December 02, 2006

Financial impact on [educational] organisations

...At an organisational level, bullying results in an unsafe work environment, which can lead to prosecution under the Occupational Safety and Health legislation. Consequences include disrupted teamwork; poor morale; reduced student and staff loyalty/ commitment; impact on recruitment/ retention – training for new staff (extra costs); lost labour, increased worker’s compensation payments and premiums; lower efficiency/productivity; increased absenteeism, sick leave, staff turnover; and poor employer public image, and may also result in reduced student applications and withdrawals (WorkSafe WA, 2003).

Specifically, the estimated financial costs to Curtin University of Technology of bullying, using a range of prevalence rates, reflecting studies reported in the international literature, across 3000 staff at $20,000 average costs per case (see McCarthy “Costs of occupational violence and bullying” in McCarthy & Mayhew, 2004) is calculated as follows:

Study: Leymann (1997) - Prevalence: 3.5% - Cost estimate pa based on 3000 staff: A$2,100,000

Study: Irish Taskforce (2000) - Prevalence: 7% - Cost estimate pa based on 3000 staff: A$4,200,000

Study: Hoel et al (2001) - Prevalence: 10% - Cost estimate pa based on 3000 staff: A$6,000,000

This university site also includes:

a) Self-Audit Checklist for the Complainant, and
b) Self-Audit Checklist for the Person Accused of Bullying
c) Guidance Notes for Managers & Supervisors

From: Curtin University of Technology, Australia:

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