HR SCENARIOS: SICKNESS & ABSENCE

Sickness Absence Management: The UK Employer's Guide

Practical sickness absence management guidance for UK employers. From short-term absence triggers and return-to-work interviews to managing long-term sickness absence, occupational health referrals, and capability dismissals. ERA 2025 updated.

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LocationBolton, Manchester, North West
1

Quick summary

Sickness absence management is the process an employer uses to record absence, spot patterns, get medical evidence and decide what to do next. UK workers lost 148.8 million working days to sickness in 2025, an average of 4.4 days each. Get the process right and most of that is manageable. Get it wrong and it becomes a tribunal claim.

Next step

Managing a live sickness case right now? Book a free 30-minute call with DaisyHR.

2

What counts as sickness absence, and what is the difference between short-term and long-term?

Sickness absence is any period an employee is away from work because they are not well enough to do their job. There is no statutory definition and no statutory dividing line between short-term and long-term. In UK practice, long-term means a continuous absence of four weeks or more, and short-term means everything below that.

The distinction matters because it decides which process you run.

Short-term absence is a pattern problem. One person off with a stomach bug for two days is not a management issue. The same person off for two days six times in a year is, because the cost is in the disruption rather than the days. Short-term absence is handled through recording, trigger points, return-to-work conversations and, where a genuine pattern of avoidable absence emerges, a formal attendance process.

Long-term absence is a capacity problem. The question is not "why do they keep going off" but "will this person be able to do this job again, and when". That question can only be answered with medical evidence, which means occupational health. Long-term absence is handled as capability, not conduct, and the full process is set out on our long-term sickness absence guide.

There is a third category most absence policies miss entirely: disability-related absence, which can be short-term, long-term or both, and which has to be recorded and treated differently from ordinary sickness. Acas recommends recording disability-related absence separately precisely so that it does not get swept into the same trigger count as everything else. More on that below.

One practical point that catches employers out. An employee who is off sick does not stop accruing holiday, and can take holiday during sickness absence. Employment does not automatically end because sick pay has run out, either. Absence ends when the employee returns, resigns, or is dismissed after a fair process. Nothing happens by itself.

3

How much sickness absence is normal for a UK employer?

The UK sickness absence rate was 2.0% in 2025, meaning 2.0% of all contracted working hours were lost to sickness or injury. That is 148.8 million working days, or 4.4 days per worker, unchanged on 2024.

That is the figure from the Labour Force Survey, which asks workers. Employers report a much higher number. The CIPD Health and Wellbeing at Work survey 2025, which surveyed 1,101 people professionals in March and April 2025, found an average of 9.4 days lost per employee per year, the highest CIPD has recorded in more than fifteen years, against 7.8 days in 2023 and 5.8 days before the pandemic.

Both numbers are correct. They measure different things. The ONS figure counts hours actually lost from contracted hours across the whole labour market including the self-employed and very small firms; the CIPD figure is what employers with an HR function record for employees. If you are benchmarking your own organisation against a number, use the CIPD one, because it is the one built from employer absence records.

What people are actually off with. ONS splits this two ways, and the two answers are different, which is the part most commentary gets wrong.

By number of absence occurrences in 2025: minor illnesses 30.4%, "other" conditions 15.6%, musculoskeletal problems 14.6%, mental health conditions 8.9%, gastrointestinal problems 6.6%.

By working days lost in 2025: minor illnesses 22.2%, "other" 19.1%, musculoskeletal problems 18.3%, mental health conditions 11.5%, gastrointestinal problems 6.2%.

Colds and stomach bugs generate the most absences. Backs and mental health generate the most lost days. If your absence policy is built entirely around short frequent absence, it is built around a third of your problem.

The number that should change how you set triggers. ONS records sickness absence by disability status. In 2025, disabled workers lost 12.5 days per worker. Non-disabled workers lost 2.6 days. The absence rates were 6.2% and 1.2% (ONS sickness absence dataset, 2025 edition, tables 18 and 18b). Workers with a long-term health condition, a wider group, lost 8.3 days against 2.3 days.

A disabled worker with entirely average absence loses nearly five times as many days as a non-disabled worker with entirely average absence. Any trigger point set at the general workforce average will catch disabled employees first, by design, before anybody has done anything wrong. That is not a moral argument, it is arithmetic, and it is the arithmetic the Court of Appeal was dealing with in *Griffiths*, below.

Size makes less difference than owners expect. In 2025 employers with fewer than 25 employees lost 3.6 days per worker and employers with 25 to 49 employees lost 3.3 days. Employers with 500 or more lost 5.5 days (ONS, table 15b). Small employers do not have more absence. They have less slack to absorb it, which is a different problem with a different fix.

Work-related ill health sits underneath all of this. HSE estimates 1.9 million working people suffering from a work-related illness in 2024/25 and 40.1 million working days lost to work-related illness and workplace injury. Of that, 964,000 workers had work-related stress, depression or anxiety, accounting for 22.1 million lost days, which is 52% of all work-related ill health cases and 62% of all days lost to work-related illness. The prevalence rate is 2,770 per 100,000 workers. The causes workers themselves name are workload, tight deadlines, lack of managerial support, and organisational change.

If a meaningful share of your absence is caused by the job, absence management will not fix it. That is a health and safety and a management problem, and HSE treats it as one.

4

What are sickness absence trigger points, and how do you set them?

A trigger point is a level of absence that prompts a conversation. It is not a disciplinary threshold, and Acas is direct about this: "An employer should not use review points to automatically trigger disciplinary action for absence."

Most UK employers use one of two models, and plenty use both:

  • ●Frequency: a set number of separate absence occasions in a rolling period. Three occasions in any rolling twelve months is the most common setting.
  • ●Duration: a set number of days lost in a rolling period, commonly eight to ten working days in twelve months, or any single absence of a defined length.

Whatever you pick, four things have to be true for it to survive scrutiny.

1. It is written down and people have seen it. Acas lists a trigger point system as one of the things an absence policy should set out, alongside how to report absence, how to keep in touch, and what people get paid. An unwritten trigger is indistinguishable from a manager's mood.

2. It is applied to everybody the same way. The single most common reason an employer loses an attendance case is that the same trigger was enforced against one person and quietly ignored for another. Tribunals look for the comparison. So do your employees.

3. Hitting it starts a conversation, not a warning. The point of a trigger is to make you look. Sometimes what you find is an underlying condition nobody had mentioned. Sometimes it is caring responsibilities. Sometimes it is a manager. Sometimes it is genuinely unacceptable attendance, and then you follow your attendance procedure properly.

4. Disability-related absence is handled separately. Acas sets out the two accepted mechanisms: "not counting some or all sickness absence related to a disability towards any trigger points", or "increasing the number of absences that will trigger a review". Pick one, write it into the policy, and record disability-related absence separately so you can apply it. Acas also recommends recording pregnancy-related and disability-related absence separately for exactly this reason.

The legal weight behind point four comes from *Griffiths v Secretary of State for Work and Pensions* [2015] EWCA Civ 1265. The Court of Appeal held that an attendance management policy is a provision, criterion or practice for the purposes of the duty to make reasonable adjustments. Elias LJ framed the PCP as "the employee must maintain a certain level of attendance at work in order not to be subject to the risk of disciplinary sanctions", and rejected the argument that applying a policy equally to everybody removes the disadvantage: disabled employees are more likely to breach an attendance requirement, so they are substantially disadvantaged by it. Extending a trigger point *can* be a reasonable adjustment. On the facts of *Griffiths* the particular extension sought was held not to be reasonable, so this is not a rule that disabled employees get unlimited absence. It is a rule that you have to think about it rather than apply the number blind.

5

Is the Bradford Factor safe to use?

The Bradford Factor is a formula that weights frequent short absences more heavily than single long ones. It multiplies the number of separate absence episodes, squared, by the total days lost:

Formula

B = S² × D where S is the number of separate spells of absence and D is the total days lost.

So one absence of ten days scores 1 × 1 × 10 = 10. Five absences of two days each, the same ten days lost, score 5 × 5 × 10 = 250. Ten one-day absences score 10 × 10 × 10 = 1,000.

It is popular because it is easy to automate and it produces a single number a manager can act on. That is also the problem with it.

Three honest cautions.

It is not endorsed by anybody official. Neither Acas nor gov.uk recommends the Bradford Factor. Acas's published guidance on trigger points does not mention it. That does not make it unlawful, but it does mean that if you use it and it goes wrong, you are defending your own choice rather than following official guidance.

It scores conditions, not conduct. Conditions that flare up, which is most chronic conditions, produce exactly the pattern the Bradford Factor punishes hardest: several short absences rather than one long one. Epilepsy, Crohn's disease, migraine, endometriosis, multiple sclerosis, depression and anxiety all present this way. Given that disabled workers already lose 12.5 days a year against 2.6 for non-disabled workers, a formula that squares the frequency of absence is a formula that identifies disabled employees faster than anything else you could design.

The score is not the decision. *Griffiths* applies to a Bradford score exactly as it applies to a simple day count, because it is still a provision, criterion or practice. If you use it, you need the same two safeguards: disability-related absence excluded or the threshold adjusted, and a human looking at the case before anything formal happens.

If you want to keep it, keep it as a reporting tool that tells you where to look, and make the policy say so in those words. What you must not have is a policy under which a number automatically produces a warning. That is the version that loses.

6

How do you run a return-to-work interview?

A return-to-work interview is a short, private conversation between an employee and their line manager on the first day back from any absence. There is no legal obligation to hold one. Acas is clear that "it's not a legal requirement to have a return to work meeting" but recommends a chat as soon as possible after the employee returns.

Hold them anyway, for every absence, for everybody. They are the highest-value fifteen minutes in absence management, for four reasons: they confirm the person is actually well enough to be back, they surface adjustments early while adjustments are still cheap, they put an accurate reason on the record while it is fresh, and they make the absence policy visible without anybody having to be formal about it.

Acas sets out what to cover: make sure the employee is ready to return, tell them what happened at work while they were off, ask whether they need any support, agree a return plan if one is needed, and agree what they would like colleagues to be told about their absence. That last one matters more than it looks, and it is the one managers skip.

Practical notes on getting them right:

  • ●Do it in private and treat it as confidential. You are about to discuss health information, which is special category data. See the data protection section.
  • ●Have the absence record in front of you, but do not open with it. "How are you doing" first.
  • ●Ask an open question about whether anything at work makes the condition worse. This is where work-related musculoskeletal and stress problems surface, and where you find out you have a job design problem rather than an attendance problem.
  • ●Record the reason for absence and any adjustments agreed. Keep it short and factual.
  • ●If a trigger point has been hit, say so plainly in the meeting rather than sending a letter a week later.
  • ●Do them for senior staff too. Inconsistency here is the easiest disparity for an employee to point at, and the hardest to explain away.

The CIPD's 2025 guidance on short-term absence notes that line managers take primary responsibility for managing short-term absence in 70% of organisations. Those managers are the people holding these conversations. If they have not been trained to hold one, the process does not exist no matter what the policy says.

7

What is statutory sick pay in 2026, and what did ERA 2025 change on 6 April 2026?

Statutory sick pay for 2026/27 is £123.25 a week, or 80% of the employee's average weekly earnings, whichever is lower, payable for up to 28 weeks (GOV.UK, rates and thresholds for employers 2026 to 2027 and GOV.UK, statutory sick pay). Twenty-eight weeks at the flat rate is £3,451 in total.

The Employment Rights Act 2025 changed SSP on 6 April 2026, and the change is already live. Two things went:

  • ●The three waiting days. SSP is now payable from the first qualifying day of sickness absence, not the fourth.
  • ●The lower earnings limit. Employees previously had to average at least £125 a week to qualify. That requirement has been removed (Acas, statutory sick pay; GOV.UK, ERA 2025 timeline update).

In exchange, low earners get a percentage-based rate instead of nothing at all. Someone whose average weekly earnings are £100 now receives £80 a week of SSP, being 80% of their earnings, because that is lower than £123.25. Someone earning £200 a week receives £123.25, because 80% of their earnings would be £160 and the flat rate is lower. The flat rate is a ceiling, not a floor.

The rest of the SSP rules did not change:

  • ●Qualifying days are the days the employee would normally have worked. SSP is paid for those days only. Where there is no regular pattern, the employer and the worker should agree which days count.
  • ●Eligibility requires that the employee has started work, is employed for tax purposes, and has told the employer they are sick within the employer's deadline or within seven days.
  • ●Linked periods. Two periods of sickness of at least one full working day each, falling eight weeks or less apart, link together and count as one period for the 28-week limit. An employee stops being eligible if a continuous series of linked periods lasts more than three years.
  • ●When SSP runs out at 28 weeks, issue form SSP1 so the employee can claim Universal Credit or Employment and Support Allowance. Running out of SSP is not a reason to dismiss and does not end employment.

What this means operationally. Day-one SSP means every single day of absence now has a payroll consequence, so the recording has to be right from day one rather than from day four. Three practical consequences for a North West SME:

  1. 1.Managers have to report absence the day it happens, not at the end of the week.
  2. 2.Payroll has to calculate SSP without a waiting period and against the 80% test for lower-paid staff, which means the payroll system needs the average weekly earnings figure, not just the headcount.
  3. 3.Any company sick pay scheme drafted before April 2026 that says "SSP is payable from the fourth qualifying day" is now wrong in its own terms. Check the contract wording.

If your sick pay scheme needs reworking, that sits with HR policies and documentation. If you want the wider ERA 2025 picture, the ERA 2025 hub covers every measure and date.

Company sick pay is entirely yours to design. There is no obligation to pay more than SSP. If you do, the scheme has to be in the contract or a written policy, and whatever you write is what you owe. Two rules worth knowing before you draft one: a discretionary scheme has to be exercised consistently or the discretion becomes a trap, and the duty to make reasonable adjustments does not normally require you to extend full pay for disability-related absence. In *O'Hanlon v Commissioners for HM Revenue & Customs* [2007] EWCA Civ 283 the Court of Appeal held that it would be "a very rare case indeed" where paying full sick pay was required as a reasonable adjustment.

8

What is a fit note, who can issue one, and what does "may be fit for work" mean?

A fit note is a statement from a registered healthcare professional giving a medical opinion on someone's fitness for work. It replaced the sick note in 2010.

Self-certification covers the first seven calendar days. If an employee is off for seven calendar days or less, including weekends and bank holidays, they do not need a fit note and you should not ask for one. From the eighth day they should provide one. Acas notes that a healthcare professional might refuse to issue a fit note before the seventh day, and gov.uk confirms that fit notes are free only where the person has been ill for more than seven days.

Five professions can issue one. Since July 2022, fit notes can be issued by doctors, nurses, occupational therapists, pharmacists and physiotherapists (GOV.UK, taking sick leave). Since 2022 they can also be authorised digitally rather than signed in ink, and a digital fit note is legally valid. Refusing an emailed fit note because it has no wet signature is a mistake employers still make.

A fit note says one of two things. Either the employee is "not fit for work", or they "may be fit for work". If it says may be fit, the healthcare professional can suggest a phased return, altered hours, amended duties or workplace adaptations.

Here is the part most employers get wrong. The suggestion on a fit note is advice, not an instruction: gov.uk's employer guidance says plainly that the healthcare professional's advice "is advice, and you are not obligated to agree". But the corollary bites. GOV.UK states that where a fit note says may be fit for work, "the employee must be treated as 'not fit for work' if there's no agreement on these changes". You cannot decline the suggested adjustments and then treat the employee as fit. If you will not make the changes, they are off sick and SSP applies.

Scale. 2,972,596 fit notes were issued by GP practices in England in the quarter to 31 March 2026, and 1,215,820 of them, 40.9%, were for five weeks or longer. Four in ten fit notes are already long-term absence at the point of issue. If you wait until week four to react, you are frequently reacting to something that was signalled in week one.

9

Can you disagree with a fit note?

Yes, but not by ignoring it. A fit note is medical evidence, and you are entitled to seek better evidence rather than substitute your own opinion for a clinician's.

Three legitimate routes:

  1. 1.Ask for an occupational health assessment. This is the normal answer. A GP fit note tells you what the condition is doing. Occupational health tells you what it means for this job. Acas describes an occupational health assessment as "a useful addition to a fit note or a doctor's medical report" because it focuses on how someone does their job and how the job affects their health.
  2. 2.Ask the employee to be reassessed. GOV.UK's employer guidance says an employer who disagrees may request that the employee undertakes further assessment with a healthcare professional.
  3. 3.Refer an SSP entitlement dispute to HMRC. Where the disagreement is specifically about whether SSP is payable, HMRC can make a formal determination.

Where occupational health and the GP conflict, Acas's position is that the employer should consider both, then "talk with their worker and come to an agreement on the best course of action". Document which advice you followed and why. A tribunal is far less interested in which report you preferred than in whether you had a reason.

10

When should you refer an employee to occupational health, and what should you ask?

Refer when you need a medical opinion in order to make a decision, and refer early. In practice that means four triggers:

  • ●Absence has reached or is heading past four weeks.
  • ●A pattern of short-term absence suggests an underlying condition.
  • ●The employee has mentioned a disability, a mental health condition, or a condition that might be either.
  • ●You are considering any formal step, including an attendance warning or a capability process.

Acas lists the same use cases: a worker struggling with physical or mental health, identifying the right reasonable adjustments, someone off sick for a long time or returning from sickness absence, and reducing the amount of time people need to take off.

Occupational health is available to small employers. 69% of employers provide occupational health, rising to 86% among those with 250 or more employees (CIPD Health and Wellbeing at Work 2025). The gap is almost entirely SMEs. Acas's advice where a smaller organisation has no occupational health scheme is that the employer should communicate with both the worker and their doctor, and must get permission before contacting the worker's doctor. You do not need a retained provider. Single-case referrals can be bought from an independent occupational health provider.

The referral is only as good as the questions. "Please advise" produces "the employee is currently unfit for work", which you already knew. Ask these, in writing:

  1. 1.What is the employee's current functional capability in relation to the specific duties of their role? (Attach the job description.)
  2. 2.When, on current evidence, are they likely to be fit to return to their substantive role?
  3. 3.Are they fit to return now with adjustments, and if so exactly which adjustments, for how long?
  4. 4.Is the condition likely to meet the definition of disability in section 6 of the Equality Act 2010?
  5. 5.Would redeployment to a different role be appropriate, and what would it need to look like?
  6. 6.Are there any workplace factors making the condition worse?
  7. 7.Is further specialist input needed before a decision can reasonably be taken, and if so, over what timescale?
  8. 8.Will the condition be permanent or is improvement likely, and over what period?

Question four does not ask occupational health to make a legal ruling. Whether someone is disabled is ultimately for a tribunal, not a clinician. It asks for the clinical facts you need in order to take a view, and it puts on the record that you asked.

Consent, and what the employee can see. An employee does not have to agree to an occupational health assessment, and after the assessment the adviser must ask the worker's permission before sharing it with the employer. Where a doctor carries out the assessment, or where occupational health seeks a report from the employee's own GP or consultant, the Access to Medical Reports Act 1988 applies. Under that Act the employer must notify the individual that it proposes to apply for a report and obtain their consent; the individual may state that they wish to see the report before it is supplied; the practitioner may not supply it until 21 days have elapsed or the individual has responded; and the individual may ask for parts they consider incorrect or misleading to be amended, and may withhold consent to it being supplied at all.

Tell the employee all of this in the referral letter, in plain English, before they sign the consent form. Employers who treat consent as a formality lose the report and the goodwill at the same time.

If the employee refuses. You cannot compel an assessment. Explain in writing what the assessment is for, that without medical evidence you will have to make decisions on the information you hold, and invite them to reconsider. Then make decisions on the information you hold, and record that you offered. A refusal documented properly is a much stronger position than a referral never offered.

11

What do you do with the occupational health report?

Share it with the employee, discuss it with them, and decide. The report is evidence for a decision you make, not the decision itself. Acas is explicit that "it's up to the employer to decide whether to put in place the recommendations" from the assessment.

What that means in practice:

  • ●If an adjustment is recommended and it is reasonable, do it, and set a date to review whether it worked.
  • ●If a recommended adjustment is not reasonable for your business, write down why, and write down what you are doing instead. "We considered X, it was not workable because Y, we offered Z" is a defence. Silence is not.
  • ●If the report is vague, go back with more specific questions rather than proceeding on a guess.
  • ●If the report says a return is likely within a defined period, that period is now your timescale, and starting a capability process before it has run will look premature.
  • ●Diarise the review. An adjustment nobody ever reviewed is an adjustment nobody can prove worked.
12

How do you manage mental health absence?

The same way you manage any other sickness absence, with three differences that matter.

It is the leading cause of long-term absence. The CIPD's 2025 survey found mental ill health, mainly depression and anxiety, was the top cause of long-term absence at 41%, ahead of musculoskeletal injuries at 31% and other long-term conditions including cancer at 30%. It is also the second most common cause of short-term absence at 29%, behind minor illness at 78%. ONS puts mental health conditions at 11.5% of all days lost in 2025.

Some of it is caused by work. HSE's 2025 statistics put work-related stress, depression or anxiety at 964,000 workers and 22.1 million lost days in 2024/25, which is 62% of all days lost to work-related illness. The causes workers name are workload, tight deadlines, lack of managerial support, bullying, and organisational change. Where that is the cause, absence management is the wrong tool. Employers have a legal duty to assess the risk of work-related stress under health and safety law, and HSE publishes Management Standards for doing it.

Contact needs designing, not defaulting. Acas's guidance on mental health absence is that "an employer should have appropriate contact with an employee who is off sick because of a mental health problem" and that the employer should agree the purpose, type and level of contact with the employee "to make sure it's useful and not overwhelming". Where the employee finds contact too difficult, Acas suggests asking whether there is someone else they can check in with, such as a family member or close friend. Weekly calls from a line manager is the default that does the most damage.

Three further practical points:

  • ●A mental health condition can be a disability under the Equality Act 2010, and frequently is. Depression and anxiety that have lasted or are likely to last twelve months with a substantial adverse effect on day-to-day activities meet the statutory test. Treat the disability question as live from the start rather than waiting for the employee to raise it.
  • ●The employee will often not tell you what is wrong, and does not have to. You are entitled to ask for medical evidence. You are not entitled to a diagnosis.
  • ●Adjustments for mental health are usually about workload, hours, predictability and supervision rather than equipment, and they are usually cheap. Ask what would help before assuming what would help.
13

When is sickness absence a disability under the Equality Act 2010?

A person has a disability under section 6 of the Equality Act 2010 if they have "a physical or mental impairment" and "the impairment has a substantial and long-term adverse effect on [their] ability to carry out normal day-to-day activities".

Four points from Schedule 1 to the Act decide most real cases:

  • ●Long-term means the effect has lasted at least 12 months, is likely to last at least 12 months, or is likely to last for the rest of the person's life (Schedule 1, paragraph 2). A condition that has only lasted six months can still qualify if it is likely to last twelve.
  • ●Fluctuating conditions still count. Where an impairment stops having a substantial adverse effect, it is treated as continuing to have that effect if the effect is likely to recur. Someone who is fine between flare-ups is still disabled.
  • ●You judge the person without their treatment. Under paragraph 5, an impairment is treated as having a substantial adverse effect if measures are being taken to treat or correct it and, but for those measures, it would be likely to have that effect. Medication that controls a condition does not remove the disability. Glasses and contact lenses are the only general exception.
  • ●Cancer, HIV infection and multiple sclerosis are each a disability from the point of diagnosis, with no need to show effect at all (Schedule 1, paragraph 6).

"Substantial" means more than minor or trivial. It is a low bar, and employers consistently set it too high in their own heads.

Practical consequence: you do not decide whether someone is disabled. You decide whether to act as though they might be. Disability discrimination claims have no qualifying period of service and no cap on compensation. The asymmetry of that risk means the right answer, in almost every case where the question is open, is to obtain medical evidence and consider adjustments.

14

What reasonable adjustments do you have to make for a sick employee?

Section 20 of the Equality Act 2010 imposes three requirements. Where a provision, criterion or practice puts a disabled person at a substantial disadvantage compared with people who are not disabled, the employer must "take such steps as it is reasonable to have to take to avoid the disadvantage". The same duty applies to physical features, and to the provision of auxiliary aids.

Adjustments that come up repeatedly in sickness absence cases:

  • ●A phased return with hours building over an agreed period.
  • ●Amended or reduced duties, permanently or temporarily.
  • ●Changed hours or start times, including to fit medical appointments or to avoid a commute at peak times.
  • ●Working from home, in whole or in part.
  • ●Equipment and workstation changes.
  • ●Time off for treatment, appointments and rehabilitation, sometimes recorded as disability leave rather than sickness absence.
  • ●Adjusting or disapplying absence trigger points, as in *Griffiths*.
  • ●Redeployment to a suitable alternative role.

What "reasonable" means depends on the size and resources of the employer, the cost and practicality of the step, and how far it would actually help. A ten-person firm in Bolton is not held to the standard of a national employer. It is held to the standard of a ten-person firm that thought about it.

Two boundaries worth knowing: paying full sick pay for disability-related absence is very rarely a required adjustment (*O'Hanlon*), and there is no duty to create a job that does not exist. Do not charge the employee for adjustments, and pay for time spent at occupational health appointments. Acas warns that if a disabled worker is disadvantaged because the employer will not pay for that time, this could be disability discrimination. Redeployment, trial periods and the case law on transferring a disabled employee without a competitive interview are covered on the long-term sickness absence guide.

15

What is discrimination arising from disability, and why do employers keep losing on it?

Section 15 of the Equality Act 2010 says that a person discriminates against a disabled person if they treat them unfavourably "because of something arising in consequence of" the disability, and cannot show that the treatment is "a proportionate means of achieving a legitimate aim". There is a defence in section 15(2) where the employer did not know, and could not reasonably have been expected to know, that the person had the disability.

This is the provision that catches employers who did everything else correctly, and it catches them for three reasons.

Absence is almost always "something arising". Dismissing someone for absence caused by a disability is unfavourable treatment because of something arising in consequence of that disability. The absence is the "something". You do not need to have treated them worse than anyone else; there is no comparator in a section 15 claim, unlike direct discrimination.

You do not need to know about the causal link. In *City of York Council v Grosset* [2018] EWCA Civ 1105, the Court of Appeal held that section 15(1)(a) requires two distinct causative questions: did the employer treat the employee unfavourably because of an identified "something", and did that "something" arise in consequence of the disability? The second is an objective question. The employer's ignorance of the connection is not a defence. The only knowledge defence is the section 15(2) one, and it is about knowledge of the disability itself.

A fair dismissal can still be discriminatory. *Grosset* also held that a dismissal can be fair under the Employment Rights Act 1996, applying the range of reasonable responses test, and still breach section 15, because the justification test under section 15(1)(b) is objective and decided by the tribunal rather than deferring to the employer's judgment. Winning the unfair dismissal claim does not win the discrimination claim. They are separate tests and the discrimination one is harder.

So the practical defence is not "we followed the process". It is proportionality: what legitimate aim were you pursuing, and was the dismissal, warning or trigger a proportionate way of achieving it. That argument is built from evidence recorded at the time: the business impact, the alternatives considered, and why each was rejected.

Employment tribunal volumes are running well above trend. 14,000 single claims were received in April to June 2026, up 28% on the same quarter a year earlier, with 70,000 single claims in the open caseload, up 51%. That is the queue a badly handled absence case joins.

16

When can you fairly dismiss someone for long-term sickness absence?

You can. Capability is one of the potentially fair reasons for dismissal in section 98 of the Employment Rights Act 1996, and section 98(3)(a) defines capability as capability "assessed by reference to skill, aptitude, health or any other physical or mental quality". Health is in the statute.

Establishing the reason is the easy half. Section 98(4) then asks whether the employer "acted reasonably or unreasonably in treating it as a sufficient reason for dismissing the employee", having regard to the size and administrative resources of the employer, and determined "in accordance with equity and the substantial merits of the case".

Four things have to be in place before a sickness dismissal is reasonable:

  1. 1.Adequate, current medical evidence. Not just fit notes. An occupational health or specialist opinion on prognosis, obtained recently enough to still be true.
  2. 2.Genuine consideration of adjustments and alternative work, documented, including the ones you rejected and why.
  3. 3.Consultation with the employee, at which they have seen the medical evidence and have had a real opportunity to respond.
  4. 4.A decision within the range of reasonable responses, meaning you can say how long you waited, why you could not wait longer, and what the effect on the business was.

Acas's own guidance is that an employer "should take steps to avoid dismissing an employee on the grounds of capability" and should look at changes to the role and a phased return first. For a disabled employee, Acas adds that formal procedures "should be a last resort" and that the employer must first have done all they reasonably can to support the person.

One point almost every guide gets wrong. The Acas Code of Practice on Disciplinary and Grievance Procedures does not apply to a genuine ill-health capability dismissal. The Code covers "misconduct and/or poor performance", and in *Holmes v QinetiQ Ltd* [2016] UKEAT/0206/15 the Employment Appeal Tribunal held that it requires some element of culpable conduct (judgment on BAILII; analysis by CMS). What you lose is the 25% uplift, not the claim, and the exception is narrow: allege malingering and the Code applies again.

The right to be accompanied still applies. Section 10 of the Employment Relations Act 1999 gives a worker the right to be accompanied at a "disciplinary hearing", and section 13(4) defines that as a hearing which could result in "the taking of some other action in respect of a worker by his employer". A capability hearing that could end in dismissal qualifies. Offer the companion, in writing, every time.

The full capability process, redeployment, permanent health insurance, ill-health retirement, redundancy during sickness and notice pay are covered on our guide to long-term sickness absence and capability dismissal. If dismissal is already on the table, dismissal on sick leave covers the step you are at.

17

What must a sickness absence policy contain?

Acas says an absence policy should cover how workers book planned absences, how they report unplanned absences, how you handle unauthorised absence and lateness, whether you use a trigger point system and how it works, how workers keep in touch during absence, the support available while they are off, what to do if someone needs time off for reasons related to a disability, the support available on return, and what they will be paid (Acas, creating absence policies).

Build on that. A policy that will hold up has twelve components:

  1. 1.Scope. Who it covers, and how it interacts with the contract.
  2. 2.Reporting. Who to tell, by when, by what method, and what happens if they cannot make contact themselves. Name a deadline, because SSP eligibility depends on notification within your deadline or seven days.
  3. 3.Evidence. Self-certification for the first seven calendar days, fit note from day eight, and a statement that digitally authorised fit notes are accepted.
  4. 4.Sick pay. SSP at £123.25 or 80% of average weekly earnings whichever is lower, from the first qualifying day; any company scheme, with the qualifying service, the rate, the duration and whether it is discretionary.
  5. 5.Recording. What is recorded, by whom, and where it is held. Reference the data protection section.
  6. 6.Trigger points. The actual numbers, the rolling period, and an explicit statement that hitting a trigger starts a review, not a sanction.
  7. 7.Disability-related absence. That it is recorded separately, and whether it is discounted from triggers or the threshold is adjusted. State which.
  8. 8.Return-to-work discussions. That one is held after every absence, by whom, and what is recorded.
  9. 9.Keeping in touch. That contact frequency and method are agreed with the individual rather than imposed.
  10. 10.Occupational health. When a referral will normally be made, that consent is required, and the employee's rights under the Access to Medical Reports Act 1988 where a doctor is involved.
  11. 11.The formal attendance and capability procedures. Set out separately from the disciplinary procedure, with the right to be accompanied and a right of appeal at every formal stage.
  12. 12.Review date. Absence policies go stale. April 2026 made several of them wrong overnight.

Acas also advises that when creating or reviewing the policy you should involve any recognised trade union, or worker representatives where there is none, and that you should train managers on it rather than simply publishing it.

If you want this drafted rather than described, that is what our HR policies and documentation service does.

18

How do you handle sickness records under UK GDPR?

Sickness records are special category data. The ICO's guidance is direct: "Sickness and injury records include information about workers' physical or mental health. Holding sickness or injury records therefore involves processing special category data." Data concerning health is one of the nine special categories listed in Article 9 of the UK GDPR.

That means you need a lawful basis and a separate Article 9 condition before you process any of it. Five practical rules:

1. Do not rely on consent. The ICO's position is that consent is generally inappropriate in the employment context because workers cannot freely give it to their employer. Use legitimate interests or legal obligation as the lawful basis, and the employment, social security and social protection condition under Article 9(2)(b).

2. Know the difference between an absence record and a sickness record. The ICO draws a line: a sickness record "contains details of the illness or condition responsible for a worker's absence", while an absence record "may give the reason for absence as 'sickness' or 'accident' but does not include any reference to specific medical conditions". The ICO advises using absence records "where practical" because they are less intrusive. Most line managers do not need the diagnosis. They need to know somebody is off sick.

3. Restrict access. The ICO says organisations "should not make the sickness, injury or absence records of individual workers available to others, unless it is necessary for them to do their jobs". Occupational health reports in particular should not circulate freely. Managers who can see them should be told what they can and cannot do with them.

4. Keep it out of the shared drive. Absence spreadsheets with a "reason" column, visible to a whole department, are one of the most common breaches in small businesses.

5. Retention. Do not keep health data indefinitely. Set a retention period, write it down, and apply it. One factor to feed into that decision: from 1 October 2026 the time limit for bringing most employment tribunal claims doubles from three months to six (Acas, Employment Rights Act 2025), so the window in which you might need absence records to defend a claim has lengthened.

Acas makes the same point from the other direction: when recording medical information you should "be able to give a reason for keeping this information" and "make sure you only share it with relevant people".

19

What else does ERA 2025 change for sickness absence, and when?

Four dates matter. Two have already happened.

DateWhat changesStatus
6 April 2026SSP payable from the first qualifying day. The three waiting days are gone.In force
6 April 2026The lower earnings limit for SSP is removed. Low earners receive 80% of average weekly earnings where that is less than £123.25.In force
1 October 2026The time limit for bringing an employment tribunal claim doubles from 3 months to 6 months, for acts on or after that date. England, Wales and Scotland.Not yet in force
1 January 2027The unfair dismissal qualifying period falls from two years to six months, and the cap on the compensatory award for unfair dismissal is removed.Not yet in force

Sources: GOV.UK, Plan to Make Work Pay and Employment Rights Act timeline update and Acas, Employment Rights Act 2025.

Two corrections, because a great deal of published commentary still has these wrong:

  • ●There is no day-one unfair dismissal right. It was in the original Bill and was dropped before the Act passed. What changes on 1 January 2027 is the qualifying period, from two years to six months.
  • ●Fire and rehire restrictions take effect on 1 January 2027, not October 2026.

What the 1 January 2027 change means for absence specifically. Today, an employee with less than two years' service can be dismissed for sickness absence without an ordinary unfair dismissal claim, though disability discrimination has never had a qualifying period. From 1 January 2027 that protection arrives at six months. Anyone hired from around July 2026 will be protected the day it lands. Combined with the removal of the compensation cap, an unfair sickness dismissal of a well-paid employee becomes a materially bigger number.

What the 1 October 2026 change means. An employee who is dismissed in, say, November 2026 will have until May 2027 to bring a claim rather than February 2027. Absence records, occupational health reports, adjustment discussions and meeting notes need to survive longer. Check your retention schedule against that, not against the old three-month window.

Our ERA 2025 hub covers every measure and every commencement date.

20

How do you run a sickness absence case from day one to decision?

Ten steps. This is the process DaisyHR runs with clients, and it is the sequence a tribunal expects to see evidence of.

  1. 1.Record the absence on day one. Log the date, who reported it, how, and the reason given. Since 6 April 2026 the first day carries an SSP liability, so day-one recording is a payroll requirement as well as an HR one.
  2. 2.Stay in contact, at an agreed frequency. Agree with the employee how often you will be in touch, by what method, and with whom. Acas's guidance is that contact should be agreed rather than imposed, and that for mental health absence the purpose, type and level of contact should be agreed so it is useful and not overwhelming.
  3. 3.Get the fit note from day eight. The first seven calendar days are self-certified. From day eight ask for a fit note. Accept a digitally authorised one. If it says "may be fit for work", discuss the suggested adjustments; if you cannot agree them, the employee is treated as not fit for work.
  4. 4.Hold a return-to-work discussion on the first day back. Every absence, every employee, in private. Confirm they are fit to be back, ask whether anything at work makes the condition worse, agree any adjustments, and record the reason for absence.
  5. 5.Review against your trigger points monthly. Run the absence report. Exclude or adjust disability-related absence in line with your policy. Where a trigger is hit, that starts a review meeting, not a warning.
  6. 6.Refer to occupational health at four weeks, or earlier if the picture is unclear. Send the job description with the referral and ask specific questions about functional capability, timescale, adjustments, disability status and redeployment. Explain the employee's rights under the Access to Medical Reports Act 1988 before they consent.
  7. 7.Meet the employee to discuss the report. Share it in advance. Discuss what it says, what it means for their role, and what they think. Offer a companion. Record what was agreed.
  8. 8.Make and trial the adjustments. Implement what is reasonable, in writing, with a defined review date. Record any adjustment you decided against and the reason. Review it on the date you set.
  9. 9.Hold a formal capability review only when the evidence supports it. Write to the employee setting out the length of absence, the medical evidence, the adjustments tried, the effect on the business, and the fact that dismissal is a possible outcome. Give reasonable notice and the right to be accompanied. Listen to what they say before deciding.
  10. 10.Decide, confirm in writing, and offer an appeal. If dismissal is the outcome, confirm the reason as capability, set out the notice position, and offer an appeal to a manager who was not involved in the decision. If it is not the outcome, set the next review date and say so.
Next step

Want this as a one-page checklist for your managers? Ask for the DaisyHR sickness absence case checklist on your free call.

21

What does this mean for a North West SME?

Three things the national averages do not tell you.

North West employers lose more days than the England average. In 2025 the North West lost 4.6 days per worker against 4.3 for England as a whole and 3.3 for London. In 2024 the region lost 5.0 days per worker (ONS sickness absence dataset, 2025 edition, table 9b). The North West sickness absence rate in 2025 was 2.1% against a UK rate of 2.0%.

Smaller employers do not have an absence problem, they have a cover problem. Employers with fewer than 25 employees lost 3.6 days per worker in 2025 and employers with 25 to 49 employees lost 3.3, against 5.5 days in organisations of 500 or more. The absence is lower. The impact is higher, because in a team of nine there is nobody to absorb it, and because the same nine-person business does not have an HR function to run a capability process when one becomes necessary.

The labour market backdrop is not improving. 2.78 million people aged 16 to 64 were economically inactive because of long-term sickness in June 2026, against 2.05 million in 2019 (ONS, Labour Force Survey series LF69). Every person who leaves the workforce through ill health left an employer first. Handling long-term absence well is a retention question before it is a legal one.

Formula

[SAM NEEDED] One anonymised North West case, four to six sentences. The most useful shape: an employer who applied a trigger point mechanically to disability-related absence, what it cost, and what the fix was. No client names, no identifying detail. If this is not available, delete this block.

DaisyHR provides CIPD-qualified sickness absence support to employers across Bolton, Manchester, Bury, Stockport and the wider North West, from a single live case through to a full absence policy rebuild. That can be a one-off piece of work or part of ongoing outsourced HR support. If the question is legal rather than procedural, employment law advice is the route.

Sources

Legislation Update

ERA 2025: What Changes for Sickness Absence Management

ERA 2025 significantly increases the risk for employers who do not have robust sickness absence management processes. Here are the key changes every North West employer needs to understand:

April 2026

SSP payable from day one of sickness absence. The three-day waiting period is removed. Every employer must update their absence policies and payroll processes.

October 2026

Tribunal claim window doubles from 3 to 6 months. Employers must retain all sickness absence management records for at least six months from the end of employment.

January 2027

Unfair dismissal protection after 6 months of service. Capability dismissals for sickness absence carry full tribunal risk much sooner. Build your sickness absence management processes now.

DaisyHR helps North West employers build ERA 2025 compliant sickness absence management processes that reduce tribunal risk and support a healthy, productive workforce.

Read our full ERA 2025 guide for employers
Common Questions

Frequently Asked Questions

Three separate absence occasions in any rolling twelve months, or eight to ten working days lost in the same period, are the two most common settings. There is no legal standard and no right number. Whatever you choose has to be written in your policy, applied to everybody the same way, adjusted or disapplied for disability-related absence, and used to start a conversation rather than to issue a warning automatically.

£123.25 a week, or 80% of the employee's average weekly earnings if that is lower, for up to 28 weeks. Since 6 April 2026 it is payable from the first qualifying day rather than the fourth, and the lower earnings limit has been removed, so there is no minimum earnings threshold to qualify.

No, and you should not. Employees self-certify for the first seven calendar days including weekends and bank holidays. A fit note is expected from the eighth day. A healthcare professional may refuse to issue one earlier, and may charge for it if the employee has been ill for seven days or less.

Not exactly. The adjustments suggested on a "may be fit for work" fit note are advice, and you are not obliged to agree to them. But if you do not agree the changes, the employee must be treated as not fit for work. You cannot decline the adjustments and then expect them at work.

Yes. You cannot compel an occupational health assessment, and the adviser must have the employee's permission before sharing the report with you. Explain in writing what the assessment is for and that without medical evidence you will have to decide on the information you hold, then do exactly that and record that the offer was made.

Generally no. The Acas Code covers misconduct and poor performance, and the Employment Appeal Tribunal held in Holmes v QinetiQ Ltd that it requires some element of culpable conduct, so it does not apply to a genuine ill-health capability dismissal. That removes the 25% compensation uplift, not the claim. Ordinary unfair dismissal fairness and the Equality Act both still apply in full.

Yes. In City of York Council v Grosset the Court of Appeal confirmed that a dismissal can be fair under the Employment Rights Act 1996 and still breach section 15 of the Equality Act 2010, because the justification test for discrimination arising from disability is objective and decided by the tribunal rather than deferring to the employer's judgment.

Acas recommends either not counting some or all disability-related absence towards triggers, or increasing the number of absences needed to trigger a review. The Court of Appeal in Griffiths confirmed that an attendance policy is a provision, criterion or practice and that adjusting a trigger point can be a reasonable adjustment. Decide which approach you use, write it into the policy, and record disability-related absence separately so you can apply it.

Get Sickness Absence Management Advice Today

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Sickness absence management advice for employers across Bolton, Manchester and the wider North West. · Last reviewed: March 2026