Absenteeism in the Workplace: Causes & Costs

Absenteeism in the workplace is a pattern of unplanned or unexcused absence from work, beyond what leave entitlements and agreed arrangements cover. Under the Fair Work Act 2009 (Cth), genuine personal leave is a legal entitlement, so absence only becomes a management issue when it is unauthorised or unexplained.

Key points
  • Absence covered by paid personal/carer's leave, annual leave or another entitlement is not absenteeism, even when it is inconvenient.
  • Full-time employees get 10 days of paid personal/carer's leave per year, pro rata for part-time. Casuals get no paid personal leave.
  • Track patterns, ask about causes and apply your absence policy consistently before taking any formal step.
  • Check the award, agreement and contract for notice and evidence rules, and get advice before any disciplinary action.

How absenteeism in the workplace works

  • An employee who is sick or caring for family can use paid personal/carer's leave, and the employer may ask for reasonable evidence such as a medical certificate or statutory declaration.
  • Employees must tell the employer as soon as practicable that they will be away and roughly how long, which is why a call before the start of shift matters.
  • Your award, enterprise agreement or contract can set reporting steps, so write the exact process into your absence policy and show it at induction.
  • Repeated absence without notice or leave cover can be treated as a conduct or performance issue, but only after you have heard the employee's side.
  • Absence linked to illness, injury, family and domestic violence or disability needs care, because the reason may be protected and the response must be fair.
  • Keep dated records of each absence and each conversation, since time and wage records must be kept for 7 years.

Examples of absenteeism in the workplace

  • A labourer misses three Monday starts in a row without calling the supervisor, leaving the crew short before the site induction and the concrete pour.
  • A warehouse picker regularly arrives late or leaves early without approval, so the afternoon dispatch cut-off is missed.
  • A cleaner rostered across two buildings fails to attend one site each week and gives no reason when contacted.
  • An office worker takes unplanned days off just before long weekends, with no leave request and no evidence provided.
  • A team member is away often for documented illness, which is covered by personal leave and is not absenteeism in the workplace in the disciplinary sense.
  • A casual declines shifts at the last minute. Casuals can say no to a shift, so check the engagement terms before treating it as misconduct.

Absenteeism in the workplace: key rules and entitlements

ItemWhat applies
Paid personal/carer's leave10 days per year for full-time employees, pro rata for part-time. Casuals do not get paid personal leave.
Annual leave4 weeks per year for full-time employees, or 5 weeks for some shiftworkers, accruing with ordinary hours worked.
Compassionate leave2 days per occasion, unpaid for casuals.
Family and domestic violence leave10 days paid per 12 months, including for casuals.
RecordsEmployers keep time and wage records for 7 years and give payslips within 1 working day of payday.
Unfair dismissalAn application goes to the Fair Work Commission within 21 days of the dismissal taking effect.
  • Personal/carer's leave: paid time off for the employee's own illness or injury, or to care for an immediate family or household member.
  • Psychosocial hazard: a work factor, such as high demands or poor support, that can harm mental health. See our guide to psychosocial hazards.
  • Employee engagement: how connected workers feel to their job, which often affects attendance. See employee engagement.
  • Workers compensation: insurance cover for work-related injury or illness. See workers compensation in NSW.

Absenteeism in the workplace FAQ

Is absenteeism in the workplace the same as sick leave?

No. Sick leave is a paid entitlement used for genuine illness or injury. Absenteeism describes frequent absence that is unauthorised, unexplained or outside any leave entitlement. A worker who is genuinely unwell and follows the notice and evidence rules is using leave, not being absent without cause.

Can an employer discipline an employee for being absent?

Yes, where the absence is unauthorised and the employee has been told the rules, but only after a fair process. Explain the concern, let the employee respond and consider the reason, since illness or caring duties may be protected. Seek advice from the Fair Work Ombudsman or an employment lawyer first.

How can employers reduce absenteeism?

Start with clear notice rules, consistent record keeping and a conversation when a pattern appears. Check workloads, rosters and site conditions, because poor support and high demands can drive absence. Recognition, flexible arrangements and early return-to-work support also help workers stay connected and turn up.

This is general information, not legal, tax or financial advice, so check the Fair Work Ombudsman, the ATO or an employment lawyer for your situation. For more, read our HR compliance checklist, or talk to TQN Personnel about labour hire for your site.

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