New Statutory Sick Pay Scheme
New Statutory Sick Pay Scheme
There have been a number of changes to working life in recent years, and that’s without factoring in the upheavals of the last number of years. Everything from the usual PAYE system, to the removal of the P45 system points us in the direction of a seismic change in the way we do business these days.
Some of these changes may not have a noticeable effect on the day-to-day working life of an employee, but there are some which will be immediately noticed and likely leaned upon. Among these, is the newly introduced sick pay scheme.
Since January 1st, 2023, employees will now have a right to 3 days’ sick pay per year as the legal minimum “Statutory Sick Pay Scheme”. Before January 1st, employees had no legal right to be paid by their employer while on sick leave from work. Any allotted sick leave payments were fully at the discretion of the employer and dependent on what was listed in your employment contract.
This new Statutory Sick Pay Scheme allows for 70% of your normal pay to be paid to you up to a maximum of €110 per day and the employer will be legally required to pay no less than this amount, but they may have their own sick leave payment schemes which allows a greater amount. The scheme is set to increase steadily over the course of 4 years culminating with 10 days of statutory sick pay being allocated to each employee in 2026:
- 2023 – 3 days covered
- 2024 – 5 days covered
- 2025 – 7 days covered
- 2026 – 10 days covered
To avail of this scheme, the employee must be working at least 13 weeks, and be certified as unable to work by their GP from day 1 of your sick leave. Your annual leave will continue to be built up as normal during this time.
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