Supportive leave policies boost employee loyalty, but most workers still face gaps in their experience
Only one in three workers say their recent leave experience went very smoothly—a finding that underscores a critical gap between employer intentions and employee realities in absence management.
A new report from The Guardian Life Insurance Company of America (Guardian) reveals that how employees are supported during periods of leave has a direct impact on morale and loyalty when they return to work.
The Employee Leave Experience report highlights that employees who report a positive leave experience are twice as likely to believe their employer cares about their well-being.
Employers are responding to evolving worker expectations by re-examining their absence management strategies.
More than 80 percent are considering moving toward a broad paid leave policy that addresses multiple leave reasons, rather than maintaining separate policies. This shift aims to streamline processes, improve compliance, and create a culture of care and well-being.
Mental health has emerged as a leading factor in employee absences.
Eighty-one percent of employers report that mental health issues contribute to absences within their organizations, with half noting an increase in mental health claims and 30 percent seeing a rise in postpartum depression claims.
During leave, 39 percent of workers accessed mental health counselling benefits, while 35 percent used physical therapy benefits.
The integration of technology is also transforming absence management.
More than six in ten employers are considering incorporating artificial intelligence (AI) into their programs, and nearly one in five have already done so.
Centralizing and outsourcing administration for short-term disability (STD), FMLA, and PFML is becoming more common, with nearly half of employers outsourcing both STD and FMLA to the same vendor.
Manager support remains a decisive factor in the employee leave experience.
Fifty percent of employers say that having a supportive manager is the most influential factor, and 56 percent of employees agree that their manager’s support made a positive difference.
However, only 22 percent of workers felt adequately informed about the supporting benefits available to them during leave, indicating a need for clearer communication and streamlined claims processes.
Employers recognize the strategic value of providing a positive leave experience—not only to attract and retain talent, but also to promote employee well-being and productivity.
Enhancing the employee experience was reported as the most important outcome in 2024, with organizations making significant progress in this area.
Still, the disconnect between employer perceptions and employee realities suggests that further improvements are needed, particularly in manager education and benefits communication.
