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Absenteeism in Ireland

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Absenteeism in Ireland
An analysis and assessment of absenteeism and absence management in Ireland

It’s been well known that excessive workplace absenteeism can be quite costly to organisations. Irish Business and Employers Confederation, the biggest employers association in Ireland, conducted a broad study of absenteeism in Irish workplace and found that the total cost of absenteeism in 2002 was astronomical - €1.58 billion (2004). Subsequently, other organisations have started to pay more attention to this rocketing issue. A survey done by Irish Small and Medium Enterprises Association claimed that the direct cost of absenteeism for small businesses is approximately €1.1 billion per year and that the indirect ‘unseen’ costs of absenteeism such as loss of productivity, administration costs, etc. could be even greater than the direct ‘seen’ costs, e.g. sick pay, replacement cost and so on (ISME, 2007). Another report done by the Small Firms Association in 2008 revealed that small businesses in Ireland lose about €793 million annually because of the absenteeism (SFA, 2008). Even though there is considerable variation among their findings, the bottom line is that absenteeism is expensive for companies and thus becomes a big problem for them. As it can significantly undermine their productivity, competitiveness and in a worst scenario even their existence, employers started to look for measures to address the issue and to reduce absenteeism in their plants. This report aims to look at the Irish workplace absenteeism in greater detail and how exactly it is managed by the companies. The Workplace Absence Survey (2004) done by IBEC will be used as a main resource of data for this report as comparing to other, ISME and SFA reports, it is quite comprehensive and representative given that 557 Irish private sector companies participated in it, covering almost 147,000

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