In today’s working life both the physical and the psychosocial aspects has to be considered when examining the work environment. The psychosocial working environment is of great relevance because it illuminates the individual's perception and experience of relationships and phenomena at work. This essay aims to investigate, describe and analyze the obligation an employer has to pursue in order to tackle high short- term sickness absence and at the same time manage the psychosocial work environment at the workplace. Furthermore, the purpose of this study is to acknowledge the European legislation on this subject matter in order to broaden the understanding of the comprehensiveness of the term psychosocial work environment and how applicable laws and guidelines apply in working life. The legal methodology has been used in order to answer the questions of this essay. The social perspective worked as a complement to the legal method in order to observe new problems and conduct more information in how to confront this issue at small scale enterprises. In conclusion this study deals with a complex situation where every case is unique. It is not possible to prevent all short-term sickness absence, but with the right preconditions and external assistance, employers can handle it without neglecting the psychosocial work environment. By securing a good psychosocial work environment even the smallest enterprises might be able to handle short- term sickness absence.