Australian Workplace Absenteeism Statistics
2025 absenteeism statistics show rising costs and productivity losses.
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Understanding Absenteeism and Its Business Impact
Absenteeism refers to employees frequently missing work beyond what is considered reasonable, whether due to illness, burnout, disengagement, or other personal reasons.
Businesses often struggle with unplanned absences leading to workflow disruptions, increased strain on remaining employees, and financial losses.
High absenteeism rates can also signal deeper issues within the workplace, such as poor morale, ineffective leadership, or a lack of employee wellbeing initiatives.
Addressing absenteeism proactively through supportive policies and other mechanisms like EAP services and engagement strategies is crucial for maintaining a productive and resilient team at work.
Employee Absenteeism General Statistics
1. Australian workplaces lose around $33 billion annually due to absenteeism [1]
This substantial financial burden affects businesses of all sizes, particularly those reliant on in-person operations.
2. Unplanned absences can reduce productivity by as much as 40%. [2]
Workplace efficiency suffers when teams are understaffed, leading to missed deadlines and decreased overall output.
3. Nearly 50% of all overtime is used to cover for absent employees. [2]
This reliance on overtime can strain budgets and contribute to employee burnout, further increasing absenteeism rates.
4. Employees experiencing mild depression take nearly twice as many sick days as those without mental health issues. [3]
This highlights the importance of mental health initiatives in reducing absenteeism and promoting a healthy work environment.
5. For an Australian business, an unexpected absence of an employee can result in a cost of up to $340 per day [4]
These costs include lost productivity, replacement staffing, and potential impacts on customer service.
6. Wellness interventions were found to improve absenteeism rates by up to 40% [5]
A review of organisational interventions found that 45 out of 55 case studies saw a decline of 30%-40% in absenteesim due to the implementation of wellness interventions.
7. Increased job control and mental health support could reduce absenteeism costs by $4.6 billion across the economy [6]
It’s estimated that strategies such as increased job control and workplace therapy would produce a collective $4.6 billion per year in absenteeism savings
8. Short term absences including carers leave and unexpected illness account for 90% of all absences [7]
Survey studies show that short-term absenteeism is the most problematic absence accounting for 90% of all absence cases including carers leave, unexpected illness and chucking a sickie.
Strategies for Reducing Employee Absenteeism
Reducing absenteeism isn’t just about tracking days off—it’s about understanding why employees aren’t showing up and addressing the root causes. S
tress, burnout, disengagement, and personal struggles all contribute to frequent absences. Creating a workplace where employees feel supported can make a significant difference.
Offering flexible work arrangements, mental health days, and stress management programs can help prevent absenteeism before it becomes a problem. Simple initiatives like wellness programs, EAPs (Employee Assistance Programs), and workplace counselling give employees the tools to manage challenges proactively rather than resorting to unscheduled time off.
Talk to Foremind today about how an EAP can support your team’s wellbeing and reduce absenteeism.
References
[1] PWC Creating A Mentally Healthy Workplace Report
[2] Team Sense, 20+ Statistics About Absenteeism in the Workplace
[3] Safe Work Australia (2012). The Australian Workplace Barometer: Report on Psychosocial Safety Climate and Worker Health in Australia.
[4] Third Sector, Absenteeism in the Australian Workplace
[5] PWC Building The Case For Wellness
[6] KPMG, Investing To Save
[7] Direct Health Solutions, Managing Absenteeism in Australia
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- What is Employee Counselling?
Answers to the frequently asked questions.
Our last EAP was barely touched. Why would this be different?+
Most EAPs go unused because of how they're accessed, not because staff don't need them. Phoning a stranger, explaining yourself, then waiting weeks is enough to stop most people before they start. Foremind removes all three steps: staff see real counsellor profiles, pick someone themselves, and book the same day.
If you already have a provider, the question worth asking is what your current utilisation is. Most traditional EAPs sit in low single digits, which means you're paying for cover your people aren't reaching. If yours is being used, staff can get seen quickly, and it covers your psychosocial obligations, there's no reason to move. If not, it's worth knowing what you're getting for the spend.
Do you offer 24/7 support?+
Yes. A 24/7 after-hours crisis line means staff can reach someone immediately at any hour, including nights and weekends.
Counselling appointments are also available outside standard business hours, so shift-based and on-call teams aren't limited to a nine-to-five window. Those are two different things, and it's worth checking any provider offers both rather than just the crisis line.
Are your EAP counsellors based in Australia?+
Yes. Every practitioner on the platform holds current membership with an Australian professional body and practises under Australian standards, codes of ethics and disciplinary frameworks. There are no offshore call centres.
Practitioners hold membership with the Australian Counselling Association, the Psychotherapy and Counselling Federation of Australia, or the Australian Association of Social Workers, along with a current Working with Children or Vulnerable People Check.
How much does an EAP cost?+
Pricing is usually per employee per month, based on total headcount rather than how many people use the service. Costs vary widely depending on whether sessions are bundled in and whether compliance tooling is included.
A more useful comparison is cost per employee who actually uses it. An EAP with 2% utilisation can work out several times more expensive per person helped than one that gets used. Foremind offers pay-as-you-go, inclusive session plans and compliance-inclusive plans, with discounted pricing for not-for-profits and charities.
For full breakdown of our plans, see our EAP pricing page or request a quote for a tailored proposal.
What information does an employer receive about EAP usage?+
Nothing that could identify anyone. All counselling is completely confidential and all reporting is anonymous - you'll never see who booked, when, or what was discussed.
What you do see is the aggregated picture: how many people are using it, what psychosocial risks are prevalent in the business, and which teams are under pressure. Enough to know the investment is working and where to act, never enough to identify a person. Reporting thresholds mean small teams can't be reverse-engineered from the data.
Does having an EAP meet an employer's psychosocial duty of care?+
No. An EAP is a control measure, and a valuable one, but it only addresses harm after it has occurred. It doesn't identify hazards, assess risk, or evidence that controls are working.
Australian WHS law requires you to identify psychosocial hazards, assess the risk, control it so far as is reasonably practicable, and review whether those controls are working — with documented evidence at each step. Offering counselling on its own leaves three of those four steps undocumented.
Foremind covers both in one platform. See how the compliance side works in our product tour.