Business News
Relief for sickness and holidays for SME’s
Sickness and holiday entitlement is commonly one of the trickiest aspects of employment law, and one of the most costly expenditures for any business. For small businesses in particular, the average cost in the last 12 months has come up at an average of £1,500, with 9% of firms forking out £9,000 or more according to recent findings from a survey carried out by the Federation of Small Businesses (FSB).
In light of these findings, the FSB has strongly recommended that a relief be introduced for the small firms carrying these burdens to assist with the high costs incurred through sickness absence in particular. By having a function in replace to have a small employers relief for bills under £45,000 in annual National Insurance Contributions, small firms can truly benefit and have some chance in the ongoing battle of cost with sickness, whilst also relieving some of the administrative burden that comes with it.
John Walker is the FSB’s National Chairman, he commented that, "Small firms act like a tight knit family and value the contribution their staff bring to the business. And research shows that staff in smaller firms are more often committed and loyal.
"But sickness absence is one of the most complex pieces of employment law they have to deal with. It can also be costly with small businesses paying around £1,500 over the past 12 months.
"The Government must provide a small employers relief for statutory sick pay in the same way they do for statutory maternity pay so those small businesses that experience a member of staff on long-term sickness absence, are not hampered and are given the support they need,"
The findings from the independent review are to be published later this year, and with them radical and business changing recommendations for the way the current sickness system is conducted in UK businesses.
