Statutory Sick Pay (SSP) is a financial benefit provided by employers to employees who are unable to work due to illness or disability. It is a legal requirement for employers to pay SSP to eligible employees, and understanding when SSP starts is crucial for both employers and employees.
when does statutory sick pay start? The answer to this question depends on a variety of factors, including the employee’s employment status, length of absence, and reason for being off work. In this article, we will explore the key criteria for qualifying for SSP and when it begins.
Qualifying for Statutory Sick Pay
To be eligible for SSP, employees must meet certain criteria set by the government. First and foremost, employees must be classified as a worker under the law, meaning they have a contract of employment – whether written, verbal, or implied. Self-employed individuals are not entitled to SSP.
Secondly, employees must be earning an average of at least £120 per week to qualify for SSP. This average is calculated based on the employee’s gross earnings in the eight weeks prior to the start of the sickness absence. If an employee earns less than this threshold, they may not be entitled to SSP.
Additionally, employees must be absent from work due to illness or disability for at least four consecutive days, including non-working days. These days are known as “qualifying days” and must all fall within a single period of incapacity for work (PIW).
When Does SSP Start?
Once an employee meets the qualifying criteria for SSP, the payment will start on the fourth day of absence, known as the “waiting period.” The first three days of absence are referred to as “waiting days,” during which employees are not entitled to SSP. However, some employers may choose to pay their employees sick pay during this time as a gesture of goodwill.
After the waiting period, SSP will be paid to eligible employees for up to 28 weeks, as long as they remain off work due to illness or disability. The rate of SSP is set by the government and is subject to change annually. As of 2021, the current rate of SSP is £96.35 per week.
It is worth noting that SSP is not paid for the first seven days of sickness absence if the employee has been off work due to illness or disability more than once in a period of 8 weeks. These are known as “linked periods of sickness” and allow employers to combine multiple periods of sickness to determine when SSP should be paid.
In some cases, employees may be entitled to additional sick pay benefits through their employer’s sick pay scheme or insurance policy. These benefits are in addition to SSP and may provide a higher level of financial support during periods of sickness absence.
Employer Responsibilities
Employers have a legal obligation to pay SSP to eligible employees and must keep accurate records of sickness absence and payments made. Failure to do so can result in penalties from HM Revenue & Customs (HMRC) or legal action.
Employers must also provide written notification of SSP entitlement to employees, including the start date of payment, the rate of SSP, and the expected duration of payment. This information should be provided within seven days of the start of the sickness absence.
Employers should also be aware of the rules surrounding employees who are on furlough and become sick. In such cases, employees may be entitled to SSP in addition to their furlough pay, as long as they meet the qualifying criteria for SSP.
Conclusion
Understanding when statutory sick pay starts is essential for both employers and employees to ensure compliance with the law and fair treatment of employees during periods of illness or disability. By following the qualifying criteria and payment rules set by the government, employers can ensure that their employees receive the financial support they need when they are unable to work due to sickness. Employees, on the other hand, can be aware of their rights and entitlements when it comes to SSP, ensuring they are not left financially vulnerable during periods of incapacity for work.