UK policy reforms needed to shift dial on economic participation of long-term sick
Urgent public policy reform to promote good work and health is needed to tackle long-term sickness absence
Urgent public policy reform to promote good work and health is needed to tackle long-term sickness absence
The UK Government’s 2023 Autumn Statement contained a number of proposals to boost economic inactivity in the UK. These were in response to concerns about the “record 2.6 million people” who don’t work due to long-term sickness and disability, almost half a million more than before the pandemic. These concerns are justified - ONS figures show that sickness levels rose across all age groups in 2022 but it’s highest in the over 50s and is at its highest point since 2008 for those with long-term health conditions.
CIPD research, supported by Simplyhealth, shows ill-health has been a growing concern for organisations over the past few years. Our 2023 findings show sickness absence rose to an average of 7.8 days per employee per year, an increase of two days since 2019 and its highest level in 15 years.
The rise in economic inactivity due to ill health impacts on the economy, employers, and workers themselves. Conversely, it’s now proven that ‘good work’ is good for health, can reduce health and economic inequalities, and boost productivity.
Aside from the dubious effectiveness of imposing benefits sanctions on people with long-term health conditions as an incentive to work, some key proposals to boost economic participation are positive. These include the expansion of employment support services for people living with long-term ill health, the planned WorkWell pilots, as well as embedding employment support within mental health and musculoskeletal health services in England.
Ultimately, the success of plans for welfare reform to support people with disabilities and long-term health conditions into employment will depend on whether there is enough tailored and bespoke support available. Adequate resourcing to achieve impact with the proposals is key, but they could also fall far short if they are not implemented at the scale needed to shift the dial on economic participation rates.
But what other public policy reforms are needed to create the step change to improve the health of the working age population and close the persistent disability employment gap?
The CIPD will continue to engage with employers and policy-makers in shaping these ideas. The CIPD has also been invited to join the Government's Occupational Health Taskforce.
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Rachel Suff joined the CIPD as a policy adviser in 2014 to increase the CIPD’s public policy profile and engage with politicians, civil servants, policy-makers and commentators to champion better work and working lives. An important part of her role is to ensure that the views of the profession inform CIPD policy thinking on issues such as health and wellbeing, employee engagement and employment relations. As well as conducting research on UK employment issues, she helps guide the CIPD’s thinking in relation to European developments affecting the world of work. Rachel’s prior roles include working as a researcher for XpertHR and as a senior policy adviser at Acas.
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