Changes to Statutory Sick Pay (SSP) Might Affect Your Business.
The review of sickness absence in Britain, carried out in 2011, recommended a number of changes that are designed to make it easier for employees on sick leave to get back to work.
Here is a summary of the changes to Statutory Sick Pay (SSP) and how they might affect your business:
Abolition of the Percentage Threshold Scheme
The Statutory Sick Pay Percentage Threshold Scheme (PTS) will be abolished in order to fund a new Health and Work Service (HWS).
When is PTS being abolished?
PTS is being abolished from April 6th 2014.
Can employers still make a claim for SSP reimbursement after 5th April 2014?
Claims for reimbursement of SSP (paid for sickness periods up to 5th April 14) can be made until the close of the 2015/16 tax year.
Do employers still have to keep sickness records?
SSP record-keeping will be abolished but employers will still be required to keep sickness records for PAYE purposes. Employers will also be given the freedom to keep records in a more flexible manner which best suits their organisation.
New Health and Work Service
The new Health and Work Service (HWS) aims to make expert health and work advice readily available to employers, employees and GPs. It is designed to:
- help employees who have been on sickness absence for four weeks to return to work
- support employers to better manage sickness absence
- give GPs access to work-related health support for their patients.
When will the HWS be introduced?
This service will begin being rolled out in the autumn of 2014 and is expected to be fully operational by April 2015.
What happens between the end of PTS and the start of HWS?
Information about managing sickness absence is available from a number of sources including the Advisory, Conciliation and Arbitration Service (ACAS), paid-for occupational health services and more generally, at the Government website, Gov.UK.
How will HWS benefit employers?
The purpose of HWS is to help employers manage sickness better and help employees get back to work quicker. Although employers will be expected to fund treatment, they may be eligible to benefit from tax relief on costs of up to £500 a year per employee.
What is the “Fit for Work Service”?
Find our more about the Fit For Work Service from the Government’s website.
Help and Information
For more information about how Group Risk policies can help, contact our Employee Benefits Team.