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The UK government has announced a significant change that will impact over one million low-paid workers in the country. Under the new plans, these workers will be entitled to receive 80% of their weekly salary as sick pay from the first day of illness. Currently, UK workers earning less than £123 a week do not receive any statutory sick pay.
Liz Kendall, the Secretary of State for Work and Pensions, highlighted the importance of this change by stating, “No one should ever have to choose between their health and earning a living.” Unions have welcomed this decision but have called for an increase in the rate of sick pay for low-income workers in the future.
While the government believes that the new sick pay rate strikes a balance between benefits for workers and fairness for businesses, some groups are advocating for sick pay to be set at no less than 95% of weekly pay for the lowest earners. TUC general secretary Paul Nowak emphasized the need for a wider review of the statutory sick pay rate in the future.
The changes to sick pay are part of updates to the Employment Rights Bill, which is expected to be announced soon. These changes aim to keep more people off benefits and improve living standards. However, there has been criticism from businesses about the planned increase in employment rights, as well as the rise in minimum wage and employers’ National Insurance, which some fear will negatively impact growth and employment. Additionally, the government’s decision not to include the “right to switch off” for workers in the bill has sparked controversy, with concerns raised about potential business compliance costs
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