19-05-11 - Tackling absenteeism and stress
Tackling absenteeism as well as office stress levels seems to be a bugbear for small businesses, judging by research this month.
According to a survey of 450 businesses by the Engineering Employers Federation and Westfield Health, more than a quarter (30 per cent) of small and medium sized enterprises leave absence management to line managers not trained in absence handling as an additional task alongside their main job - enabling staff to ‘pull sickies’ whenever and as frequently as they want.
The research rather implies that training in ‘absence handling’ should be a key priority alongside cash flow and sales, when in reality the scale of the ‘sickies’ problem is surely more often a measure of the level of communication and respect between line managers and their staff.
In separate research, a study by charity Mind reveals that one in five people believe that if they mentioned their stress levels to their managers they would be put first in the firing line.
Chief executive of Mind Paul Farmer says, ‘The negativity that persists around stress and mental health problems is unacceptable in a modern workforce. Pressure and stress may be part of our working lives, but failing to recognise that everyone has a limit is a mistake that costs businesses billions of pounds a year.’
It sounds simple, but both increased absenteeism and high stress levels illustrate the need for managers to spare some time to talk to their employees and listen to their concerns. Dan Watkins, director of find-a-solicitor service Contact Law says, ‘It's more important than ever for small business owners to ensure there are clear lines of communications with their staff.
‘A demotivated workforce is likely to have an impact on productivity so taking the time to listen to staff and make sure that they are happy, while at the same time listening to their concerns and taking on board what they say, will pay dividends in the long run. If there are difficult decisions to be made then it is important to inform staff as sensitively and thoughtfully as possible.’
12-05-11 - Employers disappointed with fit note
Sickness absence increased marginally last year despite the Government replacing sick notes with 'fit notes', new research from the CBI has shown.
The CBI/Pfizer Absence and Workplace Health Survey study found that the UK economy lost 190 million working days to absence last year, with each employee taking an average of 6.5 days off sick. The rate of absence last year was marginally higher than in 2009, when employees averaged 6.4 sick days, the lowest rate since the survey began in 1987.
The 190 million days cost employers £17bn, including over £2.7bn from 30.4 million days of non-genuine sickness absence – so-called 'sickies', said the business group.
Despite strong support for the fit note initiative, employers reported they were disappointed by their experience of it so far, with 66% believing it had not yet helped their rehabilitation policy, and 71% not confident that GPs were using the fit note differently from the old sick note system.
Katja Hall, the CBI's Chief Policy Director, said:
"There's been no let up in the cost of absence to the UK economy, which runs into billions of pounds a year. Although many organisations have been successful in bringing down levels of absence, the gap between the best and worst has widened.
"The substantial costs of absence to the economy put a premium on managing longer-term absence well. The fit note is a great initiative, which could play an important role in helping people back to work and stopping them slide into long-term absence. But employers are far from convinced that the scheme is working properly and don't think GPs are getting the necessary training.
"Sadly, more days were lost to non-genuine absence than in 2009. Sickies are unfair on colleagues and damage employers' competitiveness at a critical point in the recovery."
A Department for Work and Pensions spokesman has commented:
"Too many people are falling out of work due to failures in the sickness absence system – this isn't fair to the taxpayer, it isn't fair to the individual and it comes at a high cost to employers which is why we have asked Dame Carol Black and David Frost to lead an independent review on how the current system can be changed.
"Although there's still work to do, it's encouraging to see that one in four employers think the fit note has had a positive impact only nine months after its launch, and our own research shows that 70% of GPs think the fit note has helped their patients make a phased return to work."
The report follows related research published by the EEF last week, which found that sickness absence is continuing on a downward trend amongst UK employees. The research found that in 2010 a record 45% of employees took no days off through sickness.
11-05-11 - Agency Workers Regulations guidance published
News - The Government has published the final version of its guidance on the Agency Workers Regulations, which will become law on the 1st October 2011.
Implications
The Agency Workers Regulations (the Regulations) will come into force on 1 October 2011. The Regulations introduce new rights for agency workers, including the right to the same pay and basic working conditions as a directly recruited worker, after 12 weeks in the same job with the same hirer.
The guidance contains information about the Regulations, who they apply to and illustrative examples of how the Regulations will work in practice (see the Details section below for more information). The guidance is available at www.bis.gov.uk and at www.businesslink.gov.uk.
Any employer who hires temporary agency workers through an agency should familiarise themselves with the guidance before the Regulations come into force. In particular, employers should use the guidance to review any current arrangements with temporary work agencies to ensure they are compliant and check that agency workers will have equal access to their onsite facilities and information on job vacancies.
Details
The Agency Workers Regulations Guidance May 2011 has been published by the Department for Business Innovation and Skills (BIS). The aim of the guidance is to assist both hirers of agency workers and temporary work agencies to understand the Regulations.
The guidance includes the following information:
1. A 'quick start guide' which outlines agency workers new entitlements and what they mean for hirers and temporary work agencies. (This is a new section which was not included in the original draft guidance).
2. Detailed guidance on which types of workers are 'in scope' (i.e. will be covered by the Regulations) and 'out of scope' (i.e. not covered by the Regulations), along with more extensive illustrative examples than in the original draft version of the guidance.
3. Information on access to collective facilities and information on job vacancies, which are 'day 1 rights' which must be provided by the hirer.
4. Information on an agency worker's entitlement to the same basic terms and conditions of employment as if they had been recruited directly by the hirer after the 12 week qualifying period and details of how to calculate that qualifying period. This section contains more information on the 'qualifying clock' for calculating the 12 week period, which types of absences 'pause' and 'reset' the clock, along with more extensive illustrative examples than in the original draft version of the guidance.
5. A section on identifying 'basic working and employment conditions', which now also includes information on the correct comparator.
6. A section on the rights of pregnant agency workers.
7. A section dealing with information requests from agency workers, the information hirers are required to provide the temporary work agency and who is liable for the various Employment Tribunal claims an agency worker can bring under the Regulations.
The guidance is available at www.bis.gov.uk and at www.businesslink.gov.uk
03-05-11 - Absenteeism costing UK businesses £32bn a year
UK workers have an average of ten days' unscheduled absence from their jobs each year, around twice that of their counterparts in the US (5.5 days) and Asia-Pacific (4.5 days), but on a par with Western Europe (9.7 days), according to new research from PricewaterhouseCoopers (PwC).
Sickness accounts for around 80% of absence, which also covers jury service and compassionate leave. With the average UK salary around £25,000, PwC has calculated that absenteeism is costing British business approximately £32bn per annum, far more than previous studies have suggested. This figure is also likely to be conservative, the firm says, as it reflects direct costs of absence and does not take into account potential replacement costs and lost productivity.
Richard Phelps, HR Consulting Partner at PwC, commented:
“Absenteeism is a malaise for British business. With sickness accounting for the lion’s share of absence, the question for employers is what can be done to improve health, morale and motivation. The line between ‘sickie’ and ‘sickness’ can be blurred, with disenchantment at work sometimes exacerbating medical conditions or preventing a speedy return
“One might assume the perceived US work culture of long hours and short holidays could lead to higher stress and sick rates. Our data suggests otherwise, or perhaps demonstrates that strong employee engagement and commitment can override workplace pressures. For a variety of reasons, there seems to be a hunger among workers in US and Asia to go the extra mile.”
PwC also suggests that more flexible labour laws in the US and Asia could also play a part, with a possible sense among workers that there is more at stake if they are not committed.
Phelps explained:
“Keeping staff engaged is arguably the biggest part of the battle, but you also need clear policies in place to make it less appealing for people to take unwarranted leave, while protecting those people with genuine illness.
“There’s also a question of whether UK employers should be investing more in the health of their workforce. US firms tend to take greater responsibility for staff wellbeing, whether providing gyms in the workplace or access to councillors.”
The research highlights the impact workplace culture can have on absence. PwC’s analysis found that the public sector has the highest absence levels, averaging 12.2 days. Absenteeism is also a problem for retail and leisure, at 11.5 days.
Phelps commented:
“While sometimes absence from work is unavoidable, once people see colleagues frequently taking unscheduled leave, absence becomes less of a dilemma and more of a right. Breaking the cycle can be hard. Retailers take a robust approach, with pay docked almost immediately. With retail resignation rates substantially higher than other sectors, some could argue this is hindering morale. But with a largely unskilled, often temporary staff base, boosting engagement is extremely difficult.”
20-04-11 - GPs report patients being sacked whilst off sick
GPs report regularly seeing patients who have been dismissed from their job during an illness, according to the findings of new research conducted by Comres on behalf of Legal & General.
The survey shows that 50% of GPs said they see patients who have been dismissed from their job during an illness ‘a few times a year’. In the North East 5% of GPs reported seeing patients every week who had been dismissed from their job during an illness.
In five regions, more than half of GPs had seen patients in these circumstances a few times a year: 52% in the North West; 53% in the West Midlands; 56% in the South Central; 50% in Scotland and 54% in Wales.
Diane Buckley, Managing Director of Legal & General’s Group Income Protection, commented:
“Many employers lack the specialist resource to help rehabilitate their staff when they’ve been ill. They show the importance of early intervention to make sure that tailored, individual support is delivered quickly”.
Dr John Delfosse, a practising GP and Legal & General’s Consulting Medical Officer, said:
"As a practising GP over the years I have seen patients who unfortunately have been dismissed during a period of illness, usually occurring during the early part of their absence. Particularly it seems if they have only been with an employer for a short time. There is no doubt that being at work is good for your well-being and unemployment can adversely alter the course of a period of ill health. I strongly believe that with early targeted intervention, given the right expertise, this outcome can be changed returning my patients to the workplace sooner."
Workplace Law's Dismissal factsheet indicates that sickness is a potentially fair reason for dismissal but warns that the Disability Discrimination Act 1995 must be considered.


