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Pandemic Took Heavy Toll on Productivity

Pandemic Took Heavy Toll on Productivity

Jan. 18, 2023
IBI’s analysis estimates that the cost associated with the loss of work hours is $213.1 billion for 2020 and 2021.

While debate still continues about the productivity level of employees during the pandemic, when looking strictly at the lost number of hours during this time, the picture becomes more clear. 

The Integrated Benefits Institute  (IBI), a non-profit research and educational organization focused on workforce health and productivity, analyzed data from the US Current Population Survey to estimate the number of lost hours attributed to the pandemic, and the cost associated with the loss of work hours.

The cost associated with the loss of work hours is $213.1 billion ($167.4 billion in the first year and $45.7 billion in the second year).

And the number of lost hours attributed to the pandemic was 6.6 billion hours (5.2 billion in the first year and 1.4 billion in the second year).

Looking at specific industries, the industries that had the greatest losses were:

  • Educational services, health care, and social assistance ($30.8 billion)
  • Public administration ($27.1 billion)
  • Construction ($23.9 billion)
  • Waste management services ($22.4 billion)
  • Manufacturing ($21.5 billion).

While the effects of the pandemic can't be reversed, the workplace has changed permanently in a number of ways so IBI spoke to 1,800 employers about how to see how they are adapting and they offered these insights:

Communication is a key element

Leadership must think differently about how they show up, communicate, and interact with employees. Honesty and transparency are the most important part of promoting trust. Communicate broadly and often through multiple channels.

Trust, safety, and inclusion have heightened importance

Employees' sense of security can be strengthened by comprehensive programs that include financial education and well-being and leave of absence benefit offerings to meet employee needs.

Employee well-being and productivity may need stabilization

Benefits and HR professionals can provide a reliable and sustainable business case for investments in workforce health and productivity. Employers have long considered the health of the workforce primarily from the perspective of managing health costs. By treating the health and well-being of the workforce as a strategic asset in a company's value-added process, employers can create a high-performance workforce.

The basics, such as preventative screening and well visits, are still valuable

To avoid expensive events, engage employees before their conditions deteriorate. There are now options such as home screenings and on-site services available to offer employees. Develop communication plans to raise employees' awareness of the benefits of regular preventive checks and highlight options and costs available.

About the Author

EHS Today Staff

EHS Today's editorial staff includes:

Dave Blanchard, Editor-in-Chief: During his career Dave has led the editorial management of many of Endeavor Business Media's best-known brands, including IndustryWeekEHS Today, Material Handling & LogisticsLogistics Today, Supply Chain Technology News, and Business Finance. In addition, he serves as senior content director of the annual Safety Leadership Conference. With over 30 years of B2B media experience, Dave literally wrote the book on supply chain management, Supply Chain Management Best Practices (John Wiley & Sons, 2021), which has been translated into several languages and is currently in its third edition. He is a frequent speaker and moderator at major trade shows and conferences, and has won numerous awards for writing and editing. He is a voting member of the jury of the Logistics Hall of Fame, and is a graduate of Northern Illinois University.

Adrienne Selko, Senior Editor: In addition to her roles with EHS Today and the Safety Leadership Conference, Adrienne is also a senior editor at IndustryWeek and has written about many topics, with her current focus on workforce development strategies. She is also a senior editor at Material Handling & Logistics. Previously she was in corporate communications at a medical manufacturing company as well as a large regional bank. She is the author of Do I Have to Wear Garlic Around My Neck?, which made the Cleveland Plain Dealer's best sellers list.

Nicole Stempak, Managing Editor:  Nicole Stempak is managing editor of EHS Today and conference content manager of the Safety Leadership Conference.

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