Sick Leave

Income

The Labour Act, 2007, provides sick leave for employees. if the employee works five days during a week, he/she is entitled to 30 working days of sick leave. If the employee ordinarily works six days a week, he is entitled to 36 working days. The above leave entitlement is applicable for a sick leave cycle which means a consecutive period of 36 months. Thus, sick leave is not on annual basis rather calculated on three-year basis. Where the employee ordinarily works fewer than five days during a week, the sick leave is to be calculated on a proportional basis. However, even then, an employee is entitled to one day’s sick leave for every 26 days worked during the employee’s first year of employment. After the first year of employment, a worker can accrue up to 30/36 days of sick leave in one sick leave cycle (36 months). Where the employee does not ordinarily work a fixed number of days per week, he/she is entitled to sick leave to calculated annually on the basis of average number of days worked per week over the previous 12 months.

The employer is to pay the employee an amount equal to that employee’s daily remuneration for each day of absence of sick leave. However, there are circumstances where the employer is not required to pay remuneration for sick leave. First, where the employee has been absent from work for two consecutive days and has failed to produce a medical certificate by a medical practitioner or provide any other proof. Second, where the employee is entitled to payment under the Employees’ Compensation Act, 1941 due to him/her being absent from work due to an accident or a scheduled disease. Third, where the employee is entitled to payment from a fund or organization, that guarantees the payment of sick leave, as designated by the employee and in respect of which the employer makes contributions. Fourth, where the employee is entitled to payment in respect of that sick leave under any other legislation.

In line with the Social Security Act, sickness benefit provided through the Social Security Commission, is as follows: 75% of the maximum basic earnings is paid from the 31st day of sickness (for workers working 5 days a week) or 37th day (for workers working 6 days a week) during the first 12 months of sickness. During the next 12 months, sickness benefit is 65% of the maximum basic earnings. During the first 30/36 days of sickness, sickness benefit (100% of employee’s daily earnings) is provided by the employer.  

Source: §24 of the Labour Act, 2007; §29 of the Social Security Act, 1994 

Medical Care

Any employee registered under the Social Security Act, 1994, is to be a member of the Maternity Leave, Sick Leave and Death Benefit Fund, the National Medical Benefit Fund and the National Pension Fund. In return, every employer and employee are to be liable to pay contributions to every fund of which the employee is a member.

A member who has been incapable for at least 30 consecutive days is to be paid sick leave benefits for the number of days during which the member was absent from work through incapacity which exceeds the number of days of sick leave provided for in the Labour Act. However, sick leave benefits are not payable in respect of a period of sick leave which exceeds two consecutive years.

An employee who is a member of a National Medical Fund is to be provided with medical benefits.

Source: §20, 21, 30 & 32 of the Labour Act, 2007; §28-33 of the Social Security Act, 1994 

Job Security

There is no provision which concerns job security in the law.

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