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Press Release

Growing employee absence is leading to increased UK business costs, according to WTW survey

February 20, 2024

Health and Benefits
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LONDON, February 20, 2024 – The latest Absence Management Survey by WTW, (NASDAQ: WTW), a leading global advisory, broking and solutions company found that a third of UK employers (34%) have experienced increased employee absence in the last year, with employers recording an average of 4.8 days lost per employee per year.

Mental health issues, minor illness and long-term disability were the main causes of increased workplace absence that employers want to address. In fact, 38% of companies have incurred increased costs for absence management and occupational health support costs, while a further 38% have experienced increased use of Employee Assistance Programme (EAP) services and 37% have faced increased health insurance claims.

“The costs associated with absence alone highlight the need for companies to make employee wellbeing a top priority. It is crucial to maximise the use of data to drive insights and measure the success of mechanisms in place. This will ensure that the levels of support continue to be appropriate from both a prevention and absence management perspective.” Says Charlotte Steventon-Kiy, Absence Management Lead at WTW.

As UK companies look to tackle employee absence issues, many plan to prioritise reviewing and updating policies as part of their absence strategy (44%), while others will look to target employees at higher risk of absence (35%) and enhance absence tracking systems (34%).

Additionally, two-thirds (63%) of organisations say lack of manager capability has acted as a top barrier to managing absence, as well as lack of understanding on costs and trends in absence (44%). While cost management remains an issue, in the next two years, half of organisations (52%) are planning to implement modelling to estimate the cost of absence.

Companies that are effective at managing absence have implemented strong processes around recording absence and understanding the costs involved, prioritising systems that support managers, and implementing programmes that support employees to return to work.

In a bid to support employees returning from periods of absence, two thirds (69%) are using early intervention services to help employees to return to work sooner, as well as creating streamlined long-term disability processes with insurer and occupational health care provider integration (62%). Other changes designed to reduce pressure on employees include offering increased flexibility around working schedules.

The need for a clear strategy inclusive of absence processes, cost measurement and clear employee signposting is fundamental in ensuring employees are supported and can be integrated back into the workplace following a period of absence.”

Charlotte Steventon-Kiy | Absence Management Lead at WTW

‘It is becoming increasingly evident that the way organisations manage absence isn’t working. The need for a clear strategy inclusive of absence processes, cost measurement and clear employee signposting is fundamental in ensuring employees are supported and can be integrated back into the workplace following a period of absence. Our absence consulting services and in house Occupational Health support have helped many of our clients achieve success in these areas.’ Says Charlotte Steventon-Kiy, Absence Management Lead at WTW.

About the survey

A total of 128 employers in the United Kingdom participated in the 2023 Absence Management Survey, which was conducted in from late September to early October of 2023.

About WTW

At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.

Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.

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