Analysing the COVID-19 SSP Rebate Scheme Closure

It really is not acceptable to read a UK Government announcement without analysing and investigating all the implications.? For example:

Some people were quick to jump onto the fact that the snappily-named, ‘The Statutory Sick Pay (Coronavirus) (Funding of Employers’ Liabilities) (Closure) Regulations and the Statutory Sick Pay (Coronavirus) (Funding of Employers’ Liabilities) (Northern Ireland) (Closure) Regulations 2021’ were laid on 09 September 2021.

The scheme has been in place since 13 March 2020 and provides that employers can claim back up to 2 weeks value of SSP paid if the absence was COVID-19 related.? This includes having the virus, having symptoms, shielding and notification of the requirement to self-isolate.? Yet, the usual criteria had to be met as well such as forming the Period of Incapacity for Work (PIW), giving the correct notice and earning at or above the weekly Lower Earnings Limit.

Of course, it all comes down to employer eligibility:

• The PAYE scheme must have been created and started on or before 28 February 2020, at which time
• There were less than 250 employees on 28 February 2020 across all PAYE schemes

So, we are talking about the smaller employer and the valuable 2 weeks SSP payment that otherwise would have been an employer cost.? Yet, this employer must not have been ‘in difficulty’ on 31 December 2019 (or 29 June 2020 as a result of subsequent legislation).?

The roll-off-of-your-tongue Regulations mean that these small employers cannot use the Scheme and be eligible for a rebate for any absence related to COVID-19 (‘COVID SSP’) occurring after 30 September 2021.

However, there is a transitional administrative arrangement in place until 31 December 2021 allowing employers the time to either:

• Submit any claims, or
• Amend any claims

Yet:

Effective the same 2020 date, ‘The Statutory Sick Pay (Coronavirus) (Suspension of Waiting Days and General Amendment) Regulations 2020’ and Northern Ireland equivalent prescribed that employees in receipt of COVID SSP would receive this from day 1 without having to serve the usual 3 Waiting Days.? In non-COVID cases, such as a sprain or cold, Waiting Days still applied.

The suspension of Waiting Days was good for employees who, sometimes, had to isolate without any actual sickness.? It meant the payment of SSP from day 1 and the employer could reclaim the first 14 days – if the other criteria was met such as earnings and the PIW.

So, the question is ‘does the closure of the rebate Scheme mean an end to the suspension of waiting days?’.? I did not see any closure regulations, so I contacted two sources, both from the Department for Work and Pensions (DWP).? The responses are as follows:

and

• The Rebate Scheme closes on 30 September 2021 with an administration period to 31 December 2021
• The suspension of Waiting Days does not end on 30 September 2021 (though watch this space I would say)

Look out for the UK Prime Minister’s Covid winter plan due on 14 September 2021.? DWP’s Therese Coffey told BBC Breakfast on 13 September 2021 that some regulations may still be needed to reduce transmission, including changes to Statutory Sick Pay.