Sick Pay Changes 2026: What Sponsors Must Know for Migrant Workers
The introduction of changes under the Employment Rights Act 2025 marks a significant shift in how employers manage sickness absence, particularly for those sponsoring migrant workers under the UK immigration system.
From 6 April 2026, Statutory Sick Pay (SSP) rules have changed. While these reforms aim to improve employee protection, they also create new compliance risks for sponsor licence holders if not handled correctly.
This blog explains what has changed, and, crucially, how it impacts your reporting and sponsorship duties.
1. What Has Changed with SSP?
Under the new regulations:
SSP is now payable from Day 1 of sickness (previously Day 4)
The Lower Earnings Limit has been removed
SSP is now calculated as:
£123.25 per week (2026/27) OR
80% of average weekly earnings (whichever is lower)
This means more workers qualify, and they qualify earlier.
For sponsors, this directly affects how absences are recorded and interpreted.
2. Why This Matters for Sponsored Workers
Employers often treat sickness as a purely HR/payroll issue.
However, under the UK Immigration Rules, sickness absence is also a reportable immigration event in certain circumstances.
With SSP now starting from day one, the Home Office is likely to expect greater visibility and consistency in how absences are tracked.
3. Reporting Duties: What Must Sponsors Do?
As a sponsor, you are under a duty to monitor and report significant changes in a worker’s circumstances.
You must report via the Sponsor Management System (SMS) if:
A worker is absent without permission for 10 consecutive working days
There are significant changes in salary or working patterns
The worker stops attending work or disappears from employment
Key Point:
Sickness itself is not automatically reportable, but it becomes relevant where it affects:
Attendance
Salary thresholds
Ongoing employment
4. The Critical Risk Area: Salary Thresholds
This is where SSP and immigration law intersect most sharply.
Sponsored workers must generally be paid:
Their minimum salary threshold, and
Their going rate
If a worker is on SSP:
Their income may drop significantly
This could take them below the required salary level
Important:
The Home Office does allow certain permitted salary reductions, including sickness, but:
The employment must still be genuine and ongoing
The absence must be temporary
Proper records must be kept
Failure to manage this correctly can lead to:
Sponsor licence compliance action
Visa curtailment risks
5. Day-One SSP: A New Compliance Reality
Previously, short absences (1–3 days) were often informal and unpaid.
Now:
Even very short absences are formally recognised and paid
This increases the expectation that employers:
Record absences properly
Maintain audit trails
Apply policies consistently
For sponsors, this means:
There is no longer a “grey area” for short sickness absences.
Everything must now be documented and defensible.
6. Practical Steps for Sponsors
To stay compliant, you should:
1. Update Your Sickness Policy
Ensure it reflects:
Day-one SSP entitlement
Reporting and documentation requirements
2. Strengthen Record-Keeping
Maintain:
Self-certification forms
Fit notes (where applicable)
Payroll records showing SSP payments
3. Monitor Salary Impact
Track:
When SSP reduces salary below thresholds
Whether this falls within permitted exceptions
4. Train Your HR and Compliance Teams
Ensure teams understand:
The difference between HR management and immigration compliance
When to escalate issues
5. Review Absence Patterns
Repeated or long-term absence may trigger:
Sponsorship concerns
Questions about whether the role remains genuine
7. Common Mistakes to Avoid
Treating SSP as “just payroll” and ignoring immigration implications
Failing to document short absences
Allowing salary to drop without assessing sponsorship impact
Not reporting unauthorised absence correctly
Assuming sickness automatically protects against compliance action
8. Final Thought: Compliance Is About Evidence
The key question the Home Office will ask is:
“Can you demonstrate that you knew where your worker was, what they were being paid, and that the role remained genuine?”
The new SSP regime increases scrutiny, not because the law says so explicitly, but because the margin for informal practice has now disappeared.
Need Support?
If you are a sponsor managing migrant workers, particularly in health and social care, it is essential to align your HR, payroll, and immigration compliance systems.
At Tulia, we support organisations with:
Sponsor licence compliance audits
SMS reporting strategies
Policies aligned with Home Office expectations
Training for HR and management teams
If you need support please book a business immigration consultation here https://calendly.com/info-56205/business-immigration-consultation
