Statutory Sick Pay (SSP) is a key element of employee rights in the UK, ensuring financial support for employees during illness.
This guide explains how SSP works, who is eligible, and what both employers and employees need to know.
The Basics: What Is SSP?
Statutory Sick Pay (SSP) is a legal requirement for employers to provide payment to employees unable to work due to illness. SSP rates are currently set at £116.75 per week and can be paid for up to 28 weeks. SSP aims to provide some income so employees can cover basic expenses while recovering.
SSP Eligibility Requirements
To qualify for SSP, employees must:
- Be employed under a contract (self-employed individuals do not qualify).
- Earn at least £123 per week.
- Be ill for more than 3 qualifying days, including weekends. SSP kicks in from the fourth day of illness.
Employer Obligations
Employers must:
- Check Eligibility Criteria: Confirm the employee meets earnings and sickness criteria.
- Receive Notification: Employees must report sickness within the company’s required timeframe (usually 7 days). Employers can ask for a doctor’s note (fit note) if the illness lasts more than 7 days.
- Make Payments: SSP is paid like regular wages, with tax and National Insurance deductions.
- Keep Records: Employers must keep records of all SSP payments for at least three years.
- Consider Annual Leave: Employees continue to accrue annual leave (holiday pay) during sick leave.
- Special Rules for Certain Workers: Different employment types (like agency workers) have specific rules. More details here: Gov.uk Guidance.
Occupational Sick Pay (OSP)
Some employers offer more generous sick pay schemes, known as Occupational Sick Pay (OSP). This is separate from SSP and depends on company policy.
How SSP Is Calculated
The government-set weekly ssp rate is £116.75. SSP is paid from the fourth day of sickness, following three unpaid ‘waiting days’. If the employee does not qualify, employers must issue form SSP1 within 7 days: SSP1 Form.
Linked Periods of Sick Leave
Multiple periods of sickness can be 'linked' if they are more than 3 days each and occur within 8 weeks of each other. Employees cannot receive SSP for linked periods exceeding 3 years.
SSP for Employees: What You Need to Do
- Notify Your Employer: Follow your company’s rules for reporting sickness, usually on the first day of illness.
- Understand Payment Duration: SSP can be paid for up to 28 weeks. If sickness extends beyond that, other support like Employment and Support Allowance (ESA) or Universal Credit may be available.
- You will not qualify: If you are receiving Statutory Maternity Pay or you have received the maximum amount of SSP (28 weeks)
OSP, ESA and Universal Credit
- OSP: Your employer might offer additional sick pay on top of SSP—check your employment contract.
- When SSP Runs Out: If SSP ends or you're ineligible, you may apply for ESA or Universal Credit.
- Disputes: If you think you're entitled to SSP but are denied, you can raise the issue with the statutory payment dispute team at HMRC for investigation.
Conclusion
SSP is a vital part of the UK's employee protection system, ensuring financial support during illness. Employers must understand their responsibilities, and employees need to be aware of their rights. With a clear grasp of how SSP works, both parties can navigate sickness absences more smoothly.
Whether you're an employer aiming for compliance or an employee in need of support, understanding SSP helps manage sick leave effectively.
