The cost of absenteeism, both scheduled and unscheduled, is growing. Absenteeism costs employers at least 10 percent of payroll costs per year. Based on recent studies, unscheduled absenteeism costs up to $84 billion a year annually in lost productivity. While advocates for better employee leave options have made strides over recent years in securing more paid time off, employers are faced with managing a more robust absentee system.
The annual costs associated with absenteeism vary by industry, with the greatest loss occurring in professional occupations (excluding nurses, physicians and teachers). Total expenses include wages paid to absent employees, temporary employees and overtime pay for additional coverage, plus the cost for absentee management. Plus, there are indirect costs that go along with absenteeism, including poorer quality goods, reduced productivity, safety issues and low employee morale.
Many Family and Medical Leave Options
There are many leave options for employees: short-term disability, long-term disability, workers’ compensation, FMLA, state leave and company sponsored leave. Plus, there are over 500 laws regulating state and federal job-protected leaves across the country. These laws are complex and ever-changing.
The newest, strongest and most comprehensive leave law, the New York Paid Family Leave Policy (PFL),went into effect in New York in 2018. The law provides guaranteed paid leaves for eligible New York state residents for three life-impacting circumstances: the addition of a new family member into the home, the care of a family member with a serious health condition and when a family member is being deployed abroad for active military service. The program is seen as a model for family leave requirements across the country.
Leave Management Solutions
With so many leave options, it is hard for companies to manage and track the many forms, paperwork, time off, intermittent leave, etc. We want to hear your voice about what is most important in a leave management solution. Please take our short four question survey to share your opinion.
Based on findings in a 2017 study, US businesses appear to be making leave administration a higher priority, especially in firms with 250 to 1000 employees. Businesses are putting new practices in place or refining existing processes to boost workforce productivity and, more importantly, to ensure compliance with federal, state and local laws. The report found that complex interaction of government requirements and corporate policies are increasingly becoming a burden on employers, many of whom are seeking ways to leverage external vendors to help ensure the compliance of their plans and to integrate their programs in a more efficient manner.
Absence management programs are not just about regulations and compliance. For many companies, it is about attracting and retaining a productive workforce that actively contributes to the mission of the organization in a manner that is safe and healthy for all parties. Companies are offering employee assistance, wellness, health and disease management and return-to-work programs to increase the well-being of their employees.
The study found that more organizations are making an effort to reduce absenteeism and its impact on their organizations. The companies that are participating in absence management programs are seeing positive outcomes to their efforts including an increase in productivity, employee experience, decreased absenteeism and a reduction of direct costs.
AmTrust’s Absence Management Program
AmTrust is excited to announce our integrated, compliant leave of absence administration solution that assumes the burden of tracking and reporting responsibilities associated with employees taking leave. Our absence management program automates employee leaves and handles absences from beginning to end. We can create customizable and comprehensive solutions for each client based on what is right for their culture, employee experience and business goals. By handling all leave processing and data collection, we help lift the burden off HR while providing a seamless employee experience. The program cost is dependent on the overall claims incident rate. Individualized underwriting is provided for each policyholder.
Our leave management program offers benefits to both employers and their staff. For employers, the program handles employee absence from beginning to end and ensures your organization is always compliant with local, state and federal leave regulations. We help enhance productivity by facilitating employees’ return to the workplace from leaves as soon as medically appropriate. For employees, the program ensures caring, expert support during leave times from a professional who will provide personal guidance navigating leave laws, documentation and procedures.
The program generates mandatory and optional employee notices, forms and documents consistent with corporate requirements. Our solution provides summarized reporting information for leave management by location, department, shift or supervisor to help HR easily track their leave program. Plus, the program allows for the creation, storage and maintenance of electronic absence management records.
The AmTrust Leave Management Solution provides a proprietary absence management solution that reduces time off of work from employee absence, saving employers significant costs while improving productivity and creating a positive experience for their employees. Contact us for more information about the AmTrust Leave Management Solution today!
Article Source:- https://amtrustfinancial.com/blog/agents/amtrust-introduces-employee-absence-management