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EMPLOYERS AND UNIONS will be consulted on sick pay reform in Ireland, following a discussion at Cabinet today.
Government has committed to report back within six months on a Labour Party proposal that would ensure workers who fall sick continue to get paid for up to six weeks.
Across the EU, 22 countries already have a statutory right to sick pay, as does the UK. Ireland is one of only five EU members that doesn’t recognise it as a right.
NPHET and the acting Chief Medical Officer have already identified the lack of an entitlement to sick pay in Ireland as a potential barrier in preventing the spread of Covid-19 in workplaces and in different sectors, particularly those where staff tend to be on low levels of pay.
“We have already seen outbreaks in meat processing plants, mushroom plants and nursing homes,” said Labour Senator Ivana Bacik.
A government spokesperson said the Tánaiste Leo Varadkar “believes this should change”, stating that Ireland is rather unusual in comparison to our European counterparts.
The decision to delay a decision on Labour’s sick pay proposals by at least six months, will give the government time to examine the impacts and cost such a measure would have on businesses, particularly small and medium businesses, stated the spokesperson.
Since March of this year, workers certified as diagnosed or suspected of having Covid or who are awaiting test results and told to self isolate, are entitled to the Enhanced Illness Benefit of €350 per week.
Both employees and self-employed people can qualify for the benefit.
Workers who live in direct provision who have been diagnosed with Covid-19, or who have been advised to self-isolate, can access the payment.
Over the six months, it is understood the government will consult with stakeholders and draw up options that could be rolled out.
Labour’s spokesperson on Employment Affairs Senator Marie Sherlock said the lack of statutory sick leave is a fundamental weakness in our fight against the pandemic.
“We can’t wait six months for a public consultation when a second wave is underway. We are more likely to see a vaccine delivered sooner than a government proposal on sick pay after a public consultation.
“Ensuring sick pay for all is not just a vital question of worker’s rights; it is the essential missing piece in our strategy against Covid-19. At any other time, we would have an obligation to ensure every worker has a right to paid sick leave. But during a pandemic, we have a special duty to guarantee sick pay as soon as possible in the name of public health,” she said.
If the Government insists we wait six months more to address the problem, it will seriously undermine the chance of safe and fair recovery, she said.
Private sector workers are entirely dependent on the benevolence of their employer to pay them when they are ill, said Sherlock.
She said only a minority currently choose to do so and the worst affected tend to be on lower income and in certain essential sectors.
“We shouldn’t make the mistake of viewing paid sick leave as an extravagance, especially when we are fighting to overcome a pandemic.
The debate about the impact of the lack of sick pay provision has centred on meat plants in the last number of months.
AA Euro Group, who provides agency staff to meat factories, confirmed on RTÉ’s Prime Time that it does not pay sick pay. AA Euro Group’s Pat McCarthy said it was a legislative issue and if every factory had to pay sick pay, it would follow suit.
Junior Minister in the Department of Agriculture, the Green Party’s Pippa Hackett, has also called for workers in the sector to be given greater access to sick pay.
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Ireland is consistently an outlier in the EU for social issues. The most expensive 3rd level fees in the EU, the biggest class sizes, a two tier health system and the most expensive childcare in the EU. Great country for American Multinationals and Vulture funds but not up to scratch for raising families.
Problem is that long term if sick pay is automatically paid from day one uncertified certain people will abuse it. Then ultimately employers will have to build it into their costs and that will higher prices for goods and services for everyone. Otherwise you would need to have system that sick pay only kicks in after three days on receipt of a doctors note. Problem is that this is not much good if we are trying to encourage people to stay away from work if they are showing COVID symptoms.
@Michael Hanley: some people will abuse it yes, but fairly easy to weed them out with limits on uncertified days and other measures. If goods (in the case meat) become a bit more expensive so be it. I’d rather my steak cost another euro and workers be looked after.
@Aidan O’ Neill: good for you Aidan, it’s not just meat though. The price of everything will go up.
Why should an employer pay sick leave. Isn’t that what PRSI is for. What about SME employers who cant afford it.
@DeWitt: The problem is that in Ireland the employer contribution to PRSI is a much smaller percentage of the employees wages than other countries. I believe it may be as little as 25% of what employers contribute in other EU member states.
@Gerry Ryan deG: This has been flagged as a form of State Aid but as we see it’s also a method by which the burden of funding PRSI is put on the shoulders of workers
@Gerry Ryan deG: interesting point on state aid. Never heard it before.
@Gerry Ryan deG: impossible. Are u saying that in Germany France England all pay 48% on top as Ireland rate is 12%.
@john s: I was thinking the same thing. ER rates in Ireland for private sector are between 8.5 – 11.5% I think, depending on employee gross earnings. I think the UK may be 13% or something above a certain earnings threshold but can’t quite remember.
@Gerry Ryan deG: So how does it work for public servants?
@DeWitt: that was the Way until Joan Burton got rid of it.
Finally. For a developed 1st world country, Ireland is only one of 5 countries in the EU that doesn’t recognise Sick Pay.
Employees can in fact get sick within the space of a whole year, whether physically or mentally, and corporatist Ireland should’ve made sure that employers recognised this a long time ago.
At present, staff have to rely on “kindness” or “philanthropy” of their employer to give them basic Sick Pay.
Most other EU countries allows for 52 weeks of Sick Pay. Because people get sick. Corporate Ireland abused these basic workers’ rights.
@Dean: over 90% of companies in Ireland employee less than 10 people. Not sure they could sustain paying sick pay to employees. A lot of large enterprises have company sick pay schemes.
A lot of international companies use Outsourcing Companies, just so they don’t have to pay for Sick Pay, and all other benefits.
As for other smaller businesses not providing Sick Pay, in a developed country, that’s just an excuse to continue the abuse of workers.
I love how Varadkar believes this should change. He was only in Government for about a decade already.
I had a bad fall 4 weeks ago and was left with stitches across my eye and nose.I was signed off work for a week because I could not wear a face mask due to injuries .Never mind the fact my face was totally smashed up. I have been a hairdresser for 20 years and these are the only days bar funerals I have missed in those years.I was not paid a single penny from employers or the state for any of these days. The hairdressing industry has never paid any kind of sick pay or any other benefits like maternity pay etc that are covered in the public sector or other private sectors. It’s an absolute disgrace. Apparently Unions don’t even represent our sector because there isn’t enough of us. They did state I could still sign up for a monthly fee though. New Laws are needed.
@Cathy Bishop Aston: it was FG and Labour created that situation, remember it the next time you vote.
In 10 years time we’ll be reading the same article.
The Government and Employers don’t even want to give the workers an extra Bank Holiday.
Ah public sector trying to get private sector to pay for everything again. Here is a fact. Increase cost on employers there prices will go up and consumer will pay.
Good to see Labour getting back to representing ordinary people’s interests. We need to take on those vested interests who think sick pay doesn’t apply to workers across the country.
I work for a family run company which has a turnover of approx €30 million/ per year. There are quite a few businesses which are part of the company. Only head office has a sick pay scheme and that’s only since an employee with a young family got seriously ill some years ago.
The part of the company where I work has no sick pay and you are expected to take holidays if you are sick.
Years ago, before the present company took over, and before my time, there was a sick pay scheme which was abused by a former employee, who, after being paid on a Thursday, went on a binge and called in sick on Fridays!
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