Martin Heydon (Kildare South, Fine Gael)
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316. To ask the Minister for Jobs, Enterprise and Innovation if he has reviewed the impact of the cost of absenteeism and sick leave on businesses; his plans to address this issue; and if he will make a statement on the matter. [11464/15]

Richard Bruton (Dublin North Central, Fine Gael)
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The most recent indications are that absenteeism has decreased over the last five years since 2009. In November 2014, a survey published by IBEC indicated that the level of absenteeism in business fell to 2.35% (5.5 days per year) across all industry sectors, down from 2.58% in 2009. IBEC estimate that absenteeism has fallen by over two days per year (from 3.38% or 7.8 days per employee in 2004) in the last 10 years.

Absenteeism can result in high costs for employers and can impact on overall productivity for businesses. These are issues which employers manage on an ongoing basis with their employees and I am aware of the many proactive and supportive approaches and policies employers have in place to manage such absences.

In general terms, Irish labour costs increased in 2012 (+2.2%) and 2013 (+0.7%). In the first two quarters of 2014, labour costs grew by 1%. These rates are less than the euro area average. Irish unit labour costs (ULCs) which measure the average cost of labour per unit of output (and thus capture both cost and productivity changes) increased by 1% in 2013, after several years of improvements. Nominal ULCs grew at a slower rate than in the euro area, representing a slight improvement in Irish competitiveness. This trend is expected to continue in 2015 and 2016.