Entitlement to statutory sick pay (SSP) is set to change with the implementation of the Employment Rights Bill. The legislation may not come into effect before 2026 but when it does, it is likely to result in the elimination of the three ‘waiting days’ that apply under the existing arrangements (such that workers are not eligible for SSP until the fourth day of absence unless they have already had three waiting days in the past eight weeks). At present it is often the lowest paid who are only eligible for SSP and they may be least able to afford three days unpaid. The Bill also proposes extending provision to all workers regardless of earnings (at present only those earning above the Lower Earnings Limit for National Insurance, ie £123 a week, are eligible for SSP, which is a flat rate – currently £116.75 – uprated in line with CPI inflation each April). In future workers would receive a percentage of their earnings or the flat rate of SSP, whichever is the lower. Unlike statutory maternity pay, employers cannot reclaim SSP from HMRC.
