Dáil Éireann Debate, Wednesday - 23 June 2021
52. Deputy Niall Collins asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on a matter concerning the proposed sick pay scheme (details supplied); and if he will make a statement on the matter. [33814/21]
Amharc ar fhreagraThe Government is committed to introducing a statutory sick pay scheme and work is well underway in this regard. Ireland is currently an outlier among its peer nations in not providing for any statutory employer sick pay and is one of only three EU member states that does not do so. Any move to introduce a statutory sick pay scheme must be balanced with the need to support the viability of the business and enterprise sector, thereby protecting jobs. Therefore, appropriate examination of all implications and consultation with stakeholders is essential to the development of the scheme. We don’t want to jeopardise jobs by placing a cost and/or admin burden on business without working through all of the implications and potential solutions. That is why we undertook a full public consultation, reviewed international best practice, and formed an interdepartmental group – to ensure that all views and issues were properly considered in the development of the scheme. Research in this area has shown that where companies have a sick pay scheme in place it leads to safer workplace environments and reduces presenteeism. The scheme will be designed to take an incremental approach with enhancements coming over a number of years. This is to give employers, particularly employers who may have had to close or been negatively impacted due to Covid-19 restrictions, an opportunity to adjust to costs and the administrative burden of the scheme. However, in line with statutory sick pay schemes throughout the European Union, the intention of the scheme is that employers will cover the cost of an initial period where one of their employees is unable to work due to illness or injury.
The rate of 70% of an employee's wage, subject to a daily threshold of €110, is designed to ensure that employees receive an appropriate level of financial compensation if they are unable to attend work due to illness. It is higher than the equivalent rate in Northern Ireland, which, in my view is inadequate.
It is my intention that the scheme will be in place for 2022.
