Tackling unemployment linked to long-term illness could unlock economic growth that is "hiding in plain sight", according to former John Lewis chair Sir Charlie Mayfield. Speaking to the BBC, he warned that the current system fails both employees and employers, costing the UK economy £212bn a year. His comments come as political pressure mounts on incoming prime minister Andy Burnham to reduce the welfare bill.
The Hidden Cost of Ill-Health
Official figures show that long-term sickness absence drains £212bn annually from the UK economy. Sir Charlie argues that reintegrating people who have dropped out of work due to ill-health would boost the workforce without requiring new housing, immigration, or waiting for young people to enter the labour market. "This is basically growth hiding in plain sight," he told the BBC.
The problem is compounded by poor communication between employers and absent staff. Sir Charlie recounted: "I can't tell you how many people I've met who said: 'I was signed off work for three months, or six months, and I never had any contact with my employer at all.' That's not because the employer is a bad person. It's because we've got a situation at the minute where people don't talk to each other when they really need to."
The Get Britain Working Taskforce
More than 250 of the UK's largest employers have signed up to Sir Charlie's Get Britain Working taskforce. The initiative aims to prevent people from leaving work due to ill-health and to support those who are signed off in returning. Participating companies include:
- British Airways
- Tesco
- Royal Mail
- Sainsbury's
- EDF Energy
- Currys
- Several government departments
- 10 mayoral authorities, including London and Manchester
These organisations have committed to tracking key metrics:
| Metric | Purpose |
|---|---|
| Sickness absence | Identify patterns and triggers |
| Return-to-work outcomes | Measure success of reintegration |
| Disability participation | Ensure inclusive workplace practices |
According to the BBC, the government said this would make workplace health performance visible for the first time.
Political Context and Next Steps
Sir Charlie's push comes as pressure grows on Andy Burnham, widely expected to take over as prime minister later this month, to reduce the UK's welfare bill. Government figures show total welfare spending in Great Britain is forecast to be 23.6% of total government expenditure in the 2025 to 2026 financial year.
The former John Lewis chair suggested his plans could help cut that bill. "Fixing these problems at the fundamental level could make a really big contribution to getting this economy working better — for employers, for employees, for the taxpayer, for all of us," he said. He added: "This is not a zero-sum game. It's not a question of employers win and employees lose and vice versa. Everybody can win."
Sir Charlie expressed confidence that Burnham would back the taskforce: "I can't see any reason why he wouldn't because of what Andy has said about good growth. If this isn't good growth, I'm not sure what is, quite frankly."
"This is basically growth hiding in plain sight." — Sir Charlie Mayfield
For executives and investors, the initiative signals a shift in how large UK employers will manage workforce health, potentially impacting productivity, absenteeism costs, and regulatory compliance. The taskforce's transparency metrics could also influence ESG reporting and labour cost forecasts.
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