The question of introducing a scheme of statutory sick pay, whereby employers would directly meet the costs of sick absence for an initial period of illness, is being considered in the context of the need to reform the social welfare system to bring it into line with practices in other countries in this area; the need to address the deficit in the social insurance fund; the need to limit progression from short-term illness to long-term illness or disability; and in the wider context of enhancing the health of the workforce and addressing levels of absenteeism.
Before any decision could be taken by Government on the possible introduction of a statutory sick pay scheme, a range of complex issues need to be examined in detail. These include the extent of coverage; the duration of payment; the rate of payment; and how to ensure that a scheme of statutory sick pay would be enforced and policed.
I hosted a consultative seminar on the feasibility and implications of introducing a scheme of statutory sick pay on 20th February 2012. This seminar was attended by a broad range of key stakeholders and afforded an initial opportunity to discuss the complex issues involved. The report of that seminar will be published shortly and will provide the basis for more detailed consultations with a range of key stakeholders.