Sickness absence: why getting it right has never mattered more

Thursday 19th March 2026

As we covered last month, various employment law changes are scheduled to take effect next month, with one of the most notable being a substantial alteration in statutory sick pay (SSP) provisions.

By way of recap, there are two primary changes that will be implemented as of 6 April 2026. Firstly, the elimination of the three waiting days before SSP becomes applicable enables entitlement from the very first qualifying day of absence. Secondly, the removal of the Lower Earnings Limit extends SSP eligibility to all workers, including those with casual or irregular hours.

Collectively, these reforms broaden both the range of individuals who may claim SSP and increase the likelihood of claims occurring. Since SSP is a non-recoverable cost for employers, there is increased commercial motivation to implement effective absence management strategies.

What steps can you take to manage absences effectively?

Review your current policies and employment contracts

All references to SSP in employment contracts, employee handbooks, and absence policies should be updated to align with the new SSP framework. Qualifying days and certification requirements should be clearly set out, noting that under the reformed rules any day an employee is expected to work can be a qualifying day.

It is important for employers to make sure their sickness absence policies are working well. Employees need to be clear about what is expected of them when they are off sick, including how to notify the employer, fit note requirements, pay entitlements, and each step of the employer’s process for managing absence. Employers should also review whether the policy has appropriate trigger points for starting formal procedures and if those triggers are reasonable and effective.

Employers should also review occupational sick pay arrangements in contracts or policies for sustainability and consistent application, especially since altering employment terms will be harder after January 2027 due to fire and rehire law changes. Employers should seek advice before making any changes, as modifying such schemes may require staff consultation.

Address employee absences without delay

Effective management of sickness absence requires prompt intervention.

Return-to-work meetings are essential and should be carried out consistently. These discussions provide valuable opportunities to identify any underlying issues, determine the support required by employees, and assess whether recurring patterns or triggers warrant referral to HR. Return-to-work meetings should be regarded as an integral and mandatory aspect of every period of absence, regardless of its duration.

Prompt referrals to Occupational Health or medical professionals are also important, as prompt expert input on adjustments, prognosis, and return-to-work strategies helps businesses plan and support employees’ return efficiently. Clearly defined questions when seeking advice can ensure targeted recommendations, prevent short-term absences from becoming long-term issues, and make absence management more proactive and impactful.

Provide training to managers

Managers are integral to effective absence management, serving as the primary point of contact for employees and overseeing return-to-work discussions.

Providing training with case studies and policy discussions helps managers identify issues, understand the importance of conducting regular check-ins and making reasonable adjustments, and knowing when to involve HR. This supports effective absence management and benefits both the business and employees.

Comment

Employers are responsible for absorbing the costs associated with these reforms, underscoring the importance of robust absence management practices. By efficiently updating procedures and equipping managers with appropriate resources and support, organisations can more effectively navigate the impact of these changes.