Business

New Rules on Statutory Sick Pay (SSP) for Employers – What You Need to Know

Changes to Statutory Sick Pay (SSP) are on the way, and they could have a big impact on employers. 

Here’s what’s changing: 

 

📌 Current SSP Rules 

Right now, employees must be off work for more than 3 working days before they qualify for SSP. This means the first three days are unpaid. 

Currently, SSP is set at £116.75 per week for up to 28 weeks. 

 

🔹 What’s Changing? 

1. No More Waiting Days 

  • SSP will be payable from day one of sickness absence, instead of after three unpaid days. 

2. New Payment Structure 

  • Employees will receive 80% of their salary, or £123 per week, whichever is lower. 

 

🤔 The Employer’s Perspective 

A common misconception is that SSP is covered by the government—but this hasn’t been the case for years. Employers foot the bill, and these changes could mean higher costs for small businesses. 

Like all new legislation, there are pros and cons: 

Pros: 

  • Provides more financial support for employees when they’re ill 
  • Reduces stress about taking time off, as workers won’t go unpaid 

Cons: 

  • Higher costs for employers—especially those with small teams 
  • Could lead to more sick days, as there’s less financial deterrent 
  • Additional costs may need to be passed on to customers to maintain profitability 

 

What Does This Mean for Your Business? 

With rising payroll costs, including higher minimum wage and employer National Insurance contributions, this is yet another financial pressure on business owners. 

If you’re not already planning ahead for these changes, now’s the time to review your budgets. 

If you need help assessing the impact on your payroll costs and planning for upcoming changes, get in touch. 

📩 We’re here to help you stay compliant while keeping your business profitable. 

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