Remedies for every small business’s worst headache…
Staff sickness absence in winter is like laminitis in spring. You know it’s highly likely, but many of us get caught out thinking it won’t happen to us, writes Shona Hamilton.
Short term sickness absence (less than four consecutive weeks) disrupts staff rotas, hits team morale and, worst of all, costs money.
Employees are entitled to Statutory Sick Pay (SSP), currently £118.75 per week, from the fourth consecutive day of absence. Staff costs are higher when someone goes off sick because you’ll have to bring in cover while also paying SSP.
And when employees can claim SSP for up to 28 weeks, that’s potentially six months of increased costs and reduced headcount… not to mention managing the person back to work.
Most SMEs don’t have the spare cash to be paying twice for a member of staff, never mind for six months. So it’s important to reduce the risks of sickness absences:
Have a clear sickness absence policy
A policy document helps you communicate to your team what procedures need to be followed for reporting absences and how you will manage staff sickness. It also reminds you of your obligations and limitations in managing sickness.
Your policy should tell staff how and when they need to tell you that they’re not well enough for work eg. Call the boss no later than two hours before your shift. Your employee should tell you why they’re not coming in and when they expect to be back at work.
Most absence policies encourage employees to call in every day until they have a fit note from their GP, which is usually issued after seven days of absence if it is required.
Your policy should also outline absence trigger points at which management action will kick in.
For example, if your absence trigger is three absences in a rolling 12-month period, when an employee hits that third absence, you can start your formal management process once they return to work.
High absence levels can absolutely be managed by an employer. But speak to your HR support before starting any formal process to make sure you fulfil all your obligations around long term health conditions and disabilities and avoid any potential claims.
Invest in insurance
It’s worth exploring policies such as Group Income Protection for your business.
Not only are they a great business expense (sorry HMRC), but they can also help you to cover the cost of employee sickness absence.
Encourage the use of regular annual leave
This might seem counterintuitive, but encouraging staff to use up their holiday reduces the likelihood of burnout and general illness, which in turn reduces unplanned absences.
Invest in employee health and wellbeing
Helping your team access things like counselling, physiotherapy or even high street discounts can support the overall wellbeing of your team.
Contingency planning
Have a back-up plan in terms of your staffing levels and your finances. Expect the unexpected and have a plan of action as well as a financial buffer.
Early intervention
Much like that laminitic pony, the sooner you take proactive steps to prevent absences occurring, the better.
Have regular conversations with your team to identify potential problems early and make a plan to avoid them. For example, if you notice a member of staff looking stressed out or exhausted, encourage them to book a long weekend off before they get to the point of calling in sick.
Win-win
By understanding the challenges, adhering to legal requirements, and implementing proactive strategies, you can effectively tame sickness absence.
A healthy, supported workforce is not just good for your employees; it's essential for the long-term success and sustainability of your business.
ABOUT THE AUTHOR
After ten years in corporate HR, Shona Hamilton moved to rural East Anglia and started her own consultancy, Lilac HR.
Today, her clients range from a farm shop and construction company to an equestrian centre and a manufacturer. Her remit is to make businesses as profitable as possible while being great places to work.
Shona is a keen horsewoman.
