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Structural flaws | Presenteeism costing US firms $150bn a year, Harvard Business Review finds

Muslim woman coughing at work

Harvard Business Review has turned the spotlight on a growing workplace issue with a multibillion-dollar price tag - presenteeism.

Best defined as working while sick, it quietly costs US businesses up to $150billion annually. Somewhat ironically that’s nearly 10 times more than absenteeism. A 2023 survey estimated that 90% of US workers worked while sick over that year, with 40% hesitant to take available sick leave.

From missed productivity to increased burnout and turnover, the study finds that presenteeism isn’t just a matter of personal decision-making or sick leave policy, but reflects deep structural flaws in how work is designed and supported.

Gender disparities fuel presenteeism risk

Job flexibility plays out differently for men and women, according to the research. Women in more rigid roles like teaching, administration, or healthcare reported working sick more often than men in similar jobs, often due to job insecurity or fear of being seen as unreliable.

At the other end of the spectrum, men in flexible roles worked while sick more often than women in similar jobs, showing that even schedule flexibility cannot offset deeply ingrained cultural expectations. The belief that being “always available” equals leadership and commitment seems especially persistent in male-dominated sectors.

In jobs with low security, women took fewer sick days than men, highlighting the pressure to demonstrate reliability. But as security increased, women’s use of sick leave rose, showing that job stability enables them to prioritize health. Men’s behavior remained largely unchanged regardless of job security.

Job design drives risk more than policy

The Harvard study uses the Job Demands-Resources (JD-R) framework to explain presenteeism.

When demands such as workload, deadlines, and responsiveness outpace support systems like schedule flexibility, autonomy, or backup staffing, presenteeism rates rise.

Conversely, when job demands and support systems are in balance, motivation, productivity, and well-being improve. This imbalance, combined with gendered job roles and workplace expectations, makes expanding sick leave alone insufficient.

A Dutch hotel group using the JD-R model improved burnout and engagement scores by increasing worker autonomy, professional development, and support, proving that organizational change works when it addresses the root causes.

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Practical steps to reduce presenteeism

The report recommends that HR leaders and executives take a structured approach to tackling presenteeism. Firstly, map job demands and support levels across different roles, using pulse surveys, manager focus groups, and tools like heat maps. Look for roles with high demands and low support which are hotspots for presenteeism and burnout.

Second, train managers to detect early signs of overwork and illness, such as late-night emails or visible exhaustion. Research from the UK shows that mental health training for line managers reduces presenteeism and improves employee well-being.

Finally, set up real-time feedback loops. Microsoft, for example, used daily pulse surveys during the pandemic to track stress and workload, adjusting priorities and implementing no-meeting days based on employee input. The key was taking timely, visible action based on the feedback.

Executives have the power to address presenteeism not by blaming individuals but by redesigning jobs to balance demands with support. In doing so, they can build healthier, more resilient organizations.

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