Statutory maternity, paternity and sick pay increases.

With the new tax year comes changes, from today the standard rate of statutory maternity, paternity and adoption pay increases and from next week statutory sick will increase too.

It is important to note that despite the Agency Workers Regulations temporary agency workers will not be impacted by the increases. Our Legal Director, Joe Tully explains that the directive does not give temporary workers full employment rights.

“This is one of the big misunderstandings amongst FDs, these temporary agency workers will still be classed as temporary. They cannot request flexible working, redundancy, occupational sick pay, occupational maternity/paternity pay, and they do not have entitlement to pensions.”

Pay rates will increase as follows:

• Statutory maternity, paternity and adoption pay: £128.73 to £135.45 per week
• Statutory sick pay: £81.60 to £85.85 per week

Long term absence leads to low morale…

The long term absence of employees may lead their colleagues to lack motivation, according to a recent survey.

Aviva UK Health recently conducted a survey of 1000 British employees that suggested 22% feel overworked when they have to compensate for a colleagues absence.

10% of employees were anxious that the company could go out of business if their colleague left on long term sickness.

10% also worried that the problem causing their long term absence would return. Their prime concern was that they would not survive financially if they were on long term sick leave.

These figures clearly highlight that long term absence has a negative effect upon the workforce, not just for the absentee but also their colleagues. Steve Bridger, head of Group risk at Aviva, commented that employees must have the right protection in place to reduce the stress of such a situation.

If the appropriate legislation is not implemented then the experience of long term sickness could be both financially and emotionally draining.