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.
I hosted a consultative seminar on the feasibility and implications of introducing a scheme of statutory sick pay in February 2012. This seminar was attended by a broad range of key stakeholders and afforded an opportunity to discuss the complex issues involved, including the questions of potential abuse of the system and the potential impacts on employers. A report of that seminar will be published shortly.
As the potential impacts and range of issues to be addressed are complex, further development, refinement and consultation with key stakeholders is needed before any decision could be taken by Government on the possible introduction of a statutory sick pay scheme.