BRITAIN’S SICKNESS ABSENCE CRISIS

The UK is facing a mounting crisis in workplace health, with sickness absence and economic inactivity costing employers billions annually. The newly released Keep Britain Working report, led by Sir Charlie Mayfield, offers a blueprint for HR directors and in-house management to reverse this trend and build healthier, more inclusive workplaces.

The Scale of the Problem

• £85 billion: Annual cost of poor workplace health to UK employers

• £212 billion: Estimated economic cost of ill-health to the UK economy

• 800,000: Increase in working-age adults out of employment since 2019 due to health conditions

• 93% of fit notes declare employees “not fit for work,” often extended without further consultation

These figures underscore a systemic failure in how health and work intersect, with the UK showing one of the widest employment gaps between healthy and chronically ill workers in Europe.

Root Causes: Culture, Systems, and Support

The report identifies three key barriers:

• Culture of fear: Employees fear disclosing health issues; managers fear mishandling them

• Inadequate support: SMEs especially lack occupational health services and structured return-to-work pathways

• Broken fit note system: GPs often lack occupational health training, creating a disconnect between medical advice and workplace realities

Proposed Solutions: A New Framework for Employers

The Keep Britain Working review outlines a multi-phase strategy:

1     Workplace Health Provision

  • A non-clinical case management service integrated into the NHS app

  • Early intervention for mental health and musculoskeletal issues

  • Tailored support plans for employees with chronic conditions

2     Stay in Work & Return to Work Plans

  • Co-created by employer and employee

  • Focus on reasonable adjustments, flexibility, and ongoing communication

3     Employer Incentives

  • Tax reliefs for health-related investments

  • Sick pay rebates and NI adjustments

a)  Priority access to government contracts for compliant firms

4     Workplace Health Intelligence Unit

  • Central body to collect data, evaluate interventions, and guide policy

International Comparison: UK Lagging Behind

• UK workers report higher rates of chronic illness than most EU countries

• Employment rate for those with health limitations: 53% in UK vs. 66%+ in EU peers

• UK statutory sick pay: £118.75/week, among the lowest in Europe

What HR Directors can think about now

  1. Audit your current health support systems. Identify gaps in occupational health, mental health support, and return-to-work processes.

  2. Engage with the Vanguard initiative? Join the government’s pilot programme to shape future standards and access early incentives.

  3. Train line managers. Equip them with tools to handle health disclosures, make adjustments, and maintain contact during absences.

  4. Rethink absence policies? Move beyond binary fit notes to flexible, function-based assessments.

  5. Advocate for reform? Collaborate with industry bodies to push for better statutory sick pay and inclusive employment practices.

Final Thought

Britain’s sickness absence crisis is not just a health issue; it’s a productivity and inclusion challenge. HR leaders are uniquely positioned to drive change. By embracing the Keep Britain Working framework, organisations can foster resilience, retain talent, and contribute to a healthier economy.

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