Employers cut sick pay for unvaccinated employees

Holly Navarro Holly Navarro 18 January 2022

Two major UK employers, Ikea and Wessex Water, have implemented cuts to sick pay for unvaccinated staff without a valid medical reason who are forced to self-isolate due to exposure to coronavirus.

This tougher approach comes amid the current crisis caused by Omicron which has seen many firms, particularly those which are service-led and reliant on staff being in stores and warehouses, struggle with mass staff absences and rising costs.

Holly Navarro, trainee solicitor at Wake Smith looks at the potential legal implications for these policies?

There are two types of sick pay:

a) Statutory sick pay (SSP); and

b) Contractual sick pay.

SSP is governed by legislation and enables eligible employees who are absent from work due to incapacity to receive a weekly SSP payment.

In contrast, contractual sick pay is a discretionary payment typically contained in the employment contract and usually allows the individual to receive full pay.

It is the latter which some employers are removing for unvaccinated staff who are isolating due to Covid exposure and who are not medically exempt.

This means that the affected individuals will receive £96.35 per week (the current rate of SPP) rather than any enhanced sick pay which their vaccinated colleagues or those with a valid medical reason would receive.

It is worth noting that this policy doesn’t apply to unvaccinated staff who are isolating due to having symptoms or having tested positive for coronavirus. In these circumstances, they will still be entitled to contractual sick pay.

This move from Ikea and Wessex Water is the latest from a long series of varying attempts by companies to encourage their workforce to get vaccinated.

Many employers, such as Asda and Santander, are offering employees paid time off for vaccinations and last autumn United Airlines offered their staff an extra day of pay if they could prove their full vaccination status before 20 September 2021.

In contrast, Morrisons announced last October that any unvaccinated employee who has to isolate due to being a close contact of a Covid case will no longer be entitled to sick pay benefits.

Introducing a specific policy for unvaccinated members of staff is not without risk as employers may expose themselves to claims of discrimination.

Individuals who refuse to have the vaccine may be protected by the Equality Act 2010 on the basis of their religion, philosophical beliefs, disability or pregnancy.

To avoid legal risks, employers should always consider whether their actions are a proportionate means of achieving a legitimate aim, namely encouraging employees back into the workplace.

Human rights under the European Convention on Human Rights (which is unaffected by Brexit) may also be engaged with individuals arguing that their right to a private life or their right to freedom of thought, conscience and religion is infringed by this policy.

There is the additional risk that unvaccinated individuals will be reluctant to test themselves or even self-isolate when they should given the financial implications of only receiving SSP.

Employers need to bear in mind that, as with any other contract, they cannot unilaterally change the terms and conditions of employees’ existing employment contracts unless they can rely on an express term within. Otherwise, they will have to explore other ways to implement the change including seeking express agreement from the affected employees.

Since 11 November 2021, it has been a legal requirement for anyone who works or volunteers in care homes to be fully vaccinated unless exempt. Similar compulsory rules for frontline NHS staff are due to come into force in April of this year too.

Whilst these policies can be justified as being a proportionate mean of achieving a legitimate aim (making care homes and NHS venues as safe as possible for staff and the people they care for) the lawfulness of the policies introduced by the likes of Ikea, Wessex Water and Morrisons remains unclear.

Tags

Archive

April 20241March 20247February 20242January 20248December 20236November 20232October 20235September 20232August 20234July 20232June 20235May 20238March 20234February 20235January 20233December 20225November 20224October 20224September 20223August 20221June 20221May 20227April 20223March 20223February 20223January 20224December 20214November 20213October 20215September 20216August 20212July 202111June 20218May 20216April 20212March 20218February 20218January 20219December 20208November 202013October 20209September 20208August 20203July 20208June 202016May 202013April 20209March 202016February 20209January 202011December 20199November 20199October 201911September 20195August 20194July 20196May 20198April 20196March 20193February 20195January 20194December 20186November 20185October 20182September 20185August 20184July 20189June 20184May 201810April 20185March 20184February 20184January 20183December 20175November 20178October 20177September 20179August 20175July 20176June 201710May 20176April 20178March 201711February 20176January 201712December 20169November 20167October 201610September 201610August 20166July 20167June 20163May 20162April 20166March 20162February 20164January 20165December 20153November 20155October 20156September 20156August 20157July 20157June 20157May 20156April 20159March 20156February 201510January 20156December 20145November 20144October 20142September 20143May 20144March 20146February 20144January 20142December 20132November 20133September 20134July 20132June 20132May 20133April 20131March 20133February 20133January 20136December 20121November 20123October 20122August 20122July 20128June 20123April 20123March 20121January 20124December 20112November 20111October 20112September 20113August 20113July 20117June 20119May 20117April 20115March 20119February 20118January 20111December 20101October 20102September 20102August 20103July 20106June 20101May 20102April 20106March 20102February 20103January 20102December 20095November 20092October 20092September 20092August 20091July 20095June 20095May 20093April 20093March 20093February 20091January 20092November 20082October 20082September 20081August 20083July 20081January 20082

Featured Articles

Contact us