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Understanding Employee Absences and SSP

⏱️ 30:59 🎤 Louise Trehearn, Diane Greenwood
AUDIO EPISODE
Understanding Employee Absences and SSP
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Chapters

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  • 0:27
    SSP Changes Impact
    The hosts discuss how recent changes to Statutory Sick Pay (SSP), effective April 2026, have negatively impacted small businesses by requiring payment from day one without a lower earnings limit.
  • 3:46
    Understanding New SSP Rules
    Diane explains the key changes to SSP, emphasizing payment from day one, no lower earnings limit, and up to 80% of normal income, causing financial strain and stress for employers.
  • 7:21
    Government's Role in SSP
    Louise highlights the government's shift of sick pay responsibility to employers, initially intended to reduce longer-term sickness but now burdening small businesses.
  • 18:20
    Flaws in Fit Note System
    The hosts delve into employer dissatisfaction with the fit note system, noting issues like easy attainment of notes without face-to-face consultations and lack of actionable advice for return to work.
  • 23:31
    Government's 'Solution'
    Diane expresses frustration over the government's proposed pilot programs to overhaul the fit note system, viewing it as a delayed reaction to problems they created.
  • 27:02
    Unintended Policy Consequences
    The hosts discuss how government policies, like increased national living wage, lead to unintended negative consequences for employers, such as reduced hiring of young people.
  • 38:19
    Upcoming Labor Law Changes
    Louise details new legislation coming in 2027, including reduced unfair dismissal qualifying periods and the right to guaranteed hours, potentially ending zero-hour contracts.
  • 49:16
    Supporting Business Owners
    Diane and Louise discuss how business owners can navigate these changes, emphasizing the need for robust absence policies and quicker decision-making regarding employee performance and attendance.
  • 55:57
    Sustainability of Business Models
    The hosts question whether the core issue lies with government policy or the sustainability of current cleaning business models, suggesting the need for price adjustments or alternative models.

Speakers

L
Louise Trehearn
Host
D
Diane Greenwood
Host

Key Takeaways

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Review your current employee contracts and consider updating them to reflect the new SSP rules and upcoming labor law changes, especially regarding guaranteed hours and probationary periods.

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Develop or refine a clear, enforceable absence policy that includes return-to-work interviews after every sick leave incident to proactively manage employee absences.

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Re-evaluate your pricing strategy to account for increased labor costs due to SSP changes and other upcoming legislation to maintain profit margins.

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Explore alternative business models, such as moving away from traditional employment to self-employed contractors, if the burden of SSP and guaranteed hours becomes unsustainable, but be aware of the legal nuances.

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Invest in HR consultation to ensure compliance with evolving employment laws and to proactively address potential issues like unfair dismissal claims, especially with reduced qualifying periods.

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Prioritize early intervention for employee performance or attendance issues, as the cost of recruitment and the risk of prolonged issues have significantly increased.

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