MANAGING ABSENTEEISM AMONG HOURLY

EMPLOYEES

Ryan McAllisterApril 29, 2010

XYZ, Corp.2010 Human Resource Conference

Oklahoma City, Oklahoma

XYZ, Corp.

Overview

Growing Problem Costs Turnover More than being sick

Suggested Solutions Best Practices

Honda Motors JCPenny British Airways

Questions and Answers

XYZ, Corp.

Absenteeism

XYZ, Corp.

Growing Problem

Unscheduled absenteeism in U.S. at highest level in several years 1/3 due to personal illness

Devastating Costs $40 Billion per year in U.S. As much as 15% of company’s payroll $3,600 per hourly employee per year

Turnover Short term circumstances or “shocks” cause

withdrawal

Source: U.S. Census Bureau and CCH Unscheduled Absence Survey

XYZ, Corp.

Embed in an Engaged Workplace More job autonomy Involvement in decision making Flexible workplace Training/Education Programs Supervisor and co-worker support Mutual trust Fringe benefits Work-life culture

XYZ, Corp.

Suggested Solutions

Impossible to manage what you don’t measure Clearly defined and communicated metrics Analytic tracking software

More Responsibility and Autonomy Challenge: New employees Trust earned over time, but need accountable

autonomy Flexible Workplace

Challenge: Need to be at post for business to carry on Some opportunity to work around personal life

Think Outside of the Box

XYZ, Corp.

Best Practice: Honda Motors

Some U.S. plants have less than 2% absenteeism

Cash bonus for employees Monthly and Yearly

XYZ, Corp.

Best Practice: JCPenny

1,500 workers absent per day:$760, 000 per year

Watson Wyatt Absenteeism Program Powerline Team

Determines type of benefit received Notifies store and manager Follows up with employee until return

XYZ, Corp.

Best Practice: British Airways Clearly communicated company-wide

policy Trigger review mechanism Return to work discussions/interviews

XYZ, Corp.

Useful Sources and Databases ABI Inform Business Source Complete Emerald Google Scholar

QUESTIONS?

THANK YOU