This paper explores the intricate relationship between demographic changes and the phenomenon of absenteeism in the workforce, focusing particularly on Eastern European economies. The initial sections detail the profound demographic shifts, such as aging populations, low birth rates, and high emigration rates, which have significantly influenced labor markets and productivity in countries like Slovenia and Croatia. These changes have exacerbated the challenge of an already existing labor shortage, leading to increased operational costs and reduced competitiveness in laborintensive industries such as trade, tourism, and manufacturing. The central thesis of the document posits that absenteeism largely resulting from inadequate labor force and outdated work models—further compounds these issues. It examines the causes of absenteeism, distinguishing between planned and unplanned absences, and discusses their respective impacts on the productivity and financial overhead of businesses. The study also addresses the broader economic implications of these absences, including indirect costs like decreased client satisfaction and disruptions in business operations. In response to these challenges, the paper argues for strategic absenteeism management as a crucial approach for mitigating the adverse effects of demographic changes on the workforce. It suggests implementing comprehensive strategies that include early intervention, flexible work conditions, health support programs, and training for management to effectively handle absences. Such measures aim to retain workers, particularly the aging and more experienced ones, by ensuring they remain healthy, satisfied, and minimally absent from work. Ultimately, the paper contends that while managing absenteeism can temporarily alleviate some of the pressures caused by demographic shifts, a longterm solution would require broader economic and social reforms to rejuvenate the workforce and enhance productivity sustainably. This strategic approach to absenteeism management is presented as essential not only for reducing costs but also for fostering a supportive work environment that can adapt to demographic realities and maintain economic vitality in the region.

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