15 Strategies to Reduce Absenteeism in the Workplace

Employee absenteeism is detrimental to productivity and culture and becomes costly and disruptive if neglected. According to the CDC Foundation, absenteeism-related productivity loss is estimated at around $225.8 billion for employers in the US.

Therefore, a chronic pattern of unplanned absences can harm your team, erode everyone’s morale, and increase costs. In this post, we’ll understand employee absenteeism, its causes, and targeted strategies to reduce it.

What is Employee Absenteeism?

Absenteeism in the workplace is defined as an employee’s habitual failure to report to or remain at work as scheduled. Importantly, it’s more than the occasional sick days or approved vacations, because it implies a pattern of unplanned absences that’s getting in the way of your tasks too often.

Excused absences, such as those due to documented illness or family emergencies, are typically communicated in advance and justified with your managers. However, unexcused absences occur without a valid reason or prior approval and may become a genuine concern.

What are the Root Causes of Absenteeism in the Workplace?

Absenteeism rarely has a single cause, as it typically stems from a combination of tolerable and intolerable factors. Understanding the root causes is not only crucial for addressing the problem, but also helps mitigate it. Here are some typical drivers:

Illness and Health Issues

The most apparent cause of not showing up for work is employee illness or injury. Minor illnesses are the leading cause of short-term absences from work. For example, in Europe, employees reported taking an average of 12.8 sick days in 2022 due to colds or the flu.

Burnout and Stress

Psychological factors significantly contribute to a loss of motivation to work. Overwork, overstress, and burnout most definitely lead to employees taking sick leave. According to the Health and Safety Executive (HSE), over 17 million workdays were lost from 2021 to 2022 due to employee stress and burnout.

Toxic Work Environment

A toxic work culture can force employees to avoid being productive altogether. Bullying, harassment, or unfair treatment can make employees feel fearful and unhappy. When the office feels hostile, employees are likely to take more days off to escape the burnout it causes. On the other hand, a strong workplace with proper employee engagement has 81% lower absenteeism than one with a toxic culture.

Poor Management or Lack of Communication

Poor supervision, combined with a lack of communication, is a recipe for disaster. If managers are unsupportive and unfair when an issue is proposed, employees may call in sick because they don’t feel heard or respected. Many reports and data gathered by exit interviews have often revealed management issues as a primary cause of turnover.

Lack of Purpose and Growth Opportunities

Another solid reason for taking unfair sick days is that employees use them as a coping mechanism for their unhappiness, lack of growth opportunities, or feeling unrecognized. This stagnation and lack of engagement in providing the necessary help encourage taking unnecessary time off. When it leads to repeated absence, it can bring a crucial need for career development.

Personal or Family Responsibilities

Personal life events, such as a sick child, eldercare responsibilities, demands, or a social crisis, can lead to many unplanned absences. For instance, a single-parent employee juggling childcare often needs more flexible hours and time off whenever needed.

When employees have no backup for childcare or other obligations, they often miss work at the last minute. Additionally, the long and challenging commute due to bad weather, traffic, and transit strikes can also force people to stay at home.

Job Dissatisfaction and Career Issues

When employees are unhappy with their jobs and don’t feel recognized due to a lack of proper employee engagement programs, it’s a clear sign they’re taking sick days to cope. This poor recognition and lack of career development can lead to an excessive number of leaves, significantly increasing absenteeism.

Lack of Diversity, Equity, and Inclusion (DEI)

Employees who feel excluded or undervalued due to certain biases are most likely to leave the company. How? It all starts with taking excessive sick days until the company can no longer handle the expenses. When certain groups are demotivated, it’s likely because they’ve been mistreated or have had growth opportunities taken away at work. When introduced to proper DEI policies, inclusive workplaces have seen a 37% decrease in absenteeism.

Since we’ve explained the root causes of absenteeism at work, employees can identify various causes through regular surveys, exit interviews, and one-on-one meetings to address these issues that are impacting the workplace.

How Absenteeism Impacts the Workplace?

Now that we’re well aware of the root causes, employee absenteeism has a wide-ranging impact on productivity, profits, and overall team morale. Let’s explore them briefly:

Lost Productivity

When employees miss work, their tasks pile up and are reassigned if they don’t show up. Coworkers often cover for them, and that’s when everyone misses the project deadline. Even occasional absences can negatively impact the timeline and overall output. When you stack up these losses over time, they become enormous.

For example, the Centers for Disease Control (CDC) has estimated that the cost of chronic absenteeism in the UK is staggering, at $225.8 billion in lost productivity each year. That translates to roughly $1,685 per employee.

Team Morale and Resentment

Chronic absenteeism drains the rest of the team’s productivity. Gradually, coworkers assigned extra duties can develop resentment toward the absent colleague, which can breed tension. This habitual absence worsens when coworkers begin to resent the absent colleague.

This damages the trust the team has built throughout months, even years, which is hard to regain. This downward spiral can lead to demotivation and a significant loss of productivity, ultimately resulting in a decline in morale and financial stability.

Affected Financial Costs

Employers are often reported to pay salaries to absent employees and tolerate them by incurring overtime or temporary labor costs. Even the financial growth reports have suggested that absenteeism can inflate payroll costs. For example, the average cost of employee absence in the UK is about £522 ($715.24) per worker per year. This resulted in an estimated annual cost of £21 billion (approximately USD 26.67 billion) in 2020.

These costs include overtime, administrative overhead, hiring temporary staff, and loss of sales calculated in terms of profits. In summary, the data suggest frequent absences result in lost growth opportunities and reduced efficiency.

Employee Engagement and Retention

Chronic absenteeism is a sign of low engagement. Disengaged workplaces not only see more workers taking leave but also contribute to higher turnover rates. Disengaged employees often exhibit high rates of absenteeism. The data suggest that engaged teams have an absenteeism rate of only 19% compared to disengaged teams with a higher percentage, which suggests a risk of attrition.

The results suggest that employee engagement is crucial for organizations to maintain productivity and retain their workforce in terms of loyalty and culture.

How to Reduce Employee Absenteeism and Enhance Retention?

By utilizing our 15 proven strategies to reduce absenteeism, employers can make informed decisions based on research and best global practices implemented through practical solutions. Let’s dive in:

1. Create and Communicate a Clear Attendance Policy

Developing a transparent attendance and absence policy is crucial for communication. You can calculate your PTOs and integrate them into your policy to define what constitutes an excused versus an unexcused absence. Your updated policies must also include clear guidelines on how to report absences and specify the consequences of excessive absenteeism.

For example, a clear policy can be smartly communicated across teams to reduce absenteeism. Specifying that calling 30 minutes before the shift, documenting medical notes, and taking progressive steps for chronic cases are among the many necessary clauses to look for.

2. Promote a Culture of Psychological Safety and Trust

It should be a priority to create a culture where employees feel comfortable reporting issues before they escalate into absence. Managers should hold regular one-on-one meetings, not just to identify safety issues, but also to find ways to build trust among teams.

Communicate clear attendance expectations in the policy that explicitly addresses any psychological safety issues that are being held due to a toxic workforce. Ensure the policies are based on employee trust and safety, as well as the actionable steps you’re taking to mitigate this problem.

3. Invest in Workplace Wellness Programs

Invest in comprehensive wellness initiatives supporting physical and mental health, as this is becoming a valuable currency due to the prevalence of sedentary lifestyles. Wellness programs, such as on-site exercise classes, healthy cafeteria options, stress management training, and employee assistance programs (EAPs), can foster a healthier work environment where employees are eager to attend daily.

A health review by ExpressCare found that properly integrated workplace health programs can reduce absenteeism by up to 25%. Such programs do not just mitigate one problem but tackle issues regarding fitness, nutrition, smoking cessation, and, most importantly, mental health. When employees feel their well-being is prioritized, their excitement can help them take preventive care seriously.

4. Redesign Workloads to Prevent Burnout and Promote Growth Opportunities

Providing proper guidance for handling tight work schedules can be very beneficial. It’s not just about safety; it’s also about allowing for the growth and development of a career that’s worth the effort. When employees see that their work leads to growth, their motivation to handle tasks increases exponentially.

In practice, conduct regular development and discussions, sponsor certifications and training programs, and, most importantly, outline potential promotion tracks for those who win. Employees who feel stagnant may use absenteeism to cope with their dissatisfaction. Investing in career development shows that the organization is committed to supporting its employees.

5. Offer Flexible Work Arrangements

Work-life balance is becoming the most effective solution for the modern workforce. Offering employees options to work remotely, flexible hours, and compressed workweeks significantly enhances their work-life balance. Flexibility helps the team balance work with personal responsibilities by reducing unplanned absences.

For example, telecommuting or a flexible start can allow parents to adjust for school drop-offs. During sickness, the Work from Home (WFH) options are more feasible to prevent a net loss of a day and many more. A flex policy with clauses clearly stating who is eligible and how to request changes can become a valuable investment.

6. Train Managers to Spot Early Warning Signs

When workers become disengaged, equip supervisors with the skills to handle attendance issues constructively. Ensure that all managers understand how to conduct absence reviews, hold supportive conversations, and consistently update policies based on feedback.

For example, train managers to conduct return-to-work discussions after any prolonged absence. During these discussions, you can ask employees about their well-being and any support they may require. This way, you can spot the early signs of absenteeism and rectify them before they occur.

7. Historical Data and Tracking Tools

While managers are responsible for identifying early warning signs of absenteeism, historical data collected by employee analytics can become a valuable tool for predicting disengagement. You can use data tracking metrics such as absence rates, no-shows, and frequency of short-term sick days to spot early trends.

You can also conduct regular audits of absence data and share high-level trends with leadership, with prompt action. Suppose the data shows a correlation between workload and absence. Using data, you can address the resource gaps to turn absenteeism management from a guess into a strategic intervention.

8. Improve Employee Engagement

Employee engagement is our most talked-about topic for cultivating a productive workforce. Regular surveys on employees’ job satisfaction, stress levels, and workload can suggest improvements. When it comes to sensitive topics such as excessive overtime, workplace harassment, or unclear priorities, anonymous pulse surveys can uncover issues driving absenteeism.

9. Ensure Fair Compensation and Recognition

Fair compensation and recognition of attendance and achievements will help foster a culture of appreciation. Employees who feel appreciated are more committed to their work and less likely to be absent. Additionally, fair compensation must be benchmarked according to industry standards rather than based on word of mouth. Those salary benchmarks reflect their trust and commitment to work. Making it an integral part of your culture can boost morale and signal that good attendance is valued.

10. Enhance Onboarding to Improve Early Retention

Enhancing the work culture doesn’t just mean hiring the right candidates; it also involves how they are treated during onboarding. Another clear sign of increased absenteeism is the poor treatment of candidates at work, which often begins during the first six months of onboarding. If the onboarding process is seamless and the candidates feel respected, it drives early retention and saves you from the high cost of absenteeism.

11. Celebrate Good Attendance with Positive Reinforcement

Team bonding goes a long way when everyone contributes to their work. Regular events, such as offsites, social gatherings, and community service projects, can strengthen your team's bonding and workplace culture. A cohesive team is one where employees feel connected and accountable for their actions, making them less likely to disengage.

Celebrating good attendance every month can bring numerous mental benefits to the workplace. When it’s aligned with positive reinforcement, employees will feel respected and have a common purpose that aligns well with the company. Let’s work to celebrate rather than celebrate to work.

12. Support DEI and Belonging to Improve Inclusion-Based Absences

Your workplace should be a foundation of diversity, equity, and inclusion (DEI). Employees who feel respected are more motivated to show up every day, and your diversity protocols will keep them productive and included at work compared to those who feel marginalized.

13. Address Personal and Logistical Barriers

Helping employees manage non-work challenges, such as backup child care vouchers, transportation subsidies, or referrals to community resources, can address logistical barriers and personal conflicts. Flexible parking or shuttle services in bad weather can also be very helpful, preventing commute-related absences.

14. Flexible Leave and PTO Policies

Review your employees’ sick leave and PTO benefits to ensure they’re adequate and not overly generous. Sometimes, your stringent policies may drive abuse. Too few sick days can lead workers to come in sick as a form of presenteeism or to abuse sick leave casually. Transparency in balancing empathy and fairness in leave policies can reduce no-notice absences.

15. Return-to-Work Interviews and Support

Whenever an employee returns after an extended absence, you can conduct a supportive meeting to discuss any underlying issues that may have led to their absence. An effective return-to-work interview can help identify any lingering health issues, workplace conflicts, or external pressures the person is experiencing.

Conducting the interviews as a sign of support will further demonstrate that you genuinely care. Occasionally, provide a follow-up to prevent repetitive absences.

How Revaluate180 Can Help Reduce Absenteeism

Our teams are committed to laying the foundations of your success. Our personalized strategies target the root cause of burnout and disengagement using predictive analysis to guide effective interventions. Our powerful AI-driven employee engagement strategies will help you mitigate poor management and workplace conflicts while enhancing your team's mental and physical well-being through practical workshops and training modules.

While our goal is to build a healthy lifestyle around work, we’re committed to introducing a well-being DEI system that promises to reduce stress-related absenteeism in the workplace and become an integral part of the company culture. Encourage your employees to return to work with renewed energy and enthusiasm today.

Final Thoughts

We’ve learned how employee absenteeism affects the organization’s finances, productivity, morale, and culture. However, it is not insurmountable when the right strategies are applied. Employers can significantly reduce absenteeism and restore the culture they deserve by clearly measuring absence, understanding the root causes, and implementing targeted strategies.