Laggards at work are costing economies billions of dollars a year, a multi-country study said on Saturday.
In absolute terms, the United States incurs the biggest loss in wasted talent and management time, $106-billion dollars yearly, followed by the United Kingdom at $25-billion, according to the global firm SHL.
Poor performers cost India $11-billion yearly, Hong Kong $5-billion and Australia $4-billion.
Going by overt costs arising from wasted time in managing poor performances and correcting mistakes, the study said Singapore squanders 1,5 to 2% of gross domestic product (GDP) every year because of underperforming workers.
Doing badly on the job can cost Singapore up to $3,2-billion, SHL estimated.
On the low side, underperformance at the workplace costs Sweden $1,3-billion or 0,6% of its GDP yearly.
Managerial salaries in Sweden ”are far lower relative to the mean than in all other countries,” said the study.
Underperformance among staff is a huge hidden cost in every company around the world, Tan Suee Chieh, president of SHL in the Asia-Pacific region, told The Business Times.
Businesses can boost their bottom line by deploying more effective people management practices, he said.
Failure to match the right worker with the right job is also widespread, according to the study. – Sapa-DPA