A coalition of charitable organizations and health experts is advocating for a complete overhaul of the sick pay system in the UK. They argue that the current system is flawed and must be improved to address growing health disparities and benefit the economy. Recent figures released by the Office for National Statistics reveal that a record 2.5 million individuals in the UK are unable to work due to long-term illnesses, a substantial increase of 400,000 since the beginning of the Covid-19 pandemic.
In a letter addressed to Health Secretary Steve Barclay, organized by the Safe Sick Pay campaign, the group emphasizes the need for a healthy workforce that receives adequate support during periods of illness. They assert that without such support, the government’s recent “back to work” budget objectives will be difficult to achieve. The letter stresses that the UK’s sick pay system falls behind European standards and includes signatures from prominent figures such as the CEOs of Mind and the Centre for Mental Health, as well as renowned health expert Prof Jim McManus.
To align with international norms, the coalition calls for several changes, including the elimination of the earnings threshold for statutory sick pay (SSP), the payment of SSP from the first day of illness, and an increase in SSP that corresponds to a worker’s wages, up to the level of the “real living wage.” This issue is particularly relevant for lower- and some middle-income workers who currently have access to insufficient sick pay, with an estimated 8 million individuals receiving less than a subsistence-level amount during their sickness.
The letter emphasizes that the existing system encourages workers to either leave their jobs or return to work before fully recovering from their illnesses. This situation adds strain to individuals coping with their illnesses and exacerbates mental health problems, potentially leading to a mental health crisis and widening health inequalities. The coalition also highlights the approximately 2 million individuals, such as cleaners, carers, and parents with multiple jobs or childcare responsibilities, who do not receive any sick pay.
There is rare cross-party support in parliament for reforming the sick pay system. Jonathan Gullis, a backbench Conservative MP, used prime minister’s questions to advocate for these reforms, garnering support from businesses. The Labour Party is also discussing proposals for change. Gullis plans to meet with Chancellor Jeremy Hunt to push for sick pay reform in the upcoming autumn statement, along with fellow Conservative MPs Priti Patel and Robert Buckland.
Campaigners hope to see commitments to sick pay reform in the Labour Party manifesto, as Keir Starmer spoke at the GMB union’s annual conference about the need for “statutory sick pay for all.” He highlighted the inequity faced by carers who had to self-isolate during the Covid-19 crisis, facing financial burdens without sick pay.
The Safe Sick Pay campaign refers to research suggesting that improved access to paid sick leave can enhance employee retention. One study focusing on cancer patients found that employees with paid sick leave were three times more likely to return to work. Charities such as Young Lives vs Cancer have joined the campaign due to the disproportionate impact of current SSP arrangements on cancer patients. They emphasize the difficulties faced by young people and parents in accessing SSP, which can be attributed to contract terms, job types, or insecure and part-time work.
The Department of Health and Social Care, as well as the Department for Work and Pensions, have been approached for comment on these proposed changes to the sick pay system.
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