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Worker absenteeism and overtime bans

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The aim of this paper is to bring the temporal nature of absence decisions into the forefront of the analysis of employee absenteeism. The theoretical contribution of the paper draws on the conventional labour supply model of absence behaviour and extends the analysis in order to place absenteeism in the context of multiperiod analysis. In addition, the implications of a specific absence penalty system are analysed which essentially makes the availability of overtime working conditional on an employee's absence history. The empirical analysis explores a daily panel of absence histories gathered by the firm which operates this particular penalty system. The analysis of such panel data, therefore, incorporates the temporal aspect to the absence decision-making process. The findings suggest that the absence penalty system is effective and, furthermore, the results indicate ways in which the effectiveness of the system could be enhanced. In general, the results confirm the findings of other researchers, which suggest that characteristics of the employment contract such as wages are important determinants of observed absence behaviour.
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Document Type: Research Article

Publication date: 1999-02-01

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