Sick Leave Changes

Sick Leave Changes.jpg

On 24 July 2021, sick leave entitlement increases from 5 to 10 days. What are the changes, and what does your business need to do to ensure it’s ready for this change?

The changes

  • New employees employed on or after 24 July 2021 will receive 10 days of sick leave after 6 months of continuous employment.

  • Current employees will receive 10 days of sick leave upon reaching their next sick leave entitlement anniversary after 24 July 2021.

  • Unused sick leave remains the same; it can be carried over up to a maximum entitlement of 20 days per annum.

What your business needs to do

There’s a few things you’ll need to do to prepare for this change:

  1. Ensure your payroll systems are ready to calculate this change on the required date.

  2. Review/update your employment agreements, so that any new staff hired on or after 24 July 2021 have the correct sick leave information in their agreement.

  3. Communicate with your people about what the change means for their sick leave entitlements.

Worried about people using all their sick leave?

If sick leave is becoming a problem in your business, it’s important to address this early. There are ways to manage excessive sick leave to ensure your business can operate effectively, and for the wellbeing of your people.

If you have any questions about implementing the sick leave changes correctly, or you want to discuss approaches for managing the overuse of sick leave in your business, please get in touch with one of the team.

This information is general guidance only, and you should not solely rely on this information; specific advice should be sought for your situation.