In this presentation, we will discuss the meaning, types, categories, causes, features and calculation rate of absenteeism in a professional environment and corporate organisations. To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html

1. HUMAN RESOURCE MANAGEMENT II
CHAPTER 5: ABSENTEEISM AND
LABOUR TURNOVER

2. CHAPTER 5
MEANING OF ABSENTEEISM
Each employer/any organization expects
employees to be present in work place as per
timings or schedule fixed for the purpose
Any deviation from the fixed time reporting
entails loss to the organization.
When an employee fails to report for duty on
time without prior intimation or approval, then
the employee is marked as “absent”.

3. CHAPTER 5
TYPES OF ABSENTEEISM
Absenteeism is of four types:
Authorised Absenteeism
Unauthorised Absenteeism
Wilful Absenteeism
Absenteeism caused by circumstances beyond
one’s control

4. CHAPTER 5
FEATURES OF ABSENTEEISM
The rate of absenteeism is the lowest on pay day and
increases considerably on the days following the payment
of wages and bonus
Absenteeism is generally high among the workers below
25 years of age and those above 40 years of age
The rate of absenteeism varies from department to
department within an organization. Generally it is high in
the production department
Absenteeism in traditional industries is seasonal in
character

5. CHAPTER 5
CALCULATION OF ABSENTEEISM RATE
Absenteeism can be calculated with the help of
the following formula:
Absenteeism Rate
Frequency Rate
Severity Rate
Contd.

6. CHAPTER 5
CALCULATION OF ABSENTEEISM RATE
Absenteeism Rate=(Number of mandays
lost)/(Number of mandays scheduled to work) * 100
Frequency Rate=(Total number of times in which the
leave was availed)/(Total number of mandays
scheduled to work) * 100
Severity Rate (Total number of days absent during a
period)/(Total number of times absent during the
period ) * 100

7. CHAPTER 5
CAUSES OF ABSENTEEISM
Maladjustment with the Working Conditions
Social and religious Ceremonies
Unsatisfactory Housing (conditions at the
workplace)
Industrial Fatigue
Unhealthy Working Conditions
Poor Welfare Facilities
Contd.

8. CHAPTER 5
CAUSES OF ABSENTEEISM
Maladjustment with the Job demands
Alcoholism
Indebtness
Unsound Personnel Policies
Inadequate Leave Facilities
Low level of Wages

9. CHAPTER 5
CATEGORIES OF ABSENTEEISM
Entrepreneurs
The Status seekers
The Epicureans
Family-oriented
The Sick and the Old

10. CHAPTER 5
SOME MEASURES TO MINIMISE ABSENTEEISM
Selecting the employees by testing them
thoroughly regarding their aspirations, value
systems, responsibility and sensitiveness
Adopting a humanistic approach in dealing with
the personal problems of employees
Following a proactive approach in identifying and
redressing employee grievances
Providing hygiene working conditions, welfare
measures, fair and competitive remunerations,
training and development

11. CHAPTER 5
LABOUR TURNOVER: MEANING
External mobility means shifting of employees
into and out of an organization
It is defined as the rate of change in the
employees of an organization during a
definite period
It measures the extent to which old
employees leave and and new employees
enter into an organization

12. CHAPTER 5
TYPES OF LABOUR TURNOVER
External mobility is of two types:
Accessions: Additions of new candidates to the
existing employees
Separations: Termination of employment or
Employee turnover which includes -
Voluntary quitting or resignations by emploees
Layoff or Lack of Work
Disciplinary Lay-off or Discharge
Retirement and
Deaths

13. CHAPTER 5
COMPUTATION OF EXTERNAL MOBILITY
Rate of external mobility is generally computed in
terms of accession rate, separation rate and
compose rate
Accession Rate=(Total Accessions per year)/(Average
number of employees for the year) * 100
Separation Rate=(Total Separations per
year)/(Average number of employees for the year) *
100
Contd.

14. CHAPTER 5
Composite Rate = [(Total accessions per year +
Total Separations per year)/2] / (Average number of
employees for the year ) * 100
These formulae are useful to compute and compare
the rates with those of other organizations for the same
period and of the same organization for the past years
This comparison shows the trends in mobility rates and
the place of the organization in the community in
respect of turnover
It also shows the magnitude of the problem and
indicates the effects of external mobility

15. CHAPTER 5
EFFECTS AND CONTROLLING OF EXTERNAL
MOBILITY
Certain degree of external mobility is inevitable and
also desirable to enable flow of efficient human
resources into the organization
Though external mobility is for the betterment of the
employees in some cases, it causes problems to
employees in many cases
Personnel managers have to analyze the causes for
mobility and find means to control it in view of its
adverse effects on the organization and employees
Contd.

16. CHAPTER 5
EFFECTS & CONTROLLING OF EXTERNAL
MOBILITY
Personnel managers have to analyze the causes
of mobility before suggesting measures to reduce
it
The management has to forecast the vulnerable
areas of external mobility and apply appropriate
measures.
Reduction of excessive employee mobility by
identifying the areas and applying measures is
the responsibility of the executives at all levels in
the organization

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