Definition of Statutory Sick Pay (SSP)
Statutory Sick Pay (SSP) refers to the weekly payments made by employers to employees who are unable to work due to illness. The payments become applicable after the first three days of sickness and can extend for up to 28 weeks. The SSP structure underwent significant changes over the years. Initially, employers were entitled to an 80% reimbursement from the government for SSP payments, with smaller companies eligible for full reimbursement after the first six weeks of a claim. However, since April 2014, companies can no longer recover SSP from the government.
Examples
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Employee A falls ill: Employee A works at Company X and falls ill, rendering them unable to work starting Monday. They are eligible to start receiving SSP from Thursday (the fourth consecutive day of sickness) and can receive it for up to 28 weeks as long as they remain medically certified.
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Employee B in a small company: Employee B works for a small company without sick pay policies beyond SSP. After becoming ill, they receive SSP starting from their fourth day of illness, but the employer receives no reimbursement from the government regardless of the duration.
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Employee C recovers and returns to work: Employee C falls ill and receives SSP for three weeks. After recovering and returning to work, those three weeks count against the 28-week SSP allowance for that employment period.
Frequently Asked Questions
What is the minimum requirement for an employee to qualify for SSP?
To qualify for SSP, an employee must be ill for at least four consecutive days and have average weekly earnings of at least the Lower Earnings Limit.
How much is Statutory Sick Pay?
As of 2023, the SSP rate is £96.35 per week. This amount is subject to periodic updates by the government.
Are part-time employees eligible for SSP?
Yes, part-time employees are eligible for SSP provided they meet the minimum earnings requirement and have been sick for at least four consecutive days.
Can employees receive other benefits while on SSP?
Employees are entitled to sick pay (SSP) as a statutory right, but in the absence of other company-specific sick pay policies, this payment represents the extent of financial support provided exclusively for sickness.
How does SSP affect company finances?
Since April 2014, employers cannot recover SSP payments from the government, increasing the financial burden of providing sick pay on the employer.
Does SSP cover illnesses related to COVID-19?
Yes, illnesses due to COVID-19 are covered under SSP rules, sometimes alongside temporary exceptions or enhancements to the standard SSP regulations to mitigate the pandemic’s effects.
Can employers offer more than the statutory amount?
Employers may offer a more generous sick pay scheme than the statutory amount; however, they are not reimbursed for going beyond SSP.
What if an employee is sick for more than 28 weeks?
If an employee’s sickness extends beyond 28 weeks, they would need to apply for other benefits, such as Employment Support Allowance (ESA), as they are no longer covered by SSP.
Are employees required to provide a doctor’s note?
Employees typically need to provide a doctor’s note or other medical certification if they are ill for more than seven days.
Is SSP applicable outside the UK?
No, SSP is specific to employees in the United Kingdom. Employment laws and sick leave benefits vary in other countries.
Related Terms
Lower Earnings Limit
The minimum weekly earnings necessary to qualify for various state benefits, including SSP.
Employment and Support Allowance (ESA)
A UK government benefit for people who cannot work due to illness or disability.
Statutory Maternity Pay (SMP)
Payments made to employees who take time off due to maternity leave, following specific statutory regulations.
Online References
Suggested Books for Further Studies
- “UK Employment Law: A Practical Introduction” by Elizabeth Aylott
- “The Employer’s Handbook 2019-20” by Barry Cushway
- “UK Human Resource Management: A Comprehensive Guide” by Eva Win
Quizzes
Accounting Basics: “Statutory Sick Pay (SSP)” Fundamentals Quiz
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