Legislation has been laid before parliament which will end the COVID-19 Statutory Sick Pay (SSP) rebate scheme on 30 September 2021. Eligible employers must claim their rebates by 31 December 2021.
Since March 2020 as part of a Package of measures to support business during the pandemic, small and medium-sized employers have been able to reclaim statutory sick pay from the government where employees are unable to work because they either have COVID or have to self isolate after contact with someone testing positive for the virus.
This rebate scheme is now due to end on 30 September 2021. Eligible employers must make all claims for periods to 30 September 2021 by 31 December 2021 or face missing out on the rebate.
From 1 October 2021, the pre-COVID rules will apply, and employers will have to cover the cost of SSP for staff who cannot work because they are affected by Coronavirus, with no government support. SSP is currently £96.35 per week for up to 28 weeks.
Since the suspension of the rule which allows employers to avoid paying sick pay for the first three days of illness, implemented at the start of the pandemic, has not been repealed, employers will have to continue to pay SSP from the first day of sickness, putting them in a worse position than before the pandemic.
Useful guides on this topic
COVID-19: Government support tracker
This tracker covers measures announced by the government to support individuals and businesses, as we get through COVID-19.
Statutory pay entitlement: directors and other employees
The rules determining entitlement to statutory pay are different for directors, casual/agency workers and certain other employment types.
The Statutory Sick Pay (Coronavirus) (Funding of Employers’ Liabilities) (Closure) Regulations and the Statutory Sick Pay (Coronavirus) (Funding of Employers’ Liabilities) (Northern Ireland) (Closure) Regulations 2021