Charities call on ministers to raise statutory sick pay


A group campaigners wrote to the government to urge ministers to raise the rate of sick pay.

The letter coincides the second reading Employment Rights Bill which gives workers the right to SSP on the first day they become ill, not the fourth.

The letter was written by a number of charities, including Macmillan Cancer Support and Mind.

The SSP is currently fixed at 116 PS per week, and is tied to inflation. Campaigners claim that the SSP pushes vulnerable workers to poverty.

The letter reads: “Hundreds and thousands of workers who are diagnosed each year with cancer, infectious diseases, mental health issues or serious injuries still lack adequate financial assistance to pay for essential bills such as food, rent, and heating.”

There is a large body of evidence from medical and academic sources, as well as leading UK think-tanks and charities that the current SSP is harmful to workers and self-defeating both for employers and government.

This situation could impede the government’s noble mission to boost the NHS and grow the economy.

The letter is a reiteration of the research findings published by WPI Economics. They argue that raising the rate can reduce absence rates.

Matthew Oakley, the author of this article, concluded that an increase in sick pay would create PS4.1 billion worth of benefits for the economy. This is because there would be fewer long absences and fewer workers who would switch to out-of-work benefit.

Rachel Kirby Rider, CEO of Young Lives vs Cancer, said that when a young person gets a cancer diagnosis, it disrupts their entire life. Many young people have to quit their jobs to receive the necessary treatment. The treatment itself and its side-effects can cause them to be off of work for long periods.

But while their income stops, the bills continue. According to our research, young people with cancer spend an average of PS700 extra per month to cover essentials such as hospital travel, food and parking fees, as well as rising heating bills.

The last thing a young cancer patient should worry about is whether or not they’ll get the sick pay that they deserve.

We believe that all young cancer patients should be able to access a system of safe sick pay, which provides them with enough financial support to stay or return to work if this is what they choose.

The Resolution Foundation, a think tank, has described the UK’s sick-pay system as “one of the stingiest in the OECD”. It points out that someone earning the national living wage full-time would see their earnings reduced by 73% if they missed a week’s work and were dependent on SSP.

Today, the House of Commons will be holding its second reading of the Employment Rights Bill. The bill was first introduced in parliament on 10th October.

The TUC called on members of parliament to vote for the bill and “be on history’s right side”.

Paul Nowak, general secretary of the union, said: “It is time to move on from the low-productivity, low-pay and low-rights economy that has dominated the last 14-year period.”

“Improving employment standards is both good for employees and for businesses.” This will give people more control over their work lives and allow them to predict what they can expect.

Consultation

Today, the government launched a Consultation to determine the appropriate percentage of sick pay for those who earn less than the current SSP rate.

The Employment Rights Bill proposes that SSP payments be set as a “prescribed percentage” of an employee’s normal earnings if their weekly earnings are lower than the SSP flat rate (currently PS116.75).

The consultation provides a range of examples to illustrate the potential impact of different rates for employers and employees. The consultation is open until the 4th of December.

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