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Sick Pay

New sick pay law to guarantee all workers three days paid sick leave once commenced

This is the first time Ireland has had a statutory sick pay scheme.

THE NEW SICK pay scheme that will guarantee workers paid leave once commenced has passed all Stages of the Oireachtas today.

All workers will be entitled to 10 days paid leave by 2026 onwards under the new scheme. 

The new scheme will start with three days paid sick leave per year, rising to five days in year two, seven days in year three, and employers will eventually cover the cost of ten days in year four.

This is the first time Ireland has had a statutory sick pay scheme.

Sick pay will be paid by employers at a rate of 70% of an employee’s wage, subject to a daily maximum of €110.

It can be revised over time by ministerial order in line with inflation and changing incomes.

An employee must obtain a medical certificate to avail of statutory sick pay, and the entitlement is subject to the employee having worked for their employer for a minimum of 13 weeks.

Once entitlement to sick pay from their employer ends, employees who need to take more time off may qualify for illness benefit from the Department of Social Protection subject to PRSI contributions.

Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar said today that this is a “really important new employment right, that all workers will now have, no matter what their illness or job”.

“Many employers pay sick pay, but the pandemic really highlighted the vulnerability of some workers, especially in the private sector and those on low pay. We’ve also been behind our European counterparts on this, with Ireland being one of the few advanced countries without such a scheme,” he added. 

He said no worker should feel pressurised to come into work when they are unwell.

“It’s not good for their own health obviously, but it’s also bad for their colleagues, any customers they deal with and their employer. From later this year, all workers will have the safety net of knowing they will not lose out on payment if they are unwell and can’t come into work,” he said. 

Varadkar added that he has been very conscious of the impact this new law will have on employers.

He said the most important workers’ right is the right to work, adding that he knows how difficult and disruptive the past couple of years have been on business owners and employers.

“That’s why we’re phasing it in as we are and I think we’ve designed it in such a way that is fair and affordable for enterprise,” he said.

Sinn Fein and Labour acknowledged that today is a good day for workers and for the first time there is a statutory sick pay scheme. 

Minister of State State for Business, Employment and Retail Damien English thanked opposition members for their cooperation in passing of the legislation through both Houses of the Oireachtas. 

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