Statutory Sick Pay
Statutory Sick Pay is a payment made to employees
who are incapable of work due to illness for four or more days in
a row. Such payments are made for a maximum of 28 weeks in each
of these periods of incapacity for work. The current weekly rate
of pay for these situations is £70.05. There is a daily rate
that can be paid if employees are not due a full week's Statutory
Sick Pay. The daily rate is the weekly rate divided by the number
of qualifying days you use in a week.
Most employees who are unfit for work through such terms of sickness
may be entitled to Statutory Sick Pay from a company, although certain
conditions have to be met. They must:
- Be employed by that company and have done work for them under
their contract;
- Be aged between 16 - 65 on the first day of sickness;
- Be sick for 4 or more calendar days in a row;
- Have Average Weekly Earnings of equal to or more than the Lower
Earnings Limit;
- Be someone whose earnings attract a liability for employer's
Class 1 NICs or would if they were high enough.
Under the rules above, the following types of people are allowed
Statutory Sick Pay:
- Continental shelf workers;
- Agency workers;
- Part-time workers;
- Married women/Widows paying reduced rate National Insurance
Contributions.
It is up to employers to both determine and make
clear to employees how sickness notification is made. If such forms
of notification are not made, employees need to let their employers
know they are unfit for work within seven days of actually being
unfit. If this is not done, it is deemed as late notification and
can lead to Statutory Sick Pay being withheld, unless good reason
is given for the delay.
Likewise, it is also up to employers to make their
employees prove that they were unfit for work. Self-certification
forms can be provided as evidence, as can doctor's statements. Academy
Accounting Ltd currently assist several businesses with sick pay
management, as it is built into their accounts, and can do the same
for you. For more information, call us today on 0141 891 5999 or
e-mail us at enquiry@academyaccounting.co.uk.
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