4 March 2025The government has announced their intention to make more than a million low paid employees better off by increasing their sick pay entitlement. Among them are many clerks who are on contracts that confer statutory sick pay only.
Currently, staff have the first three days of sickness unpaid and have to earn at least £123 per week to have an entitlement to sick pay. Under the government’s proposals, this will be paid at the rate of 80% of the week’s earnings or £116.75 (the current statutory sick pay rate), whichever is the lower of the two. The £116.75 rate will increase to £118.75 as of this April. The payment will apply from day one of sickness.
This will mean that 1.3 million people on low wages who are sick will now receive either 80% of their average weekly earnings or the statutory sick pay rate, whichever is the lower, from day one of sickness.
‘No one should ever have to choose between their health and earning a living, which is why we are making this landmark change,’ said Work and Pensions Secretary Liz Kendall. The British Chamber of Commerce has also called the 80% rate a ‘fair compromise.’
There is no date for the change to take effect yet, as it will require changes to primary legislation, but this should be presented to the House of Commons soon.
