Understanding the Impact of Absenteeism

Workplace absenteeism isn’t just about employees missing work—it has significant financial and operational consequences for businesses. Across Canada, absenteeism due to injury, illness, and mental health concerns costs employers billions of dollars annually, impacting productivity, employee morale, and overall business performance.

While some absences are unavoidable, proactive disability management strategies can help businesses reduce absenteeism, support employee well-being, and maintain smooth operations.

The Cost of Absenteeism: Breaking Down the Numbers

According to the Conference Board of Canada, the average Canadian employee took 7.3 sick days in 2021. For employers, these absences lead to:

• Lost Productivity: When employees are absent, remaining staff must compensate, often leading to burnout and reduced efficiency.
• Increased Overtime & Replacement Costs: Employers must pay overtime wages or hire temporary workers, increasing expenses.
• Higher Workers’ Compensation & Disability Claims: Long-term absences drive up insurance premiums and disability costs.
• Reduced Employee Morale: Frequent absences create workplace strain, affecting overall team performance and job satisfaction.

For companies that fail to manage absenteeism proactively, these costs can escalate, making it harder to sustain a competitive and productive workforce.

Key Strategies to Reduce Absenteeism

1. Early Intervention & Proactive Disability Management

Waiting until an employee is already on extended leave to take action is too late. The best approach is to intervene early with a structured return-to-work (RTW) program.

Our WorkAbility Program provides early intervention strategies that ensure employees receive the care they need before absences become prolonged. This includes monitoring claims, facilitating modified duties, and ensuring a safe return to work as soon as possible.

2. Expedited Healthcare Access

One of the biggest contributors to long-term absenteeism in Canada is delayed access to healthcare. The average wait time for a specialist consultation after a GP referral is 15 weeks, and for an MRI, it’s 16.2 weeks. These delays keep employees off work for extended periods.

Our QuikCare Platinum program provides expedited healthcare access, reducing wait times from months to days. By securing fast access to specialists, MRIs, and diagnostic testing, employees receive timely treatment and return to work faster.

3. Supporting Mental Health in the Workplace

Mental health challenges are one of the leading causes of absenteeism. Employees experiencing stress, anxiety, or depression often take frequent or extended leaves, impacting both personal well-being and company operations.

QuikCare Mental Wellness offers rapid access to therapist-led Cognitive Behavioural Therapy (CBT), helping employees address their mental health challenges before they escalate into long-term disability claims.

4. Implementing a Structured Return-to-Work (RTW) Policy

A well-structured RTW policy ensures employees transition back to work safely and efficiently after an injury or illness. Employers should offer:

• Modified duties to accommodate medical restrictions.
• Gradual reintegration plans to ease employees back into their roles.
• Clear communication between HR, managers, and healthcare professionals.

Our RTW programs ensure employers have customized policies in place that minimize lost time while prioritizing employee health.

5. Tracking & Analyzing Absenteeism Trends

Employers must understand why and how often employees are absent to identify patterns and take corrective action. By tracking absenteeism data, businesses can:

• Pinpoint recurring issues (e.g., frequent absences from a department).
• Identify high-risk employees who may need additional support.
• Implement preventative measures (e.g., workplace wellness programs).

We provide customized claims reports to help employers analyze absenteeism trends and develop targeted solutions to reduce lost time.

The Bottom Line: Absenteeism is Manageable

While absenteeism can be a major financial burden, it is entirely manageable with the right strategies in place. By prioritizing early intervention, expedited healthcare, mental health support, and structured RTW policies, businesses can cut absenteeism-related costs, improve productivity, and foster a healthier workplace.

Are absenteeism costs impacting your business? Let TeksMed help you reduce lost time and support your employees with our proven disability management solutions. Contact us today to learn more about WorkAbility, QuikCare Platinum, and our Mental Wellness Programs!

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