In accordance with the Sick Pay Act 2022, sick pay entitlements are set to increase to 5 days within a 12-month period, from the current 3 days, with effect from 1 January 2024.
Employees are entitled to a rate of 70% of their usual daily earnings up to a maximum of €110 a day for certified leave only. Employers should now review their current sick payment scheme to ensure it is in line with the new requirements from 1 Jan 2024. You are advised to review your current scheme, (which must be at least as good as the statutory scheme), apply the new increased entitlements where relevant and update budgets and payroll systems accordingly.
Employers who, to date, have operated a more favourable company sick pay scheme, may need to review this again. Further increases will continue to take effect in the coming years with 7 days planned for 2025 and eventually 10 days in 2026. If you have any queries, please contact jim.curran@ipu.ie.
