ABSENTEEISM AND TURNOVER

Presented by Jisha Antony Jose K varghese

ABSENTEEISM
Absenteeism is defined as the failure to report to work. And absenteeism has become a huge cost and disruption to employers. Its obviously difficult for an organization to operate smoothly and to attain its objectives if employees fail to report to their jobs. But levels of absenteeism beyond the normal range in any organization have a direct impact on the organization have a direct impact on that organizations effectiveness and efficiency.

Some facts about Absenteeism

Most employees miss work because of personal illness or illness involving a member of the family. Employees also miss work because of stress. The primary factor affecting an employees stress level is his/her perception of the relationship with his/her supervisor or manager. Authoritarian management styles promote the highest rates of employee burnout and absenteeism Absenteeism is costly to a companys bottom-line

More factors affecting absenteeism

Work conditions:
The relational climate of a job can affect employees willingness to show up to work. Negative relationships between employees and their supervisors can result in absenteeism. Employees miss work as a form of acting out. But sometimes employees miss work because of unresolved conflict between each other. Interventions to reduce interpersonal work stress can help deter employee absenteeism and burnout.

More factors affecting absenteeism

Lack of incentives:
While many companies punish employees for missing work, few think of rewarding those that show up faithfully. Incentives can boost motivation and reduce burnout. Examples of incentives that work:
Being able to cash it unused sick days Bonuses for perfect attendance Certificates of achievement

More factors affecting absenteeism

No attendance policy:
Many companies do not have an explicit policy requiring employees to honor their commitment to the job. An attendance policy allows a manager to intervene in cases where an employee is frequently absent. An official policy allows managers to identify and refer to the EAP employees that may have other problems e.g., alcoholism, domestic problems, etc.

Turnover

Meaning
Turnover is the voluntary and involuntary permanent withdrawal from an organization. A high turnover rate results in increased recruiting, selection, and training costs.

Some facts about Turnover

Zero percent turnover is neither realistic nor possible. Some turnover is actually desirable new employees being fresh ideas and new energy. Excessive turnover can be very costly to a company. (The costs of turnover to be discussed in next slide.) Turnover is often the result of burnout; some workplaces respond to this by demanding even more from the few remaining employees, i.e., a vicious cycle. It is important to know how to attract and keep the right talent.

The high costs of Turnover

The financial costs of hiring and training new employees vary from job to job and company to company but there is always a cost. Whatever the financial cost, excessive turnover often results in a waste of valuable resources. Other costs are less tangible, and include: Customer service disruption Emotional costs including loss of morale Burnout/absenteeism among remaining employees Loss of experience and lack of continuity of service

Absenteeism & Turnover

All two factors affect each other and are affected by each other. Burnout has been identified as one of the principal causes of both absenteeism and excessive turnover.

How to deal with absenteeism?

Change management style:
Identify authoritarian managers Provide appropriate management training

Change working conditions:

Adopt policies and values that promote employee respect and professionalism Develop and promote an internal conflict resolution procedure Take employee complaints seriously sometimes listening is enough. Work to create a just working climate.

How to deal with absenteeism?

Provide incentives for attendance:
Use an incentive program that is suited to your particular company one size doesnt fit all. Allow employees to have input into the development of an incentive program.

Develop an attendance policy:

Have an attorney review your attendance policy to make sure it does not violate any State or Federal labor laws.

Reducing Turnover
Top management must make a commitment to targeting this problem. Do not place all of the responsibility on your Human Resources Dept. a retention problem is a companywide problem, not just an HR one. One recent study found that 50 percent of the typical employees job satisfaction is determined by the quality of his/her relationship with the manager. Managers and supervisors therefore hold the key to reducing this costly problem.

 Thank you.. Any questions?????