From April 2026, Statutory Sick Pay is changing in a way that affects every employer, regardless of size or sector. The changes are intended to improve access to sick pay for workers, but they also bring new cost, process and management challenges for businesses. From 6 April 2026, SSP is payable from the first day of sickness absence, the lower earnings limit has been removed and entitlement has widened.
These changes do not just mean policy updates. They also mean managers need to handle sickness absence fairly, consistently and confidently, without becoming heavy handed. Payroll, HR processes and day to day absence management all need to be aligned if employers are to avoid mistakes and unnecessary disputes.
Here is what is changing and what employers should be doing now.
What is changing with SSP
From 6 April 2026:
- SSP is payable from day one of sickness absence, removing the previous three waiting days
- The lower earnings threshold has been removed, meaning more workers now qualify
- Short sickness absences that previously attracted no SSP cost may now do so
ACAS also notes that SSP is now calculated as the lower of 80% of average weekly earnings or the statutory weekly rate, which is particularly relevant for lower paid or variable paid workers.
These changes shift more responsibility and cost onto employers, particularly where absence is frequent or short term.
1. Sickness absence policies need updating
Many sickness absence policies still refer to SSP starting after waiting days or to eligibility thresholds that no longer apply. Those references are now out of date.
What to do:
- Update sickness absence and SSP sections in your policies
- Make sure the wording aligns with payroll practice
- Remove references to waiting days and earnings thresholds
What to tell managers:
“SSP rules have changed, absence costs may now apply from day one, so it’s important we record sickness accurately and consistently.”
2. Payroll and systems must be aligned
The SSP changes are not just a policy issue. They are also a payroll and systems issue.
If systems are not configured correctly, employers risk underpayments, overpayments and payroll errors that can be difficult to unwind. Official employer guidance confirms that the changes took effect from 6 April 2026 and that payroll handling now needs to reflect day one payment and the widened entitlement rules.
What to do:
- Check payroll software is updated for April
- Confirm how day one SSP is triggered
- Test scenarios for short absences
What to tell managers:
“Accurate reporting matters more than ever, even one day absences now affect pay.”
3. Short sickness absences will cost more, but heavy handed responses create risk
One of the biggest concerns for employers is the impact of frequent short term absences. With SSP now payable from day one, costs can rise more quickly than before.
The temptation is to clamp down hard, but that can create a different set of risks.
Heavy handed approaches can lead to employee relations issues, grievances, discrimination risks and a culture of presenteeism. Those risks are especially relevant where absence may be linked to disability, pregnancy or menopause, and where inconsistent management responses create further problems. This is an inference based on how widened SSP entitlement interacts with ordinary equality and employee relations risk, rather than a new statutory SSP rule in itself.
What to do instead:
- Use clear trigger points
- Focus on patterns, not one off absences
- Train managers to have supportive, factual conversations
What to tell managers:
“This isn’t about punishing sickness, it’s about managing attendance fairly and consistently.”
4. Manager training is now critical
Under the old rules, a short absence often had little financial impact. That is no longer the case.
Without guidance, managers may apply rules inconsistently, make informal decisions or say the wrong thing in return to work conversations. The practical effect of day one SSP is that accurate reporting and consistent management matter far more than they did before.
What to do:
- Brief managers on what has changed
- Refresh return to work processes
- Reinforce the difference between managing attendance and disciplining sickness
What to tell managers:
“Stick to the process, keep conversations factual, and involve HR early if you’re unsure.”
5. Communication with employees matters
Employees may hear that SSP is now available from day one, but may not understand how it is calculated, when it applies or what is still expected in terms of reporting sickness. ACAS and government guidance both make clear that the entitlement rules have changed, but workers must still meet the other qualifying criteria and follow normal reporting expectations.
Poor communication can lead to confusion, mistrust and disputes.
What to do:
- Communicate the changes clearly and calmly
- Set expectations around reporting and certification
- Reassure employees that genuine sickness is supported
What to tell employees:
“The rules have changed, but our expectations around honest reporting and staying in touch remain the same.”
Managing the balance
The SSP changes require a balanced approach. Employers need to support employees when they are genuinely unwell, manage patterns of absence appropriately, avoid knee jerk or punitive responses and make sure managers feel confident and supported.
Handled well, these changes do not need to damage culture, but they do require preparation.
Support with the changes
For many employers, the immediate priorities are updating sickness absence and SSP policies, checking that payroll and HR processes are aligned, briefing managers and reviewing how short term absence is managed in practice. Those are the areas where preparation now is likely to make the biggest difference once the new SSP rules bed in.
If you are unsure whether your current approach is fit for April, now is the right time to review it. Shrewd HR can help with policy updates, manager guidance and practical support on handling sickness absence fairly and consistently. Get in touch
