The Prime Minister, David Cameron, has announced an independent review into sickness absence. The review will look at changing the current sickness absence system and reducing the £100 billion ill health costs the economy each year.
The review has been triggered by the depth and cost of sickness absence in the UK. According to the Black Review of the health of Britain’s working age population, around 150 million working days are lost each year to sickness absence – approximately six days for each worker. The total cost of working age ill-health to the Government is over £60 billion per year (benefit expenditure, lost tax revenue, NHS costs). The total cost of working age ill-health to the economy is over £100 billion per year. Of this £30-40 billion can be attributed to mental health problems.
Jointly chaired by David Frost, Director General of the British Chambers of Commerce and Dame Carol Black, National Director for Health and Work, the review will explore radical new ways on how the current system can be changed to help more people stay in work and reduce costs. The review will look at sickness absence trends and practices across the public and private sectors and across different segments of the private sector (such as firm size). It will examine differences between segments to establish causes and understand best practice.
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