Magnitude, Cause and Impact of Absenteeism Among Truck Drivers of Bekelcha Transport Share Company

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Magnitude, Cause and Impact of Absenteeism Among Truck Drivers of Bekelcha Transport Share Company

By Berhanu Workneh Desta
MBA Student, Adama Science and Technology University
June, 2013
Adama, Oromia State, Ethiopia


Contents
1.Introduction3
2.Statement of the Problem3
3.Objective of the Research4
4.Significance of the Research5
5.Literature Review5
6.Methodology9
7.Research Activity Plan and Schedule11
8.Budget: Resource Requirements of the Research Project11
Bibliography12


1.Introduction

Employee absenteeism appears to be among problems organizations may face. Where the problem exists, it can affect organizational performance. However, unless the organization is able to measure and explain absenteeism and predict absence behaviours among its employees, it may be difficult, if not impossible, for the management to take sound decisions that can effectively address the problem. Bekelcha Transport Share Company (BTSC) is one among enterprises competing in the freight transport services market of the country. The company, like its competitors, provides a cross-country, between Ethiopia mainland and Djibouti’s sea port, freight transporting services to exporters and importers. BTSC mainly delivers the freight transporting services using own long distance trucks and drivers while it also subcontracts such services from private owners. The company recognises that there is a growing competition in securing the interests of customers. In the face of this, one of the major problems BTSC is facing is the increasing absenteeism among its truck drivers. The company is keen to find ways to address this problem effectively and ths requires a systematic investigation into the problem. This is why preparing this research proposal is needed. Background of the Company

Bekelcha Transport Share Company (BTSC) is a public enterprise committed to be the top freight transport and related service provider in Ethiopia (Company Strategic Plan document). The company’s mission is to create value for its stockholders operating in competitive market through providing economically viable and financially profitable road freight transport service. BTSC provides freight transporting service to and from Djibouti port (the main port Ethiopia is currently using) using own trucks and trucks it subcontracted from private owners. The company has about 600 permanent employees out of which its long distance freight transporting trucks drivers are 200, 33.3% of the total workforce.

2.Statement of the Problem

Employees’ absenteeism and low rate of trucks capacity utilisation, both of which constrain organisational performance and profitability, are among major weaknesses of the company and that they are interrelated. An interview with the company Human Resource Management revealed that over 94.6% of repeated absence from work (while expected) is reported by Transportation Department and that almost all of the reported absentees are the freight trucks drivers and their assistance drivers. While many of the absences are taken on the grounds of sickness, partly supported and partly not supported by evidences of medical certificate produced from both private and public health institutions, the management of the company is also aware that many of the treatments sought from health facilities in the town, Addis Ababa or elsewhere are actually available on the company premise in Adama city. Although these long distance freight transporting truck drivers are entitled to rest time after completing a round of trip (to and from Djibouti), since the last two years the management has observed a gradual increase in the duration of rest days take after such trip. Apart from these, there is little, if any, that is known about what is causing absenteeism among the truck drivers, not least about the level and magnitude of absence behaviour as well as its impact on both the company and the individual...
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