Europe Steps Up Fight Against Absenteeism as Costs Become 'Unsustainable'

A debate that has been simmering for some time has intensified, particularly after Germany announced a tougher stance on absenteeism last week. Now, both political camps in Spain are joining the discussion, offering different perspectives and approaches to what is a growing concern across Europe.

On one side, Spain is preparing to enhance monitoring of repeated sick leave. Following recommendations from the fiscal watchdog AIReF, Pedro Sánchez's government plans to increase oversight of employees who take two or more periods of sick leave per year. This measure comes in response to a nearly 60% surge in temporary incapacity cases since 2017.

On the other side, the opposition PP party advocates for a much firmer response. The party leader, Alberto Núñez Feijóo, has described absenteeism as a "cancer" and stated that if his party comes to power (with the next elections scheduled for next year), he will seek to implement reforms aimed at reducing the salaries and benefits of absent workers, "with or without" the agreement of unions and employers. This has sparked significant controversy in the country.

The core of the debate lies in identifying the reasons behind this substantial increase. Employers and the PP point to costs, alleged abuses or fraud, and the limited ability of companies to challenge dubious sick leave. In contrast, unions and the government argue that this rise is linked to an overburdened healthcare system, an aging workforce, and post-pandemic mental health issues, rather than simply fraud. The controversy also extends to how these figures are presented and communicated to the public. Critics contend that lumping sick leave, paid holidays, and other authorized absences under the single label of "absenteeism" distorts the debate and risks portraying legitimate illness as professional misconduct.

While Spain stands out in Europe, it's not because its businesses bear the heaviest burden of sick leave costs. Spanish employers currently cover 12 days of ordinary sick leave, significantly less than companies in Belgium (around 30 days), Germany (six weeks), Austria (up to 12 weeks), or the Netherlands, where employers can pay 70% of wages for up to two years. However, these 12 days encompass both salaries and social security contributions, meaning employers may still have to pay the latter, in addition to supplements stipulated by collective agreements, for the entire duration of the sick leave. This is why employers' organizations assert that the true cost extends far beyond these 12 days. Finally, while sick leave is on the rise throughout the EU, the rate of absenteeism due to incapacity in Spain is higher than the EU average: 4.5% in 2024, compared to 2.5% across the EU as a whole.