**

Businesses across the UK are facing a hidden crisis: the crippling cost of long-term employee sickness. A new report reveals the staggering figure: the average cost of long-term sickness absence per employee is a shocking £21,000. This isn't just impacting individual companies; it's a significant drain on the UK economy, impacting productivity and profitability across sectors. This article delves into the alarming statistics, explores the underlying causes, and offers practical solutions for businesses to mitigate this substantial financial burden.

The £21,000 Elephant in the Room: Understanding the Cost of Long-Term Sickness

The headline figure – £21,000 per employee lost to long-term sickness – is a stark warning. This encompasses a wide range of costs, going far beyond simply replacing lost wages. It includes:

• Salary continuation: Paying the employee's salary during their absence, which can extend for months or even years depending on the illness or injury.
• Recruitment and training: The costs associated with finding, hiring, and training a replacement employee, including advertising, interviewing, onboarding, and lost productivity during the training period.
• Reduced productivity: The impact on team morale and productivity caused by having a team member absent, including potential project delays and increased workload on colleagues.
• Sick pay: Statutory sick pay contributions and potentially enhanced company sick pay schemes.
• Legal fees: In some cases, legal costs can arise from disputes surrounding disability discrimination or wrongful dismissal.
• Insurance premiums: Increased insurance premiums as a result of higher claims.
• Overtime pay: Compensating remaining staff for taking on additional workload due to absences.

These costs represent a significant financial strain, particularly for small and medium-sized enterprises (SMEs) that may lack the resources to absorb such substantial losses. The impact extends beyond finances; it affects employee morale, workplace culture, and overall business performance.

Mental Health: A Growing Contributor to Long-Term Sickness Absence

A significant and growing driver of long-term sickness absence is mental health. Stress, anxiety, and depression are increasingly prevalent in the modern workplace, contributing significantly to the £21,000 figure. Factors such as demanding workloads, poor work-life balance, and lack of supportive management can exacerbate these issues. This highlights the critical need for businesses to prioritize employee wellbeing and invest in mental health support programs.

Identifying and Addressing the Root Causes of Long-Term Absence

Understanding the root causes of long-term sickness is crucial for effective intervention. These causes are often multifaceted and can include:

• Physical health conditions: Chronic illnesses, injuries, and disabilities can lead to prolonged absences.
• Mental health conditions: As previously mentioned, stress, anxiety, and depression are major contributors.
• Workplace hazards: Poor working conditions, inadequate safety measures, and workplace bullying can lead to injuries and illnesses.
• Lack of support: Insufficient management support, lack of flexible working options, and inadequate access to employee assistance programs can worsen existing health issues.
• Burnout: Exhaustion and cynicism resulting from chronic workplace stress.

Proactive Strategies to Reduce Long-Term Sickness Costs

Businesses cannot afford to ignore the escalating costs of long-term sickness. A proactive approach is essential to mitigate this financial burden and foster a healthier, more productive workforce. Here are some key strategies:

• Invest in employee wellbeing: Implement comprehensive wellbeing programs, including mental health support, ergonomic assessments, and health screenings.
• Promote a positive work culture: Create a supportive and inclusive work environment where employees feel valued, respected, and comfortable speaking up about their concerns.
• Offer flexible working arrangements: Allow for flexible working hours, remote work options, and compressed workweeks to improve work-life balance and reduce stress.
• Provide adequate training and resources: Ensure employees have the necessary skills and resources to perform their jobs effectively and safely.
• Implement robust return-to-work programs: Develop individualized return-to-work plans to support employees in their recovery and gradual reintegration into the workplace.
• Improve communication and management support: Ensure open communication channels and provide managers with training on effective support and conflict resolution.
• Conduct regular risk assessments: Identify and mitigate potential workplace hazards to prevent injuries and illnesses.

The Long-Term Impact: Beyond the Financial Figures

The impact of long-term sickness extends far beyond the financial cost. It affects:

• Employee morale: Employees witnessing colleagues struggle with long absences can experience decreased morale and increased stress.
• Productivity and efficiency: The loss of skilled employees disrupts workflows and impacts project timelines.
• Company reputation: High rates of absenteeism can negatively impact a company's reputation and attract negative publicity.
• Business continuity: The prolonged absence of key personnel can threaten business continuity and profitability.

Addressing long-term sickness requires a holistic approach, focusing on both preventative measures and supportive interventions. By prioritizing employee wellbeing and investing in proactive strategies, businesses can significantly reduce the financial burden and create a more sustainable and productive workplace. Ignoring this issue is no longer an option; the £21,000 cost per employee underscores the urgency of action. The future of business success depends on a healthy and engaged workforce.