Statutory Sick Pay

A phased introduction

Woman blowing her nose and banner with the words Statutory Sick Pay? The Tánaiste and Minister for Enterprise Trade and Employment, Leo Varadkar TD recently announced the Government's plans for the introduction of a statutory sick pay scheme for employees. This will grant sick pay entitlements to all workers who meet the necessary requirements.

What are the details of the proposed scheme?

The scheme is being introduced over a phased basis.

The following benefits will apply over a four year period:

In 2023, 3 days
In 2024, 5 days
In 2025, 7 days
In 2026, 10 days

Rate of sick pay

The rate of sick pay will be 70% of the employee's wage, with a daily limit of €110. This daily limit may be reviewed and changed over time, depending on inflation and other similar factors.

What conditions must be fulfilled?

In order to qualify for sick pay an employee must meet the following two conditions :

Produce an appropriate medical certificate
Have at least six month’s service with their current employer.

Summary

The Tánaiste has stated that “the scheme is designed to be fair and affordable with the minimum complexity and administrative burden for employers."

The Bill to introduce the scheme is due to be published towards the end of 2021. UPDATE: Sick Leave Act 2022 introduced in 2022. Plans to make it effective from January 2023.

Many employers in Ireland already provide paid sick leave. If you are one of those employers, you should review your contracts and conditions of employment to ensure that the contractual sick pay is inclusive of statutory sick pay and that it meets at least the minimum statutory sick pay entitlements.