statutory sick pay (SSP) is a form of payment provided by employers to their employees who are unable to work due to illness or injury. This mandatory benefit ensures that employees are still able to receive some form of income while they are unable to work. In this article, we will discuss the details of SSP, who is eligible to receive it, and how it is calculated.
SSP is a legal requirement in the United Kingdom and is paid by employers when an employee is unable to work due to illness for at least four consecutive days. The current rate of SSP is £96.35 per week and is paid for a maximum of 28 weeks. Employers are required to pay SSP to their employees who meet the eligibility criteria, even if they do not have a contractual sick pay scheme in place.
To be eligible for SSP, an employee must earn at least £120 per week on average, be classified as an employee (not a contractor or freelancer), and have been off work due to illness for at least four consecutive days (including weekends and bank holidays). Employees must also notify their employer of their illness within a certain timeframe and provide evidence of their incapacity to work, such as a doctor’s note.
SSP is not paid for the first three days of sickness (known as waiting days) unless the employee has been off work due to illness for at least four days in a row, including weekends and bank holidays. After the waiting days, SSP is paid from the fourth day of illness onwards for up to 28 weeks. Employers may have their own sick pay policy in place that provides a higher rate of sick pay or covers the waiting days, but they are legally required to pay SSP to eligible employees regardless.
Employers are responsible for keeping records of SSP payments made to their employees and deducting income tax and National Insurance contributions from the payments. Employers can reclaim a portion of the SSP paid to their employees from the government, known as the Percentage Threshold Scheme (PTS). This scheme allows employers to recover a percentage of the SSP paid that exceeds a certain threshold, helping to offset the costs of providing sick pay to employees.
Employees who are on SSP are entitled to receive the payment in the same way they would receive their regular wages, such as through direct deposit or cheque. Employers cannot dismiss or discriminate against employees for taking sick leave or requesting SSP, as this is protected under employment law. Employees who believe they have been unfairly denied SSP or treated unfairly due to their illness can seek redress through employment tribunals.
It is important for both employers and employees to understand their rights and responsibilities when it comes to SSP. Employers should have clear policies and procedures in place for handling sick leave and SSP, including how employees should report their illness, what evidence is required, and how SSP will be paid. Employees should be aware of their entitlement to SSP and how to claim it if they are unable to work due to illness.
In conclusion, statutory sick pay is a vital form of support for employees who are unable to work due to illness or injury. Employers must adhere to the legal requirements for paying SSP to eligible employees and should have clear policies in place for handling sick leave. Employees should be aware of their rights to SSP and how to claim it if needed. By understanding SSP and following the necessary procedures, both employers and employees can ensure that sick employees are supported during their time off work.