Employee Absenteeism

Only available on StudyMode
  • Download(s) : 818
  • Published : April 30, 2011
Open Document
Text Preview
CHAPTER-1 1.1 INTRODUCTION
Absence is the failure of worker to report for work when he is scheduled to the work. A work is to be treated as absent for the purpose of this absenteeism statistics even when he does not turn up for a week after obtaining prior permission. K.G. Desai classified absenteeism in to two types viz, authorized absenteeism and unauthorized absenteeism. Authorized absenteeism is permitted absenteeism i.e, taking leave prior permission of an employer. Unauthorized absenteeism means taking leave without prior permission of an employer. Absence of worker on account of strike or lock out or layoff i.e, involuntary absent is not considered as absence for the purpose of absenteeism study.

Absenteeism rate is the percentage of man days lost due to voluntary absent (both authorized and unauthorized) to the corresponding total man days schedule to work. It can be expressed as under:

Man days lost (both authorized and unauthorized) -----------------------------------------------------------X 100 Man days scheduled to work

According to K.N vaid absenteeism can be measured with the help of the following formula

Persons not working due to Authorized leave Absence Rate = + unauthorized leave

-------------------------------------------------------------------- X 100 Man shifts actually worked

EMPLOYEE ABSENTEEISM

1

According to the view of K. Aswathappa, Absenteeism costs money to the organization besides reflecting employee dissatisfaction with the company. Absenteeism is unavoidable when the employee himself or herself falls sick, His or her dependents at home suddenly become unwell or there is an accident inside the plant. Unavoidable absenteeism is accepted by managers and is even sanctioned by labor laws. Avoidable absenteeism arises due to night shifts, opportunities for moon lighting and earning extra income, indebt ness, lack of job security, unfriendly supervision and job dissatisfaction. This absenteeism needs intervention by the management. Absenteeism is of two types – 1. Innocent absenteeism - Is one in which the employee is absent from work due to genuine cause or reason. It may be due to his illness or personal family problem or any other real reason 2. Culpable Absenteeism - is one in which a person is absent from work without any genuine reason or cause. He may be pretending to be ill or just wanted a holiday and stay at home. Many employees will, on occasions, need a few days off work because of illness, however, when absences become more frequent or long term and reach an unacceptable level, action by management is necessary. Absence from work can be expensive in both monetary and human terms. The costs incurred when an employee is absent from work may include: (i) Replacing the employee or requiring other staff to cover the absence; (ii) Inability to provide services, or achieve section and departmental objectives; (iii) Low morale and general dissatisfaction from other staff, particularly if the absence is perceived as unwarranted.

EMPLOYEE ABSENTEEISM

2

Effects of absenteeism on Industry

Absenteeism ↓

Affects production targets ↓

Increases the work load of inexperienced & less experienced ↓

Leads to rejection of finished products ↓

Increases the cost of production ↓

Lowers the Profit margin ↓

Affects Industrial growth

EMPLOYEE ABSENTEEISM

3

Effects of absenteeism on the employees
Absenteeism ↓

Reduces his earnings ↓

Adds his indebtedness ↓

Decreases the Purchasing power ↓

Leads to family problems ↓

Increases mental stress ↓

Leads to inefficiency in his job ↓

Loss of employment

EMPLOYEE ABSENTEEISM

4

PECULIAR FEATURES OF ABSENTEEISM: On the basis of micro studies undertaken in different parts of the country, certain observations may be made. a. The rate of absenteeism is the lowest on pay day; it increases considerably on the days following the payments of wages and bonus. b. Absenteeism is generally...
tracking img