Millions of workers throughout the UK are poised to gain from a raft of major changes to employment rights. Amongst the most notable updates are three crucial changes to Statutory Sick Pay rules impacting those absent from work due to ill health.
From April 6, both the lower earnings threshold and the three-day waiting period for Statutory Sick Pay will be removed. Government estimates indicate these two chnages alone will support millions of employees and add an extra £400million each year into sick pay provision.
Removal of the three day waiting period
Under the previous system, staff could only start claiming Statutory Sick Pay following their third full day off work, meaning the first three days of sickness could go unpaid.
Moreover, those absent for three days or less received no Statutory Sick Pay entitlement at all. With the new arrangements, workers will be eligible for Statutory Sick Pay from their first full day of absence.
Scrapping of the lower earnings threshold
Under the old rules, workers required average weekly earnings at or above the Lower Earnings Limit, which was set at £125 per week for the 2025/2026 tax year.
The Government estimated this eligibility criterion prevented roughly 1.3 million employees from receiving Statutory Sick Pay, including those on low incomes and part-time workers.
Different payment rates
Statutory Sick Pay will now be paid at the lower of two rates:
For those receiving Statutory Sick Pay for the first time following the scrapping of the lower earnings limit, the majority will be entitled to 80% of their average weekly wages.
Earlier this week, Minister for Employment, Dame Diana Johnson, commented: “No one should ever have to choose between their health and earning a living.
“For too long, sick employees have had to make the impossible decision between losing out on a day’s pay or returning to work while ill.
“Today’s landmark changes will support employees to recover while providing businesses with the peace of mind that their workforce can return to work healthier and more productive.”
The Government expects these reforms to discourage employees from feeling pressured to attend work while unwell, consequently limiting the transmission of sickness within the workplace.
Special ‘transitional’ rules will be introduced to protect workers who commenced their sick leave before the updated regulations take effect on April 6, 2026.