:

The good interventions in managing the short-term absence are include the procedures of unacceptable absence levels,

In the best interventions in managing the short term absence are involving trained line managers in absence management

    provide that sickness absence information reports to line managers

    Restricting sick pay

   Relating occupational health professionals.

MANGING LONG – TERM ABSENCE:

According to CIPD reach tell us that absence of four weeks or eight days or one third of the total time lost through or more accounts for more than 15% and it is vital organisations to help employees to get back to work after spell of sickness or injury-related absence.

The managing long term absence, these points are also important and are as follows:

If any organisation want to decrease the long term absence them he has to change the work environment or patterns

Any company if he wants to manage the long term absence for the employees then he will try to take the Return-to-work interviews:

Any organisation will start the Rehabilitation programme for getting the good performance of the long term absence:

4 TYPICAL ELEMENTS IN THE RECOVERY AND RETURN TO WORK PROCESS:

Keeping In Contact With Sick Employee:

For the employee it is very essential that he should be contacted in a sensitive or non-intrusive approach. The form of this contact should be approved with the manager or member of staff or where suitable or the employee or union agent.

Planning and Undertaking Workplace Control or Adjustments:

A risk appraisal can determine measure or adjustments to help workers returns and stay in work.

Example

Allowing a gradual return to work, for example, To make a constraction from part time to full time over a period of weeks

Changing work management or patterns style to cut stress and it gives the employee more control.

Changing the employees working hours, for example; To allow the flexi-working hours to contain family demands.

Using professional advice and treatment:

The health professional play a major role in evaluating the reason for absence, managers in planning a return to work, Assisting HR professionals and Carry out health assessments.

Planning and Co-ordinating a Return to Work Plan:

It is a plan between the employee and line manager, The plan should be need to include:

Modified job role and the working hours or time period

The goals about the employees production and New working arrangement

Plan review dates between the employees and the manager.

http://www.cipd.co.uk/subjects/health/occpnhlth/occhealth.htm

MOTIVATION THEORY:

THE MEANING OF MOTIVATION

The study of motivation is relate to people behave in a certain way and why people do what they do and it is described as the direction and persistence to other.

Underlying Concept of Motivation:

Any individual who attempt to achieve some goals, purpose or aims in order to fulfil some expectations or needs.

People behaviour is indicated by

Performance = function (ability motivation)

NEED AND EXPECTATIONS AT WORK:

The different expectations and needs at work can be divided in a number of ways:

For example;

Social motives or physiological or into intrinsic or extrinsic motivation:

Extrinsic Motivation:

It is a tangible rewards such as salary other benefits, like security, promotion contract of services.

IIntrinsic Motivation:

It is Psychological rewards such as achievements or receving appreciation or considerate manner,

VROOM`S EXPECTANCY THEORY:

This theory is founded on this base that people achieve certain outcomes form their behaviour others. This theory was founded by vroom and there are 3 key variables of this theory:

Valence and Instrumentality and Expectancy

Valence:

Valence means the feelings about the specific outcomes. It is a attractiveness particular outcome to the individual. Vroom; determine in his theory that valence from value. When any person desire to get the object after gaining it he got little satisfaction.

Instrumentality:

It is a leads to a first levels and second levels outcomes.

The First-Level Outcomes are performance related:

They indicate to quantity of output and the people try to find to perform well` for its own sake and without thought to likely penalty of their actions. Generally, the performance outcomes achieve valence because of the expectation which they will lead to other outcomes that an anticipated source of satisfaction.

The Second -Level Outcomes are need-related:

Many needs-related outcomes are needy actual performance although effort expended and people normally receive rewards for what they have achieved but for effort alone or through trying hard:

Expectancy Theory:

Expectancy theory tell us that managers of the company should give the full consideration on the factors:

Manager should use rewards system in terms of individual performance and outcomes with high valence should be used as an motivation for better performance.

Manager should try to establish clear relationships between effort-performance and rewards, as supposed by the individual.

Manager should gibe full consideration to overruling such as role, abilities and personality, role, awareness, organisational factors, may still influence performance

THEORY OF HERZBERG

Herzberg interviews of 203 accountants and engineers, because its importance was growing in the business world from different industries in the Pittsburgh area of America. The method which he was using that was relates to times and exceptionally bad about their present job or any previous job, when the exceptionally, There are two different sets of factors affection motivation and work. This leads to the two-factor theory of motivation and satisfaction.

HYGIENE AND MOTIVATING FACTORS:

The factors are related to job context it is due to the cause of dissatisfaction. They are relate to the job environment and extrinsic to the job itself. The factors are the Hygiene or Maintenance factors (hygiene being used as analogous to the medical term meaning preventive and environmental). They serve to stop dissatisfaction. The other set of factors are those which, if present, provide to motivate the individual to superior performance. These factors are related to job content of the work itself. They are the growth factors and motivators. These factors will influence feelings of satisfaction or no satisfaction, but no dissatisfaction.

These factors can be related roughly to Maslow` s lower-level needs and the motivators to Maslow` s higher-level needs proper attention to the hygiene factors will be likely to stop dissatisfaction, but does not by itself create a positive attitude. To motivate workers to give of their best the manager must give proper attention to growth factors. Herzberg emphasises that hygiene factors are not a second class citizen system. Management should never agree people proper treatment at work. The motivators relate to what people are allowed to do and the quality of human experience at work. They are the variable which actually motivates people.

THEORY X AND Y:

.