statutory sick pay, commonly referred to as SSP, is a form of financial support provided to employees who are unable to work due to illness or injury. This statutory scheme is set by the government and is intended to ensure that employees have some income protection during periods of ill health. In this article, we will delve into the details of statutory sick pay and provide you with all the essential information you need to know.
Who Is Eligible for statutory sick pay?
To qualify for statutory sick pay, an employee must meet certain criteria set by the government. Firstly, the employee must be classified as an employee and have done some work for their employer. They must also be earning an average of at least £120 per week. Additionally, the employee must be sick for at least 4 days in a row, including non-working days, to be eligible for SSP.
It is important to note that employees who are self-employed or agency workers are not eligible for statutory sick pay. However, they may be entitled to other forms of financial support, such as Employment and Support Allowance (ESA) or Universal Credit.
How Much Is statutory sick pay?
As of 2021, the standard rate for statutory sick pay is £96.35 per week. This amount is paid by the employer for a maximum of 28 weeks. Employers may choose to pay more than the statutory amount, but they are not required to do so.
The payment of statutory sick pay is usually made in the same way as an employee’s regular wages – either weekly or monthly. It is subject to the same tax and National Insurance deductions as regular income.
When Does Statutory Sick Pay Start and End?
Statutory sick pay begins on the fourth consecutive day that an employee is unable to work due to illness or injury. This is known as the waiting period. The waiting period does not include non-working days, so if an employee falls ill on a Monday, the waiting period would start on the Thursday.
As mentioned earlier, statutory sick pay can be paid for a maximum of 28 weeks. If an employee is still unable to work after 28 weeks, they may be eligible for other forms of financial support, such as ESA.
Can Employers reclaim Statutory Sick Pay?
Employers can reclaim some or all of the statutory sick pay they have paid to employees through the government’s Statutory Sick Pay Rebate Scheme. To be eligible to reclaim SSP, the employer must meet certain criteria, such as having fewer than 250 employees as of 28 February 2020 and keeping records of employees’ sickness absences and SSP payments.
The process for reclaiming SSP involves submitting a claim online through the government’s portal. Employers will need to provide details of the employees who were off sick, the dates of their illness, and the amounts of SSP paid.
What are the Rights of Employees on Statutory Sick Pay?
Employees who are receiving statutory sick pay have certain rights and protections under the law. These include the right to return to their job after a period of sickness absence, the right not to be dismissed or discriminated against due to ill health, and the right to be treated fairly and reasonably by their employer.
If an employee feels that their rights have been violated while on statutory sick pay, they may be able to take legal action against their employer. It is important for employees to know their rights and seek advice if they believe they have been treated unfairly.
In conclusion, statutory sick pay is a vital form of financial support for employees who are unable to work due to illness or injury. By understanding the eligibility criteria, payment rates, and duration of SSP, both employers and employees can navigate this statutory scheme with confidence. As always, it is important to seek professional advice if you have any questions or concerns regarding statutory sick pay.