I wonder how to deal with long-term absences?

Long-term sickness absence can place real pressure on operations, team morale and costs. Handling sickness fairly and lawfully reduces risk and helps employees return to work sooner where possible.

CIPD’s 2025 Health and Wellbeing at Work Report found that the average level of employee absence rose to 9.4 days per employee, or 4.1% of working time lost. This is an increase of 1.6 days compared with 2023; however, there is considerable variation between organisations. Minor illness remains the most common cause of short-term absence. However, psychological ill health, encompassing poor mental health and stress, features strongly as a cause of both short and long-term absence.

This article outlines the legal framework governing long-term absence, sets out employers’ obligations, and provides practical guidance on managing cases in a consistent, humane and commercially sensible way.

What does the law say about long-term absence?

Long-term absence usually means continuous sickness of several weeks or months. The legal landscape centres on fair process, medical evidence and reasonable adjustments. Key sources include the Employment Rights Act 1996 on unfair dismissal, the Equality Act 2010 on disability discrimination and reasonable adjustments, statutory sick pay rules, data protection law for handling health information, and the ACAS Code and guidance on managing sickness absence.

Employers must assess each case on its facts, consider the likelihood of return, and consult properly before any decision is made. If the condition amounts to a disability, employers must consider reasonable adjustments and avoid disability-related discrimination. Capability dismissal may be fair if a reasonable process has been followed and alternatives have been explored.

What are the key employer obligations and legal principles?

Employers should maintain a clear sickness absence policy and apply it consistently. They must obtain and consider up-to-date medical evidence, usually from a GP or treating clinician.

They should consult with the employee throughout, exploring prognosis, timescales and support needed to facilitate a return. Where the condition may be a disability, they must identify and implement reasonable adjustments where feasible, such as amended duties, phased returns, altered hours or workplace adaptations.

Alternatives to dismissal should be reviewed, including redeployment to suitable vacancies. Before any dismissal on capability grounds, employers must inform the employee, hold a fair meeting, consider further medical input and adjustments, and provide a right of appeal.

A useful and proactive tool for employers is the use of Occupational Health services. Occupational Health can support employees by assessing fitness for work, advising on reasonable adjustments, and helping manage health conditions that may affect attendance or performance. It can also provide early intervention, guidance on phased returns after illness, and recommendations to reduce workplace risks. Occupational Health is a useful tool that enables employers to make fair, informed decisions and reduce long-term absence whilst taking into account medical advice.

What can employers do?

This section provides practical steps to help employers manage long-term absence fairly and consistently:

• Keep in touch: Maintain regular contact and agree on a review schedule, documenting all communications.
   
• Gather evidence: Obtain consented, up-to-date occupational health or medical reports addressing diagnosis, prognosis, adjustments and timescales.
   
• Assess adjustments: Identify and trial reasonable adjustments and phased return plans, reviewing outcomes and feasibility.
   
• Consult and consider alternatives: Meet the employee, consider redeployment and temporary changes, and keep an open mind before deciding.
   
• Decide and confirm process: If capability dismissal is considered, follow a fair procedure with warnings, a formal meeting, appeal rights and careful documentation.

What are the risks of getting this wrong?

If long-term absence is mishandled, employers face legal, financial and commercial exposure.

• Tribunal risk: Unfair dismissal, discrimination and failure to make reasonable adjustments claims, with potential awards and reputational impact.
   
• Financial risk: Management time, legal fees, absence costs, increased insurance or PHI premiums, and potential compensation.
   
• Compliance risk: Breaches of process, policy inconsistency and data protection failings when handling medical information.
   
• Employee relations risk: Damaged trust, grievances, higher attrition and negative effect on morale and engagement.
   
• Reputational risk: Adverse publicity, damaged employer brand and difficulty recruiting or retaining staff.

Summary

Long-term absence management is ultimately about fairness, evidence and proportionality. Maintain regular contact, obtain solid medical input, consider and trial adjustments, explore alternatives, and only then make a reasoned decision. A consistent, well-documented process will reduce legal risk and support better outcomes for both the business and the employee.

Further Advice

If you have any queries on this topic or any other employment-related matters, our Peace of Mind Team is here to provide expert guidance. Our Document Audit Team can also assist in drafting relevant workplace policies.

Contact our Employment Team by emailing employment@warnergoodman.co.uk or calling 023 8071 7717.

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