Sick Rates Fall During Recession

HSA have published a report that highlights the importance of employee's health particularly in times of recession. Worryingly many people have health concerns that they do nothing about. The evidence suggests that companies need to focus on employee health and encourage their workforce to seek help, stay off when they are poorly and increase the medical insurance benefits they provide.

Increasing health cover in these uncertain times seems counterintuitive but the report suggests that doing otherwise could prove short-sighted.

One important finding was that during times of recession employees are less likely to be off sick. This may sound like a plus point however the reasons behind it are not so compelling. 76% of respondents believed that people are less likely to take sick leave over the next 12 months because they are worried about job security compared to last year. This figure grew to 81% in small and medium sized companies.

The findings suggest, not only that people are suffering from the inevitable stress that job uncertainly brings but they may also be putting there physical health in jeopardy by not looking after themselves properly.

However the report does show that companies are taking their employees wellbeing seriously. 15% of companies say they will increase the amount they spend on medical insurance provision over the next year. Of those that are worried about spending, they will not be reducing medical cover but they will be finding ways to get more for their money. 99% of companies believe that health worries can affect performance at work.

Those companies that encourage their staff to look after themselves properly reap the benefits of productivity. Those that pressure staff to return to work before they are ready have a much greater rate of staff turnover.

Companies that expect workers to continue performing basic tasks while off sick experience the highest employee turnover rates (3 times more likely to have above average turnover rates)

Also companies with the weakest private health insurance have the highest employee turnover. So, while the temptation may be to cut back in terms of medical cover, this may be short-sighted in the end.

The message from HSA is:

'We believe that if people and organisations put health to the forefront of their minds, and act to prevent healthcare problems from occurring, then this can help keep the nation fit, healthy and at work.'