One third (32%) of SME managers believe their company lacks a sufficient system for managing employee absence.
Almost a quarter (24%) admitted they don’t know how absence is recorded, according to the survey of 250 UK SME managers by digital group risk insurer Ellipse.
A concurrent survey of 500 employees at SMEs found nearly 40% felt their employer doesn’t manage absence well. A further 24% said their employer doesn’t know of every sick day they have taken.
John Ritchie, chief executive of Ellipse, said knowing where employees are and how they are is not only important to minimise long-term sick pay insurance costs but reduces the legal risk that comes from not keeping records.
“Managing absence is one of the basic building blocks for any successful business, whether a small, micro business or large multinational,” he said.
Over half (54%) of employers record absences in a spreadsheet, but 22% will only make a note in a handwritten document, while 8% make mental notes and 4% do not record absence at all.
The majority of SME managers surveyed (60%) believe an absence management system would make their company’s process for recording and managing employee absence far better.