Snow Joke as £230 million lost

The Forum of Private Business (FPB) is warning that the cost of a single day of employee absenteeism because of the freezing winter conditions could be at least £230 million.

The calculation was made using information including the daily GDP figure, anticipated vehicle breakdown levels from the AA, average salaries and official data reflecting an expected fall in retail sales.

"Employees make businesses grow and losing key staff because of the weather, even for just a day, is very damaging, particularly in the current economic climate," said the FPB's Research Manager, Tom Parry. "It is important that employers put in place contingency plans for these occasions and that these plans comply with employment law.

"For example, home working might be seen as a solution – obviously not for manufacturers and retailers – but business owners should be aware that it is their responsibility to ensure that employees' houses meet health and safety standards."

John Cridland, CBI Deputy Director-General, said: “The severe weather has obviously caused massive disruption for companies across the country, and the people who work for them. It’s particularly unfortunate because it comes at what is already a difficult time because of the economic situation. One thing that has made things slightly easier has been the willingness of people to use modern technology, especially broadband internet, to work from home to try to help companies keep going, and this is obviously a good thing.”