Statutory Sick Pay (ssp)
Linking Periods of Incapacity for Work (PIWs) Any two PIWs separated by eight weeks (56 days) or less are treated as one.
Waiting Days SSP is not payable for the first three qualifying days in a PIW, which are known as ‘waiting’ days. The only days for which SSP can be paid or count as waiting days are Qualifying Days. They are usually those days on which employees are required, by contract, to be available for work. Other periods may be used subject to agreement between the employer and employees. For example, all 7 days of the week or a 5-day standard working week. Where no qualifying day is specified HMRC will deem it to be a Wednesday. Note: As an emergency measure, in response to the COVID-19 virus the Prime Minister, in an announcement on 4th March 2020, the three waiting days before SSP can be paid will be waived for anyone absent from work as a result of self-isolating in accordance with medical guidance. At the time of writing the Government and the NHS has pledged to bring forward a temporary “fit-note” to provide some measure of evidence to support the claim for self-isolation. COPYRIGHT © 2021 THE CHARTERED INSTITUTE OF PAYROLL PROFESSIONALS Interaction with Paternity and Adoption Pay From 6th April 2003 when Statutory Adoption Pay and Statutory Paternity Pay were introduced, an employee in receipt of SSP must be ‘fit for work’ before either of these payments commence. OSPP, ShPP and SAP is not payable for any week in which SSP is due. Calculation of Average Weekly Earnings Average Weekly Earnings are assessed during the ‘relevant period’, which for weekly paid employees is normally the eight week period up to and including the last pay day before the start of the PIW. To establish the average, earnings in the relevant eight-week period are added together and divided by eight. Where the employee is normally paid monthly, the gross earnings in the relevant period (normally two months pay) are divided by total by the number of months covered by the payments. The result is multiplied by 12 and divided by 52. Where the ‘relevant period, is less than eight weeks (e.g. a new starter), the employee’s normal weekly earnings should be averaged over the period in respect of which they have actually been paid. No printing, copying or reproduction permitted. Where employment is part-time, earnings should be calculated on a pro-rata basis (e.g. employee contracted to work two days a week, works for and receives two weeks and one day’s pay before commencement of sickness, the earnings represent 2½ week’s earnings). This amends previous guidance and was introduced with retrospective effect from 6th April 1999. End of entitlement This usually occurs because the incapacity for work ends and the employee returns to work (or a Fit note (see part 1) has expired). In addition, the employer does not have to pay SSP for any day after the: • employee’s contract of service ends • employee has received 28 weeks SSP in a PIW
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