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Data shows alarming costs of sick leave crisis

23 October 2025

NEW RESEARCH has revealed that UK sick leave has hit alarming new levels, costing businesses over £20,000 per long-term absence and £13,800 per short-term case (MetLife UK).

The average absence rate has climbed due to stress, burnout, and a sense of disconnection amongst today’s workforce. As frontline managers and young professionals are hit hardest by exhaustion and mental health issues, businesses from every sector face repercussions ranging from declining productivity to lost profitability and strained team morale.  

According to experts at Instant Offices, the state of workplace wellbeing is now at an all-time low, especially amongst under-35s and those in roles most exposed to organisational pressures. “People are the engine of every successful business—yet sustained pressure, lack of support, and reactive policies mean more workers are reaching breaking point,” says Ben Wright, head of global partnerships from Instant Offices. “Prioritising employee wellbeing isn’t just the right thing to do, it’s a strategic necessity.” 

The employer impact: Costs, risks and lost opportunity 

With mental health now the leading cause of long-term absence - accounting for 41% of all cases (CIPD) - employers are contending with mounting costs and risks on several fronts. Direct financial losses from absenteeism, temporary staffing, and additional support are only part of the burden. More insidious are the hidden costs: disengagement and decreased innovation among remaining staff, higher employee turnover rates, and reputational risks that can undermine both talent attraction and commercial success. Alarmingly, one in four employees is at risk of leaving their job when their mental health is adversely affected, making workplace wellbeing an urgent strategic concern for every business. 

Key warning signs — spiking stress and burnout 

The current sick leave crisis is being driven by a range of interconnected factors. Unmanageable workloads are too often paired with insufficient support, leaving employees vulnerable to stress and burnout. Many workplace cultures continue to neglect psychological safety and a genuine sense of belonging, further compounding the problem. Delayed action and “tick box” wellbeing solutions frequently fail to address underlying issues, allowing problems to escalate unchecked. Additionally, health conditions such as anxiety and depression affect over two-thirds of workers every year, driving up absence rates and highlighting the need for more proactive and holistic support strategies 

Supporting employee wellbeing: A blueprint for change 

Ben Wright comments: “Employers must transform wellbeing programmes into living experiments - solicitfeedback, adapt, and course-correct. True wellbeing means designing environments where recovery and micro-resets are encouraged, not just endurance under pressure.” 

Instant Offices recommends companies: 

  • Build a proactive wellbeing strategy, not just reactive support, including Employee Assistance Programmes, digital health tools, and open mental health conversations.  
  • Empower managers with the skills to spot risk early and direct colleagues to help before issues escalate.  
  • Foster trust and engagement through a culture that values wellbeing, flexibility, and genuine connection. 
  • Invest in structured return-to-work programmes and rehabilitation support, which significantly boost successful recovery rates.  

“Businesses that act decisively to support staff wellbeing will future-proof their organisations against ongoing uncertainty and unlock the full value of a healthy, motivated workforce,” adds Ben Wright. “The challenge is real- but so is the opportunity to lead on workplace wellbeing.” 

 
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