The report estimated staff absences cost the economy $2.86 billion in 2022, compared to $1.85 billion in the previous survey in 2020. Photo: 123rf
Employers are facing increasing costs for covering worker absences as employees take more time off due to illness.
A biennial workplace wellness survey by Southern Cross Health Society and BusinessNZ showed the average rate of absence was 5.5 days per employee over the course of 2022.
It compared to a range of 4.2 and 4.7 days between 2012 and 2020, and was the highest on record since the survey began in 2012.
The survey generated 137 responses from organisations in the private and public sectors, employing 135,742 people.
The report estimated staff absences cost the economy $2.86 billion in 2022, compared to $1.85 billion in the previous survey in 2020.
It said absence costs in 2022 were the highest recorded, with a median annual cost per absent employee of $1235, compared to the previous record of $1007 in 2018.
Southern Cross chief executive Nick Astwick said Covid and the then mandatory seven-day isolation was a factor in the higher absences.
"But we also believe as we've moved the minimum leave entitlement from five days to 10 days, that's also contributed to an increase of leave," Astwick said.
"Some of the workforce - we don't know how much - but some of the workforce see the 10 days as an entitlement and so we were expecting to see an increase, and we have," Astwick said.
The report also found about half of the organisations surveyed observed an increase in stress among staff, with financial concerns being the main reason.
About one in five employers also reported they saw the so-called "quiet quitting" at their organisation.
Quiet quitting was a recent term to describe workers who put in the minimum required effort and did not go the extra mile at work.
Astwick said while the term was relatively new, the phenomenon was not and firms could try to re-engage dissatisfied staff.
"Quiet quitting can also indicate a general lack of engagement between a business and its employees, which can affect both parties," he said.
"Employees are an organisation's most valuable asset, so it's really important to foster their wellbeing, engagement and growth."