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Business groups have issued a stark warning that proposals to change Statutory
Sick Pay (SSP) legislation will increase the level of sickness absence and raise
costs for small businesses.
At the moment, businesses are not required to pay SSP until the fourth
consecutive day of an employee’s absence but under proposals in the Government’s
Welfare Reform Green Paper, they would have to pay SSP from the first day an
employee is absent.
David Frost, Director General at the British Chambers of Commerce, explained:
“Giving all employees the right to SSP from day one would create a perverse
incentive for individuals to take occasional sick days, which cause serious
disruption for small firms.”
Nick Goulding, Chief Executive at the Forum of Private Business’ added to the
criticism, stating: “The plans would be defeating the Government’s object of
simplifying absence management for businesses.
“This change would not only see an increase in costs, but could give the green
light for more unauthorised absences by employees.
"At a time when smaller businesses are already overburdened by regulations and
uncertain of their rights, introducing another change merely adds to the
confusion.”
Source:
RedAlert
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