How do your organisation's sick pay arrangements compare?

The public sector is typically more generous than the private sector when it comes to occupational sick pay schemes, according to latest HR & Compliance Centre Benchmarking research.

XpertHR's 2010 benchmarking survey of employers' sick pay arrangements is based on data from 160 organisations with a combined workforce of 356,000.

Subscribers to HR & Compliance Centre Benchmarking can drill down into the complete benchmarking data from the survey.

Across the whole economy, a majority of employers have occupational or company schemes providing payments more generous than statutory sick pay (SSP), which is currently set £79.15 per week:

• Just 6.9% of organisations do not pay above SSP when employees are absent from work due to ill health.
• Public sector employers are particularly likely to go beyond the statutory minimum. This is the case at 97% of public sector respondents, compared with 95% of manufacturers and 92% of service sector organisations.
• Sick pay entitlement commonly increases with service, with overall provision generally better in the public sector.

Other key findings of the HR & Compliance Centre Benchmarking survey of sick pay arrangements include:

• Across the whole economy, almost three-quarters of employers operate a single sick pay scheme covering all employees. Slightly more than one-fifth run two separate schemes.
• The most common definition of "pay" in occupational sick pay schemes is to provide full pay including SSP. This arrangement is used by 61.7% of employers across the whole economy, rising sharply to 92.6% among those in the public sector.
• Employees are most commonly required to notify the employer of sickness absence either within a set time on the first day of non-attendance or before their normal start time.
• With regard to providing evidence of sickness, a majority of employers follow the rules governing SSP.
• If a worker fails to comply with requirements, three-fifths of employers leave it to managerial discretion as to whether or not that day's pay should be docked.
• Employers are broadly accepting of fit notes, which were introduced in April 2010. But many employers express concerns that doctors are not completing fit notes correctly, or are making unhelpful recommendations.

You can also access detailed write-ups of the survey findings here.

Michael Carty, benchmarking editor

Email me

Follow me on Twitter