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Statutory Sick Pay and Protection for Workers
18 March 2020
Lead MP
Margaret Greenwood
Debate Type
General Debate
Tags
TaxationEmploymentBenefits & Welfare
Other Contributors: 48
At a Glance
Margaret Greenwood raised concerns about statutory sick pay and protection for workers in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
Opened the debate
The debate centres on the inadequacy of statutory sick pay, which leaves many vulnerable workers without financial support when they must self-isolate due to the coronavirus. Public Health England estimates that up to 8 million people could be hospitalised by the virus, and at least 10% of the population may have a cough during peak activity periods, necessitating self-isolation for seven days or more. However, statutory sick pay currently only extends to those earning over £118 per week, leaving around 7 million workers ineligible, including many in retail, hospitality, leisure, and gig economy roles. This forces individuals into an untenable choice between their health and financial stability, undermining public health efforts.
Tan Dhesi
Lab
Slough
The hon. Member supports the call for increasing statutory sick pay levels to European standards and extending eligibility to all workers, especially those on low incomes who earn below £118 per week.
Margaret Greenwood
12:49:00
The hon. Member underscores that 7 million people are ineligible for statutory sick pay, including nearly 1 million zero-hours contract workers and over 5 million self-employed individuals. She calls for the removal of the £118 earnings threshold to protect those most at risk during the pandemic, noting that women disproportionately rely on such measures. She also highlights the importance of ensuring full sick pay for careworkers and delivery drivers, emphasising the public health risks associated with insufficient financial support.
Kirsten Oswald
12:49:00
The hon. Member agrees that research supports the necessity of establishing a statutory floor to enable economically vulnerable individuals to contribute when it is safe and feasible for them, arguing this enhances overall population resilience.
Chi Onwurah
Lab
Newcastle upon Tyne Central
My hon. Friend is making some excellent comments. I understand that a major international fast food chain has told its employees that if a branch has to close because of infection, business being quiet or Government action, the employees will receive only statutory sick pay, and those on zero-hours contracts will get nothing. Does my hon. Friend agree that that will make it harder for employees to do the right thing, and that it constitutes exploitative behaviour on the part of the employers which must be condemned and stopped?
Matt Western
Lab
Warwick and Leamington
My hon. Friend is making a powerful speech. May I echo the point that she made about Denmark? I understand that both the French and the Italian Governments are seeking to introduce exactly the same system to support workers who would otherwise be laid off. The money is being paid directly to companies to ensure that they can retain those employees and the business can be kept alive as well.
Rotherham
That too is a very important point. The Labour party is working with the TUC and others on a package of measures, and looking at the Danish model in particular. We want people to be reassured that they will not lose their jobs and their income, so they can go on spending. That would prevent a sharp fall in demand, and would also ease business confidence, as firms would see the Government take on part of their wage bill. It is an approach that involves employers, trade unions and the Government working together to preserve jobs and protect people from poverty. We are calling on the Government to explore these options, and we are prepared to work in partnership to make that happen.
Justin Tomlinson
Con
unknown constituency
Responded to questions regarding statutory sick pay and welfare support for individuals isolating due to Government guidance. Emphasised the importance of employers supporting employees, the provision of up to £2 billion in support through an emergency Bill, and measures to aid self-employed individuals and gig workers.
Neil Grey
Lab
unknown constituency
Asked about collaboration among MPs and the confusion surrounding guidance for people isolating. Suggested a minimum income guarantee to alleviate financial stress during isolation periods.
Carolyn Harris
Lab
Neath and Swansea East
Expressed concern over self-employed individuals like her son who are struggling financially while in isolation, highlighting the need for immediate clarification on support measures.
Bill Esterson
Lab
Sefton Central
Stressed that existing welfare options such as universal credit and ESA do not meet urgent financial needs during self-isolation. Urged faster action to provide necessary support immediately.
Chi Onwurah
Lab
Newcastle upon Tyne Central and West
Questioned the adequacy of statutory sick pay as a last-resort benefit, suggesting it should be raised for current circumstances where many are claiming due to self-isolation.
Stephen Timms
Lab
East Ham
Asked about reassessments for disability benefits and the appropriateness of continuing them during a time when medical evidence might be difficult to obtain.
Justin Tomlinson
Con
Swindon North
The Government will continue to look at additional support for those affected by the coronavirus, focusing on a wider safety net of welfare support tailored to individuals' circumstances. The self-employed and others not eligible for sick pay can claim universal credit or contributory employment and support allowance from day one with no waiting period if they are self-isolating due to Government guidance or ill with coronavirus. Measures have been taken to increase access to benefits, make it easier to apply without visiting jobcentres, and provide financial support for businesses.
Desmond Swayne
Con
New Forest West
Asked about metrics adopted by the Minister to ensure timely handling of phone calls in relation to benefit claims during the coronavirus period.
Justin Tomlinson
Con
Swindon North
Addressed concerns raised by Desmond Swayne, noting that unprecedented demand is anticipated and steps are being taken to manage this, such as moving health professionals onto telephone systems. The Government has removed the minimum income floor for self-employed universal credit claimants affected by coronavirus.
Gareth Thomas
Lab Co-op
Harrow West
Inquired about support available to constituents who are self-employed and have lost contracts, worried about their future with a mortgage and young children. Asked what specific help the Government will provide in such situations.
Justin Tomlinson
Con
Swindon North
Responded by advising constituents to check gov.uk for updates on support measures, highlighting the mortgage holiday announcement as relevant assistance. Emphasised that further income and job protection measures are forthcoming, shaped by ongoing issues reported by MPs.
Neil Grey
SNP
Airdrie and Shotts
Acknowledged the Labour party's devoting of Opposition time to discuss the impact of coronavirus. Highlighted the need for support in protecting incomes amid falling demand across various sectors, especially for renters, self-employed individuals, small business owners, and those in or out of work.
Richard Fuller
Con
North Bedfordshire
Clarified whether Neil Grey is seeking a permanent change in statutory sick pay policy or a temporary measure specific to the current crisis situation.
Neil Grey
SNP
Caithness, Sutherland and Easter Ross
Mr. Grey argued that the UK statutory sick pay rate is lower than other European nations and called for a permanent increase in statutory sick pay to an hourly rate available for 52 weeks instead of 28. He emphasised the need for flexible rules to meet real-life needs, abolishing the lower earnings limit, permanently removing waiting periods, increasing weekly levels of sick pay, extending legal requirements on fit notes, and providing funds to ensure employers can afford sick pay. Additionally, he suggested greater grants for businesses with job protection conditions, protecting incomes of self-employed individuals quickly, improving social security support, suspending tax credit income disregard, and ensuring that families relying on free school meals are supported during closures.
Kirsten Oswald
SNP
Dumfries and Galloway
Ms. Oswald highlighted the issue of households reliant on prepaid metres for energy who may face financial hardship due to travel distance for top-ups. She called for consideration of compelling energy companies not to cut off customers, considering higher energy needs and less money available during the crisis.
Neil Grey
SNP
Caithness, Sutherland and Easter Ross
Mr. Grey agreed with Ms. Oswald's points and reiterated the need for a minimum income guarantee to ensure that people in all circumstances can get through the period of crisis regardless of their employment status. He suggested increases in universal credit monthly allowances and swift reviews of other social security payment levels, emphasising that the UK Government needs to inject significant funding into the economy to mitigate the economic downturn resulting from measures taken to contain the virus.
Stephen Timms
Lab
East Ham
Welcomed the Government's announcements but raised concerns about universal credit, suggesting non-repayable grants for those who self-isolate and urging the suspension of the habitual residence test to ensure access to benefits. He also proposed suspending the minimum income floor in universal credit entirely for the duration of the crisis.
Stephen Kinnock
Lab
Aberafan Maesteg
Called for immediate action on statutory sick pay, including providing support upfront rather than requiring businesses to reclaim it and extending it to self-employed individuals.
Stephen Timms
Lab
East Ham
My hon. Friend makes a couple of very important points. I very much agree with him on the first, but on the second, my understanding is that self-employed people in this position can apply for this new employment and support allowance if they meet the contribution conditions, which, of course, some will not. That is where universal credit needs to be changed... I welcome what the Minister said about the suspension of face-to-face assessments for disability benefits. If it turns out that there are ways of doing the new assessments that do not require face-to-face meetings, and if that works well for new applications, hopefully lessons can be learned for the system in the longer term.
Rachel Reeves
Lab
Leeds West
It is an honour to follow my right hon. Friend the Member for East Ham (Stephen Timms), who made a powerful speech... The measures taken by the Chancellor yesterday were necessary and worth while to protect our economic infrastructure and to support the most severely hit sectors of our economy... If we really want people to do the right thing, we need to support them to make that decision, so let me turn to statutory sick pay. This point has been well rehearsed in debate both today and yesterday...
Does the hon. Lady agree that as workers have had their shifts cancelled, or have been told that their hours will be reduced—many of them are on zero-hour contracts—they, too, need the support that she is rightly saying should be given to workers?
Rachel Reeves
Lab
Leeds West and Pudsey
Ms. Reeves argues that workers in low to middle-income brackets often lack sufficient savings to cope with temporary reductions in work or income, citing the Resolution Foundation's evidence showing 60% of people on low and middle incomes have less than £100 in savings. She highlights international examples like Norway, Sweden, Denmark where laid-off workers receive significant financial support from their governments, urging the UK Government to introduce an urgent system of income replacement to help prevent an economic crisis. She also emphasises the need for support for renters who may not be able to pay rent due to reduced incomes and supports calls for a moratorium on disconnections for essential services like gas, electricity, broadband, and television licences.
Wes Streeting
Lab
Ilford North
Advocated for substantial changes in social security, including increased SSP and UC rates. Called for a form of basic income during the crisis to ensure families have financial stability. Emphasised the need to avoid austerity measures post-crisis and instead focus on reducing inequality. Proposed reforms to social care systems and climate policies.
Agreed with Wes Streeting's points, particularly about avoiding austerity measures after the crisis.
Bill Esterson
Lab
Sefton Central
We face a situation where the number of fatalities has doubled to 69 in two days. The urgency demands fast action on health and economy. Protecting public sector workers, particularly healthcare, is critical. Economic response must follow immediately to reassure people with financial security. Case studies highlight the plight of bus drivers, reflexologists, dog kennel owners, tutors, renters, self-employed individuals, and nurses caring for vulnerable family members. Support needs to be immediate for those in precarious employment situations such as zero-hours contracts or being self-employed. Loans may not suffice; grants and direct financial aid are needed quickly.
Jess Phillips
Lab
Birmingham Yardley
Agrees that the current measures, especially for the self-employed and those relying on universal credit, fall short of addressing immediate needs. Reports indicate people struggling to access universal credit due to bureaucratic hurdles, exacerbating their financial distress.
Bill Esterson
Lab
Sefton Central
Reiterates the urgency for immediate action and calls for a comprehensive package that includes direct grants, not just loans. Emphasises the need for public information campaigns and quick implementation of support measures as seen in other countries like Denmark, Sweden, and Germany. Proposes redefining sick pay to include protection against becoming ill and infecting others, advocating for financial security and a universal basic income during the crisis.
Richard Fuller
Con
North Bedfordshire
Acknowledges the rapid changes in circumstances since the Budget. Highlights efforts made by Government and communities to respond positively but also points out negative behaviors such as price gouging for tests and hoarding of essential goods. Emphasises the need for clear guidance to employers regarding work-from-home policies.
Wendy Chamberlain
Lib Dem
North East Fife
Requests immediate clarity from Government on work-from-home guidance for employers, advocating that if possible, people should be allowed to work remotely to reduce risk of infection and support social distancing measures.
Richard Fuller
Con
North Bedfordshire
The Government has been clear that it is socially responsible for individuals to isolate and work from home. Criticised Sir Richard Branson for suggesting employees take unpaid leave, proposing he cover the cost himself instead. Emphasised the importance of leaders protecting their workers and advocated for staged policy announcements rather than a single large announcement.
Asked Richard Fuller to encourage the Government to make financial support announcements quickly to help businesses and individuals, highlighting the immediate need for such measures due to job losses and business closures currently taking place.
Richard Fuller
Con
North Bedfordshire
Agreed with Neil Grey's suggestion, noting that many businesses urgently require financial support. Suggested using existing systems like tax and benefits to quickly provide assistance rather than creating new ones. Stressed the importance of speed in delivering aid and proposed reviewing labour market structures post-crisis.
Alex Sobel
Lab Co-op
Leeds Central and Headingley
Called for an emergency universal basic income to ensure economic security during mass isolation. Highlighted the growth in self-employment since 2008, arguing that a universal basic income would better protect these workers than company payroll subsidies. Noted positive developments in US policy regarding immediate cash infusions.
Matt Rodda
Lab
Reading Central
Addressed not just policy responses but also the underlying scale of the problem. Mentioned that 5.5 million people in this country are self-employed and acknowledged the Government's measures to reduce the spread of the outbreak, though emphasised the need for more robust support for self-employed individuals, those on low incomes or in the gig economy. Suggested a comprehensive approach similar to Scandinavia and other European Governments. Highlighted the local context of Reading with its IT subcontractors, construction workers, transport sector employees, and gig economy workers, many of whom are renters facing economic insecurity.
Navendu Mishra
Lab
Stockport
Asked if the Minister had seen proposals from the Communication Workers Union for Royal Mail to act as a fourth emergency service. Highlighted that postal workers could play an important role in delivering prescriptions, food bank parcels, and checking on elderly people needing support during the crisis.
Ruth Jones
Lab
Newport West and Islwyn
Reiterated points on which the Government must act now. Highlighted that statutory sick pay is £94.25 a week, far less than the minimum wage of £307.88 per week. Emphasised difficulties with universal credit applications being made online and waiting periods for first payments, urging steps to assist those unable to leave their homes or access the web.
Rachael Maskell
Lab Co-op
York Central
The MP emphasises the need for a robust safety net to protect workers during the coronavirus pandemic. She highlights issues such as access to personal protective equipment, the exclusion of certain employment statuses from statutory sick pay, and the necessity for full remuneration for sickness and isolation leave. She also calls for changes in legislation to ensure fair treatment and protection for all workers, regardless of their earnings or employment status. Furthermore, she advocates for a universal basic income as an emergency measure to prevent financial hardship and encourages the government to act promptly on these issues.
Will Quince
Welling
Thanked Members for their constructive contributions and emphasised the Government's commitment to supporting people, jobs, and businesses during the coronavirus outbreak. He highlighted measures such as extending statutory sick pay for self-isolation from day four to day one, and enabling employers with fewer than 250 employees to reclaim up to two weeks of statutory sick pay paid for sickness absences related to coronavirus.
Bill Esterson
Sefton Central
Asked the Minister to ensure timely communication of information to MPs and local authorities, as they are often best positioned to disseminate critical updates quickly to constituents.
Will Quince
Welling
Acknowledged the hon. Member for Sefton Central's concern about timely communication and stated that guidance will be provided to MPs and local authorities regarding information dissemination. He also addressed points raised by other Members, including statutory sick pay rates, private rented sector protections, consultation on lower earnings limit, and support measures for workers facing extended periods of unemployment.
Rachel Reeves
Leeds West and Pudsey
Responded to the Minister's points about short-term absences due to self-isolation and highlighted that demand suppression in the economy could last longer if businesses are closed or work is unavailable, necessitating additional support for workers beyond the initial two weeks of statutory sick pay.
Will Quince
Con
The Minister thanked the hon. Lady for her point, reassuring Members that the Government are doing all they can to support everyone. He emphasised the importance of following government guidance on self-isolation and highlighted new measures in an emergency Bill to help people financially through the period. The Minister acknowledged the Chancellor's announcement about working with trade unions and businesses to further develop employment support for protecting jobs and incomes, while expressing that more detailed proposals are above his pay grade but welcomed cross-party collaboration. He addressed a point raised by the Chair of the Select Committee on expediting confirmation eligibility under the habitual residence test and stated an openness to discuss this matter further. The Minister also reassured Members about a safety net for those in hardship through unemployment benefits, such as universal credit and new-style ESA or JSA. He concluded by reiterating that the Government will do whatever it takes to protect lives and fight the virus.
Government Response
We are in extraordinary times. The coronavirus pandemic is the most serious public health emergency that our nation has faced for a generation, but the Government will do whatever it takes to get our nation through it. We all need to pull together. We can, must and will get through this. Before I proceed to the main part of my speech, I want to pay tribute to all our fantastic staff, particularly those on the front line who are doing their level best, where they can, to enable some of the most vulnerable people in society to continue to receive benefits, and to enable those who now need to gain access to those benefits to do so. The spirit of this debate shows Parliament at its best—we are all seeking to work in partnership. Extended statutory sick pay to those self-isolating as per Government guidance, ensuring eligibility from day one with backdating. Provided support through emergency Bill measures and loans for businesses, prioritised new claimants in disability benefits reviews. Government Minister provided a detailed response to several points raised during the debate, including communication strategies, private rented sector protections, and extended support measures for workers. He also acknowledged that while current measures aim to protect individuals during short absences due to self-isolation or sickness, additional support might be required for longer periods of unemployment. The Minister’s speech covered support measures announced for workers during the pandemic, including financial protection through emergency legislation and collaborative efforts with trade unions and businesses. He also mentioned the Government's commitment to keeping policies under review and providing assurance that they will do whatever it takes to protect people, jobs, and businesses.
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