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Report finds increases in absence underreporting and employee absenteeism post-COVID

2023 Absence management and wellbeing report

 

Direct Health Solutions (DHS), a Sedgwick business, have published the 12th edition of their absence management and wellbeing report, featuring benchmark data and key trends to help employers better manage employee absenteeism in Australia. The results reveal the latest trend in absences, the industries faced with the highest absenteeism levels, the importance of effectively managing absenteeism, and the steep costs companies incur when it’s not managed effectively.

 

The annual report is produced by DHS, which was acquired by Sedgwick, a leading global provider of technology-enabled risk, benefits and integrated business solutions, in 2022. The report is based on a survey of data and absenteeism levels recorded from January 1 to December 31, 2022 for 132 companies across Australia who collectively employ over half a million employees.

 

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Highlights from the 2023 Absence management and
wellbeing report

2023 Absence Management & Wellbeing report - employee absenteeism icon

Overall employee absenteeism increased by just over 2.5 days (23%) from 2019, with the average amount of sick leave taken in 2022 being 14 days. 58% of companies surveyed believed their absenteeism increased during 2022.

2023 Absence Management & Wellbeing report - common reasons for absenteeism icon

The most common reasons for absenteeism were carer’s leave, needs related to COVID-19 and taking sick leave when not sick 

2023 Absence Management & Wellbeing report - absence underreported icon

Organisations that believe absence is underreported rose from 36% in 2019 (pre-COVID) to 55% in 2023 (post-COVID). There has also been an increase in average absence days lost per employee per annum of 2.6 days since the pre-COVID 2019 survey.

2023 Absence Management & Wellbeing report - Stress icon

Many believe the stress of the pandemic fundamentally changed how employees feel about absences and led to a more prominent entitlement mentality.

2023 Absence Management & Wellbeing report - contact centres roles icon

Absenteeism in contact centres roles remains higher than for roles outside of contact centres. This could be due to the stressful environment within a contact centre, driven by challenging phone calls, a high volume of calls and dealing with highly emotional or aggravated customers.

2023 Absence Management & Wellbeing report - Employee absenteeism cost icon

Employee absenteeism is costly and becoming costlier. Survey data revealed that the average direct cost of absence per employee increased from $3,395 to $4,025. 80% of companies surveyed said that COVID restrictions have led to increased absences.