Representatives of trade union SIPTU have said that they will look to build on the proposals contained in the new Sick Leave Bill 2021.

Tánaiste Leo Varadkar today (Wednesday, June 9) announced details of a new law to give all workers the right to sick pay.

This statutory scheme will be phased in over a four-year period, starting with three days per year in 2022, rising to five days payable in 2023 and seven days payable in 2024.

Providing sick pay is essential

SIPTU manufacturing division organiser Greg Ennis said that a “guarded welcome” is being given to the proposed bill.

“While we are disappointed by some of the terms of this occupational sick pay scheme, including the limit on the number of days to be granted and the phasing proposed, it does deliver on one of the key issues identified by SIPTU and Congress as part of our submissions to the Special Oireachtas Committee on Covid-19 Response,” Ennis said.

“It’s never too late to do the right thing and providing sick pay to all workers is something that is essential both for those directly involved and public health.

“This new payment, which will effectively fill the gap in coverage caused by Illness Benefit waiting days, is a positive move. 

“However, the new scheme is something that SIPTU representatives will look to build upon on behalf of our thousands of members, many in the low-paid food processing sector, who have been left without adequate sick pay provision for far too long.”

Last September, Meat Industry Ireland (MII) reached agreement with SIPTU on a detailed code of practice for meat plant staff safety, due to the number of Covid-19 outbreaks in the industry.

However, MII was “refusing to engage and negotiate” on issues relating to sick pay for workers.

Bill intended to provide minimum level of protection

Ireland is one of the few advanced countries in Europe not to have a mandatory sick pay scheme.

The Tánaiste said that although “about half” of employers do provide sick pay, “we need to make sure that every worker, especially lower paid workers in the private sector, have the security and peace of mind of knowing that if they fall ill and miss work, they won’t lose out on a full day’s pay”.

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

The daily earnings threshold of €110 is based on 2019 mean weekly earnings of €786.33 and equates to an annual salary of €40,889.16.

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

The bill is primarily intended to provide a minimum level of protection to low-paid employees, who may have no entitlement to company sick pay schemes. 

The legislation will expressly state that this does not prevent employers offering better terms or unions negotiating for more through a collective agreement.