Absence makes the bottom line wander

Managing absenteeism as a performance management issue
By Janice Attersley
|CHRR, Report on Training & Development|Last Updated: 11/09/2005

Performance management is a perfect opportunity for organizations to look at the bigger picture of absenteeism and its drag on productivity.

For most employers, human capital costs make up the largest part of company investments, comprising roughly 75 per cent of annual operating budgets. Maximizing employee contribution and minimizing human capital waste can be a key determinant in cost competitiveness and overall productivity.

Moving beyond considering absenteeism as an individual performance problem and examining systemic and even proactive measures to reduce these costs can produce substantial benefits in both human and financial terms.