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The Department of Health has announced (link to: news.bbc.co.uk/1/hi/uk_politics/8586016.stm) that it will make efficiency savings of £4.35bn over the next three years. This includes savings of £555m that the Department claims will be made by reducing sickness absence amongst health service staff.

Interviewing the Chief Secretary to the Treasury, Liam Byrne, on BBC’s Newsnight, Jeremy Paxman questioned the Department of Health’s ability to reduce its absence costs by £555m, pointing out that a Department of Health review on sickness in the NHS, which quoted the figure of £555m, did not contain a single detailed proposal for how the savings could be made.

However, we’ve estimated that over £300m can be saved in the NHS by using an absence management system to automate procedures such as holiday booking and leave processing.

In organisations such as the NHS, staff and managers can waste substantial amounts of time and money filling in holiday forms, processing leave requests, recording staff absences and calculating leave balances every month. But by implementing an innovative, online absence management system, the NHS can automate or completely eliminate these time-consuming procedures.

Using an online absence management system such as LeaveMaster (link to: www.leavemaster), it takes half the time for an employee to make a leave request than it does using a traditional paper-based system. Automated systems also cut the time line managers spend on processing leave requests by as much as two-thirds and eliminate the need to re-calculate leave balances every time an employee is away.

In an organisation the size of the NHS, which has almost 1.5 million employees taking 24 days holiday a year, we’ve calculated that this could lead to efficiency savings of £302 million: more than half the Department of Health’s targeted amount.

You can find out more about online absence management systems here

Or for an estimate of how much money you could save by using an absence management system, call us on  0800 33 456 30 and we’ll calculate the efficiency savings that your organisation could make.

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