The Minister for Social Protection has proposed the introduction of a Mandatory Sick Pay Scheme, whereby the employer will be obliged to pay the equivalent of the State Sick Pay for the first 4 weeks of any sick leave for all employees. Its aim is to reduce the cost of funding Illness Benefit which is currently paid by the DSP to eligible employees while they are on sick leave. An increase in employers PRSI has also been proposed.
Both these measures will place a increased financial burden all employers but especially on smaller employers who currently do not operate a sick pay scheme. ISME is currently conducting a survey amoungst employers with the aim of lobbying the Government against such a move.