Statutory Sick Pay Advice

Louise Mitchell, Director of Precise Payroll providesthe remaining 33 weeks SMP is paid at the lower of
information and advice in relation to statutory pay.either the standard rate (£108.85) or a rate which is
If you would like advice, then please write in whereequal to 90% of the employee's average weekly
you questions will be answered by Louise Mitchellearnings.
Q I run a small company. One of my employees isQ One of my employees is currently receiving
currently off sick and it looks likely that he will be offStatutory Sick Pay (SSP) - can I reclaim this and if so
for some time. Do I have to pay him his normalhow and who from?
salary whilst he is off ill?A It is possible for you to reclaim this through your
A No. If he qualifies for Statutory Sick Pay (SSP), hemonthly PAYE, however, only in the following
will be entitled to £70.05 per week. If, on average,circumstance: If you multiply the total gross NIC
he earns less than £84.00 per week, he does notfigure (add the gross employer and employee NIC
qualify for SSP. If this is indeed the case, you mustfor all employees paid within the specified PAYE
provide them with an SSP1 form detailing this so thatperiod) by 13% and this figure is less than the SSP
they can take this to the DSS to claim assistance. Infigure paid, you can reclaim the difference.
order to receive SSP, the employee would have toQ One of my newest employees, she has been with
be absent for four or more days. For example, if theus for just over six months, has just told me that
employee is off for two weeks (Monday - Friday),she is in the process of adopting a child. Can you
they would receive their normal pay for the firstadvise me whether she should be paid Statutory
three days, and thereafter receive SSP for theAdoption Pay (SAP)?
additional seven days. However, for any absenceA Your employee will be eligible for SAP if she meets
longer than a week, they are required to providethe following conditions:
medical evidence.* She has been matched with a child for adoption by
Q One of my employees is due to have a baby inan adoption agency?
April 2007. I think I remember reading that the period* She has been in your employ without a break for
that Statutory Maternity Pay (SMP) is paid for is dueat least 26 weeks up to and including the week the
to increase - is that correct?adoption agency told her that she has been matched
A For babies born after 1 April 2007 SMP should bewith a child for adoption
paid for a continuous period of up to 39 weeks.* She earns enough on average to be relevant for NI
Q How do I work out an employee's SMP?purposes.
A You should review the employee's gross earningsIf an employee's gross weekly earnings are £84.00
in a set period - this is usually the eight week periodor more then she should receive Statutory Adoption
up to and including the 15th week before their duePay at £108.85 or 90% of her average gross
date.weekly earnings if this is less than £108.85 for 26
For the first 6 weeks SMP should be paid at 90% ofweeks.
the employee's average weekly earnings. Whilst for