The average Australian employee leads an increasingly busy life – longer hours and more demanding work make sure of that. This often manifests in increasing levels of stress and health problems, which negatively affect employees' work attendance and productivity.
That means more sick days that cost your business money and make it more difficult to turn a profit in an ultra-competitive market. To help Australian business owners and decision makers recognise the issue and begin taking measures to solve it, we've had a closer look at how much sick days could really be costing you.
The real cost of sick days
Estimates of the real cost of sick days vary but they are always surprisingly high. Direct Health Solutions (DHS), a nation leader in absence management, put the cost per sick day at $350 – but of course this figure can vary considerably depending on each situation and the employee who is sick.
DHS's 2016 Absence Management Survey found that on average employees took nine sick days per annum, and that the total cost per employee was roughly $3,608. For highly paid employees or those essential to the functioning of your business, this figure could be considerably higher.
For smaller businesses, this cost could also be more, as there are fewer employees to absorb the loss of productivity caused by absenteeism. Taking measures to reduce this cost is a smart and surprisingly easy way to improve your business' productivity.
Keeping your employees healthy
As an employer not only is it in your best interests to improve your employees health – it's also the right thing to do.
Workplace issues and health problems cause considerable stress for the average Australian, the most recent Australian Psychological Society Stress and Wellbeing survey highlights. It's no wonder, as both of these factors are profoundly affecting the way the entire Australian workforce functions.
As an employer, not only is it in your best interests to improve the health of your employees, it's also the right thing to do. By focusing on providing health initiatives that work, you'll increase your business' productivity, reduce the cost of sick days and enjoy a host of other benefits. These include better employee retention and increased engagement.
Offering corporate health insurance is an easy and effective first step to solving the problem of absenteeism for your business, and with the right help it doesn't have to be difficult. Here at HICA we pride ourselves on our ability to simplify corporate health insurance, tailoring it to your specific needs and budget.
With out help you can start increasing your employee productivity and the cost of absenteeism today. Get in touch to get started.