Wednesday, January 14, 2009

Manage your Absenteeism!

Good Day,

As you may well know, absenteeism costs the economy in excess of R19 billion a year. And that just covers the direct costs; indirect costs could count for two to three times that figure. There are many reasons for absenteeism - people who are genuinely ill and those people who abuse the system. Sick leave is a conditional privilege, not a right to be taken at will.

Do you know how your company contributes to this figure of R19 billion a year? Do you know what your current absenteeism rate is? Do you know how to filter through the abusers of sick leave from those who are genuinely ill? Are you targeting specific people within your organisation - or are you dealing with the problem at hand?

Absenteeism could be costing your company huge amounts of money each month and you can't fully handle the problem, or resolve your absenteeism crisis, until you start to measure and benchmark where you currently are.
And this is where
Absolv comes into play. Absolv is a software program, that can be purchased or rented as software or run over the Internet (www.absolv.co.za) that aids you in monitoring your absenteeism as a company and per individual. Not only can we aid you in reducing your absenteeism cost, we can highlight all areas that require your attention in creating a work force working to combating absenteeism. It is vital to know what your absenteeism rate is and then look at ways of bringing down this absenteeism rate through various interventions.

CAM Solutions deals mostly with sick absenteeism and other forms of unplanned absenteeism (AWOL, Family Responsibility Leave etc) that is measured and reported on through our ABSOLVTM software. This software produces a report called the Absenteeism Management Report (or AMRTM for short). A sample of this report can be viewed on our website and this will give you a good idea on what type of information you will be able to receive for your company.

Please note that it is extremely difficult to determine the “normal” absenteeism rate in any sector of the economy as sick absenteeism is dependant on a number of factors, including:
  • The demographics of the employees
  • Age
  • Sex
  • Responsibility levels
  • The nature of the industry

Due to the above factors it’s not possible to determine an appropriate norm for each sector but rather to determine the absenteeism profile of each employer and to consider each of the factors separately.

The factors to consider are:

  • Average absenteeism rate
  • Average length of each sick leave absence
  • Average number of sick leave incidents per annum
  • Short term ratio versus long term ratio
  • Absenteeism rate per age category
  • Absenteeism per department/region etc
  • Absenteeism per earnings level (or better still per grade)

Once the absenteeism management report (AMR™) has been produced, the above can then be analysed in detail.

At a micro level each employee can then be measured against their peers using benchmarks such as:

  • Average absenteeism rate
  • Average length of each sick leave absence
  • Average number of sick leave incidents per annum
  • The CAMS Absenteeism Index (AI™)
  • The CAMS Health Index (HI™)

In general we find that sick absenteeism levels should not be more than 2% per annum, i.e. if an employee is expected to work 250 days during a year then they should not be off sick more than 5 days per annum, on average.
We have found the absenteeism rate is higher for lower paid employees versus the high income earners. This is however more related to responsibility levels rather than income levels. Low paid employees, generally, have less responsibility, which then affects job satisfaction and morale which has an impact on absenteeism.

This report also aids employers in assisting those employees who are genuinely ill by highlighting those diagnoses that require attending to.

Should you be interested in using this software, kindly log onto http://www.absolv.co.za for more information.

To use our software online, log onto: www.absolv.co.za
To register as an affiliate partner, log onto: www.absolv.co.za/affiliates
For more information on CAM Solutions, log onto: www.camsolutions.co.za

Kindly confirm receipt of this e-mail by return e-mail.

Yours faithfully,
Michelle Bennett
EXECUTIVE PA
CAM Solutions
Providing Software Solutions in Health and Absenteeism Management
Tel: 041-368 6742
Fax: 086-524 1819
View our Absenteeism Blogs:
http://camsolutions.blogspot.com/ or http://www.absenteeism.iblog.co.za/

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