The decision is not only about payroll cost
SSP-only policies are predictable, but a lower-paid worker may feel pressure to attend vulnerable people while unwell. Enhanced pay raises employment cost, yet can strengthen infection-control behaviour, retention and benefit positioning.
Minimum rule
Contractual sick pay can improve on SSP but cannot provide less than the statutory entitlement. Put eligibility, duration, evidence and interaction with SSP in the contract or policy.
Six policy models
| Model | Strength | Main trade-off | Administration |
|---|---|---|---|
| SSP only | Lowest direct enhancement cost | Lower-paid workers face the largest income drop | Simple |
| Full pay for first 3 days | Targets short absences and removes immediate loss | Cost rises with absence frequency | Moderate |
| Full pay for 1 week, then SSP | Clear, easy-to-explain benefit | Higher exposure for frequent week-long absence | Moderate |
| Service-based entitlement | Supports retention and controls early-service cost | More payroll rules and equality checks | High |
| Enhanced infectious-illness pay | Supports infection-control messages | Needs careful definitions and evidence rules | High |
| Manager discretion | Flexible for exceptional cases | Inconsistency and discrimination risk without controls | High |
Compare each option against the same criteria
Version 1 planning examples
Illustrative annual budget ranges
These examples are discussion ranges, not benchmarks. They assume six sickness days per carer, an illustrative average SSP cost of £24 per day, enhancement between £12 and £37.50 per day, and mixed internal/agency cover between £200 and £550 per carer annually. Replace every assumption with your own absence and cover data before budgeting.
| Carers | Illustrative SSP | Enhancement range | Cover range |
|---|---|---|---|
| 10 | £1,440 | £720–£2,250 | £2,000–£5,500 |
| 25 | £3,600 | £1,800–£5,625 | £5,000–£13,750 |
| 50 | £7,200 | £3,600–£11,250 | £10,000–£27,500 |
| 100 | £14,400 | £7,200–£22,500 | £20,000–£55,000 |
Policy safeguards that should not be optional
- ✓Record pregnancy-related sickness separately and exclude it from normal triggers.
- ✓Consider adjusted triggers and other reasonable adjustments for disability-related absence.
- ✓Use a trigger to begin a fair review, not automatic disciplinary action.
- ✓Do not treat probation as removing SSP entitlement.
- ✓Define bank and zero-hours eligibility consistently.
- ✓Document who can approve discretion and how consistency is checked.
- ✓Explain how SSP offsets enhanced pay.
- ✓Cover phased returns, amended duties and entitlement exhaustion.
A practical starting position
For an agency introducing enhanced pay for the first time, a short, clearly capped full-pay period followed by SSP is usually easier to model and administer than broad manager discretion. Test it against real absence frequency, cover mix and lower-paid-worker impact before changing contracts.
Reviewed 28 July 2026. Guidance sources: GOV.UK employer SSP guide, ACAS absence triggers, and ACAS disability-related absence.