Managing Direct Cost of Absence
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· 59% of employers do not monitor the cost of employee absence (CIPD Absence Management Survey 2009) · 3.1% of payroll costs are down to direct cost of absence, including sick pay, lost production time and cost of replacement staff
(CBI Absence Survey 2008) · Average cost of absence per employee per year is £692
(CIPD Absence Management Survey 2009) |
AbsenceCare works together with its clients to identify best ways to control unnecessary expenditure. It is common among employers not to have a clear idea of the size of the company’s sick pay bill or a good understanding of how well the rules for paying sick pay are followed. This means that it is hard to clamp down on abuses or inefficiencies in the sick pay policy and procedures.
To tackle the issue of sick pay AbsenceCare has developed a Sick Pay Management Tool as an additional feature that, in conjunction with the AbsenceCare absence registration and reporting systems, allows the business to monitor and, where necessary, audit the sick pay decisions. This innovative solution provides payroll with up-to-date information instead of relying on paperwork that often arrives days, if not weeks, after the absence took place. This enables real time implementation of the pay decisions rather than adjusting employees' salary retrospectively. The centrally held records also help monitor that all managers are instructing payroll where necessary.
To find out more about AbsenceCare’s Sick Pay Management Solution, contact us now
