Social Security and Housing Benefits Act 1982

37 Sick pay to count as remuneration for principal Act. E+W+S

(1) In section 3 of the principal Act (meaning of “earnings”) there are inserted, after subsection (1), the following subsections—

“(1A) For the purposes of this section there shall be treated as remuneration derived from an employed earner’s employment any sickness payment made—

(a) to or for the benefit of the employed earner ; and

(b) in accordance with the arrangements under which the person who is the secondary contributor in relation to the employment concerned has made or remains liable to make payments towards the provision of that sickness payment.

(1B) Where the funds for making sickness payments under arrangements of the kind mentioned in subsection (1A)(b) above are attributable in part to contributions to those funds made by the employed earner, regulations may make provision for disregarding, for the purposes of subsection (1A) above, the prescribed part of any sum paid as a result of the arrangements.

(1C) In this section—

“sickness payment” means any payment made in respect of absence from work due to incapacity for work (within the meaning of section 17 of this Act) ; and

“secondary contributor” has the meaning given by section 4 of this Act.”.

(2) In Schedule 2 to the principal Act (supplementary provisions relating to contributions) the following paragraph is inserted at the end—

“ Sickness payments counting as remuneration

9 (1) Regulations may make provisions as to the manner in which, and the person through whom, any sickness payment which, by virtue of section 3(1A) of this Act, is to be treated as remuneration derived from employed earner’s employment is to be made.

(2) In any case where regulations made under sub-paragraph (1) above have the effect of requiring a registered friendly society (within the meaning of the Friendly Societies Act 1974) to make amendments to its rules, the amendments to its rules, the amendments may, notwithstanding any provision of those rules, be made in accordance with the procedure prescribed by regulations made by the Chief Registrar of Friendly Societies for the purposes of this paragraph.

(3) Regulations made under sub-paragraph (2) above shall be subject to annulment in pursuance of a resolution of either House of Parliament.”.

Modifications etc. (not altering text)

C1 The text of ss. 37, 39(2)–(4), 40, 41(3), 43(1) and 48(6) is in the form in which it was originally enacted: it was not reproduced in Statutes in Force and does not reflect any amendments or repeals which may have been made prior to 1.2.1991.