'Failing its primary purpose' | Calls made for reforms to 'inadequate' statutory sick pay to aid workers most in need

Statutory sick pay (SSP) is failing to provide enough support for those who most need financial help when ill and should be increased and made more widely available, MPs have warned.

The report from the Work and Pensions Committee says that a modest increase to SSP in line with Statutory Maternity Pay would strike a reasonable balance between providing extra financial support and not placing excessive extra costs on businesses. It also says that all employees should be eligible for SSP, not just those earning above the lower earnings limit.

Rates of sickness absence and ill health have increased in recent years, with a record 185.6 million working days lost to sickness or injury in 2022. During its inquiry, the Committee heard the current system of SSP was an insufficient safety net for those who relied on it, and no use at all to those who were not eligible.

Despite consultations by previous governments, no permanent changes have been forthcoming. While the Committee understands why the Government decided that the Covid-19 pandemic was the wrong time to introduce changes, due to the immediate additional costs on employers, it finds that this argument is now less valid.