Human Capital forum is the place for positive industry interaction and welcomes your professional and informed opinion.

Undiagnosed employee presenteeism costing billions

Notify me of new replies via email
HC Online | 15 Jul 2010, 12:00 AM Agree 0
New analysis from corporate wellbeing expert Dr Paul Lanthois suggests that 'presenteeism' is costing Australian business tens of billions of dollars in lost productivity every year.

  • Sharkbait | 16 Jul 2010, 12:29 PM Agree 0
    The problem is that no-one has been able to provide a method for employers to determine the cost of presenteeism, whilst absenteeism is easy to measure.
  • Rum Charles | 20 Jul 2010, 10:52 AM Agree 0
    While I agree with this article and with Dr Paul Lanthois analyisis of the issue, I do not think the study or the information in the article go far enough, as it does not appear to have covered mental health issues such as depression mild or advanced or the fact that unhappy people still turn up for work but are so disconnected from their workplace that they lack motivation and focus which creates a very low work rate. This kind of behaviour displayed by employees can have a disastrous effect on the organisational culture as a whole lowering the overall work rate within the organisation. I wrote a blog on this very subject back in February of this year on my website www.rumcharles.com see blog tab to read the post.
  • Michael Stone | 21 Jul 2010, 02:50 PM Agree 0
    I agree with your comment Rum. Mental health issues such as depression cost companies dearly in terms of presenteeism, absenteeism, and stress claims. It is a complex area with no quick fix, but making the workplace environment pleasant and conducive to healthy, happy staff is a good place to start. www.holisticservices.com.au
  • Dr. Paul Lanthois | 21 Jul 2010, 03:39 PM Agree 0
    I agree with all the above comments.The intial study suggested presenteeism to cost $25.7 billion/year in productivity losses.In my review I took into account a lot of the extra issues and factors you mentioned. That's why in my opinion the true cost of presenteeism is around $100 billion/year.

    Here is some statistics on mental health issues and their significant effect on productivity.

    A 2008 study found that workplace stress, anxiety, depression (ie that which was diagnosed)cost $14.8 billion/year.A 2004 study found that undiagnosed mental health conditions such as depression cost $4.3 billion/year in productivity losses.
Post a reply