The Work and Pensions Committee will examine the
effectiveness of Statutory Sick Pay (SSP) and how it might be
reformed to better support the recovery and return to work of
people who claim it.
The inquiry will look at whether the current level of SSP is
sufficient and whether changes should be made to eligibility
criteria in terms of earnings and length of sickness absence. It
will also explore the best way for the Government to support
businesses to help staff return to work and what lessons the UK
might learn from the experiences of other countries.
SSP is the basic minimum statutory payment an employee is
entitled to for periods where they are unable to work because of
illness. A person is eligible for SSP from the fourth day they
are off sick. They must be classed as an employee and earn an
average of at least £123 per week (the lower earnings limit).
The Government published a consultation in 2019 on proposals to
reduce ill health-related job loss, including several ideas for
reforming SPP. In 2021 however the Government reported that the
questions needed further consideration and the pandemic was not
the right time to introduce changes to the sick pay system.
Rt Hon Sir MP, Chair of the Work and
Pensions Committee, said:
“For many years those in Parliament and beyond have been vocal in
questioning whether statutory sick pay has been working as well
as it should, amid concerns that it lacks flexibility, is too low
and that some people who need it are missing out altogether.
Our inquiry will look to identify improvements to ensure that SSP
both provides effective support during times of need and helps
people return to work. We also want to consider the role of
employers in the system.”
Terms of reference
Terms of reference are available here. The Committee welcomes
submissions by Friday 8 December.
