Absenteeism: measuring, calculating and reducing sickness absence

What is absenteeism?

Absenteeism is the extent to which employees are absent from work, usually due to illness. In practice, the terms absenteeism and sickness absence are used interchangeably.

Not all absence is the same. We usually distinguish three types: short-term absence (one to a few days, often flu or a cold), medium-term absence (a few weeks) and long-term absence (more than a month, often related to burn-out, chronic conditions or psychosocial strain). In addition there is grey absence: absence that is partly influenced by the work situation and over which an employer does have influence. That grey area is precisely where gains can be made.

Calculating absenteeism: the absence rate

The most commonly used measure is the absence rate. You calculate it as follows:

An absence rate says little on its own without context. That is why you are best advised to also look at two additional indicators:

• Absence frequency, the average number of sick reports per employee per year. A high frequency with short duration often points to different causes than a low frequency with long duration.
• Bradford factor, an index that weighs frequent, short absences more heavily than a single long absence (frequency² × total number of days). Useful for detecting patterns.

What does absenteeism cost an SME?

The direct wage cost is only the tip of the iceberg. One day of sickness absence often costs an employer more than the gross wage for that day. The total cost consists of:

On top of that come less visible costs: loss of quality, delayed projects, administrative handling and the risk that the workload on colleagues leads to even more absence, a vicious circle. For an SME with a few dozen employees, this quickly adds up to tens of thousands of euros per year.

The causes of sickness absence

Absence is rarely a coincidence. The main influenceable causes are:

• Psychosocial strain, stress, burn-out and a high workload. See also our page on presenteeism, absenteeism's little brother.
• Physical working conditions, ergonomics, safety and demanding tasks.
• Leadership and work atmosphere, the relationship with the manager is one of the strongest predictors of absence.
• Lack of engagement, employees who don't feel valued or connected are absent more often and leave sooner (see staff turnover).

The legal framework: Code on Well-being at Work

In Belgium, employer vitality is not an optional choice. The Code on Well-being at Work requires every employer to run a dynamic risk management system, including a global prevention plan and attention to psychosocial risks. A structured approach to absenteeism fits in seamlessly, as does the re-integration obligation for long-term sick employees. Even so, only a minority of Belgian employers fully meet these obligations today.

Reducing sickness absence: a structured approach

You don't reduce sickness absence with isolated actions, but with a well-founded strategy. The order is decisive:

1. Measure objectively. Map the absence and the underlying causes independently, without the butcher inspecting his own meat.
2. Benchmark. Compare your figures with sector peers so you know whether there is a problem, and how big it is.
3. Set priorities. Focus on the causes with the greatest impact instead of fighting symptoms.
4. Activate managers. They are the first line in early detection and in a warm re-integration policy.
5. Monitor. Repeat the measurement periodically to see whether your policy works.