Managing Employee Absences with an EFAP

Managing employee absences with an EFAP (Employee & Family Assistance Program) can reduce the cost associated with unplanned absences. People miss work for a variety of reasons, whatever the cause of the absence, it is a major cost to employers across Canada. According to several studies, the cost of unscheduled absences is around $3600 per year for each hourly worker and $2600 per year for salaried employees. Here are some of the direct costs faced by employees:

  • Wages paid for missed work
  • High-cost replacement workers (overtime or last-minute replacements)
  • Administrative costs

In addition to the direct costs there are several indirect costs to consider:

  • Reduced quality of your goods/services
  • Reduced productivity
  • Excess strain on management
  • Poor employee morale

Absenteeism is a difficult problem to tackle, as there are both legitimate and poor excuses for missing work. It can be a challenge to manage this problem, but one method of managing employee absences is with an EFAP.

Adding an EFAP to your existing group benefits plan provides employees fast access to appropriate professional resources to help employees resolve issues that could be causing absences. An EFAP would provide the following types of services to your employees:

  • Counselling, financial and legal services
  • Wellness services
  • Critical incident stress management services
  • Conflict resolution in the workplace

There are many aspects to an EFAP program, but the bottom line is it gives your employees tools and resources to help resolve personal issues that could be affecting their productivity. It is estimated that 10-15% of all employees experience some form of deeply personal issue in any given year. Emotional stress is a major cause of unscheduled absences, and providing the right tools to mitigate stress is one step you can take to prevent productivity loss in your workplace.

If you are interested in learning more about managing employee absences with an EFAP, contact the employee benefit experts at DENT Benefits today.

The information in this material is derived from various sources. Material is provided for general information and is subject to change without notice. Every effort has been made to compile this material from reliable sources; however, no warranty can be made as to its accuracy or completeness. Before acting on any of the above, please contact us for benefit, pension and insurance advice based on your corporate or personal circumstances.

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