Most HR managers are aware of the impact that disability absences have on an organizations bottom line. But what they may not realize is that the costs associated with these absences are also having an effect on the global economy, as businesses everywhere struggle with getting disability-related costs under control. In fact, one study showed that disability costs were 8 to 15% of payroll in 2002. Seven years later, a similar study found that statistic to hold true, while also suggesting that disability costs would rise by 37% in the future due to the aging population.
Other studies confirm that disability costs are indeed a concern for countries around the world: the U.K., Denmark, Sweden, Norway, Australia and Canada all report escalating disability payments. In Norway, for example, disability payments are about 2.4% of the countrys gross domestic product. And Canada reports that close to 10% of its working population is receiving disability benefits.
