statutory sick pay, often referred to as SSP, is a payment made by employers to employees who are unable to work due to illness or injury. It is a legal requirement in the United Kingdom and provides employees with financial support while they are off work sick. In this article, we will explore everything you need to know about statutory sick pay.
Who is Eligible for statutory sick pay?
In order to be eligible for Statutory Sick Pay, employees must meet certain criteria. Firstly, they must be classified as an employee and have done some work for their employer. They must also have been ill for at least four consecutive days (including non-working days) and earn an average of at least £120 per week.
It is important to note that employees cannot receive Statutory Sick Pay if they have already received the maximum amount of SSP (28 weeks) or have been off work for more than 3 years. Additionally, employees who are receiving other statutory payments, such as Statutory Maternity Pay or Statutory Adoption Pay, cannot receive SSP at the same time.
How Much is Statutory Sick Pay?
The current rate of Statutory Sick Pay is £96.35 per week, and it is paid by employers for up to 28 weeks. Employers are required to pay SSP for the days that the employee would normally work, known as ‘qualifying days’. Employers can choose to pay more than the statutory amount if they have a company sick pay scheme in place.
Statutory Sick Pay is subject to tax and National Insurance contributions, just like any other form of income. Employees should receive their SSP payments in the same way as their regular wages, either weekly or monthly.
When to Start Paying Statutory Sick Pay?
Employers are required to pay Statutory Sick Pay from the fourth day of absence due to illness or injury. The first three days are known as ‘waiting days’ and are not covered by SSP. However, if an employee has been off work sick for more than 4 days in a row and qualifies for SSP, they should receive payment from the fourth day onwards.
It is essential for employers to keep accurate records of when their employees are off sick and when SSP payments are made. Failure to pay Statutory Sick Pay when due can result in penalties and legal action from HM Revenue and Customs.
Returning to Work After Statutory Sick Pay
When an employee is ready to return to work after receiving Statutory Sick Pay, they should inform their employer as soon as possible. It is advisable for employees to have a meeting with their employer to discuss their return to work and any adjustments that may need to be made to their role or working hours.
Employers have a duty to support their employees’ return to work and make reasonable adjustments to help them settle back into their role. If an employee is unable to return to work after their allotted SSP period, they may be entitled to other benefits such as Employment and Support Allowance.
In conclusion, Statutory Sick Pay is a vital form of financial support for employees who are unable to work due to illness or injury. It is essential for employers to understand their obligations regarding SSP and ensure that their employees receive the correct payments in a timely manner. By following the guidelines set out by HM Revenue and Customs, employers can ensure that their employees are supported during times of illness and injury.