Sick Pay To Be Reformed Under the New Employment Rights Bill

In October 2024 the Government revealed new plans to reform the Employment Rights Bill. The government said that this Bill was “The biggest upgrade to workers’ rights in a generation and a significant step towards delivering this government’s plan to make work pay.” With the introduction of a new Employment Rights Bill the government states the rights around sick pay will be “strengthened.” This new Bill supports workers and modernises employment law in Britain to fit the model to today’s work force. The new parameters around sick pay shows the Government’s efforts to become more pro-worker. This Bill is part of the scheme to make work pay and help the economy grow and benefit the communities, workers and businesses.

Although some measures may come into force almost immediately, the Bill is such a big reform for the employment field that it may take up to two years for the changes to be seen within the workplace, it could be 2026 by the time some of the reforms are seen in play for employees. This seems like a slow start, but the Bill must first go through scrutiny and there must be consideration for the fact the government is attempting to modernise the law surrounding employment.

In Article 187 of the Employment Rights Bill the new limitations have been set out for statutory sick pay, these include:

• The waiting period for statutory sick pay has been removed making it available from day one of sickness.
• Statutory sick pay has been extended to those who are earning below the lower earnings limit.

At the moment to earn sick pay employees must have been ill for more than three consecutive days and earn on average at least £123 per week. Those earning less than £123 weekly are classed as earning below the lower earnings limit and only now be entitled to statutory sick pay. The new bill makes sick pay more accessible and proportional to all employees. Statutory sick pay is available for employees up to 28 weeks, this is unless the employer has a sick pay scheme set up.

This new bill will help people in the workplace have better working rights and be able to promote healthier working lives.

Bangor University Legal Advice Clinic can help with employment law issues. If you would like an appointment, please call 01248 388411 or email bulac@bangor.ac.uk.