UK Statutory and Occupational Sick Pay

Activate User's Guide
Version
2025.2
UK Statutory and Occupational Sick Pay

Use the UK Statutory and Occupational Sick Pay wizard to install and set up UK OSP/CSP (Occupational Sick Pay) and SSP (Statutory Sick Pay) Pay and Entitlements.

This wizard accelerates your UK OSP/CSP and SSP configuration by installing all of your Entitlement Units, Balances, Recurrences, and Rules customized according to your preference. Activate installs your Pay Policy with the required rules customized to your needs. After you complete the wizard, Activate installs the rules and entitlements. You can apply any additional changes to the configuration directly in Dayforce.

Note the following:

  • You must complete the Pay Policies wizard before using this wizard.
  • If you haven’t already completed the Entitlement Policy wizard or have configured Entitlement policies manually in Dayforce, you must associate the entitlements from this wizard to any Entitlement policies that you create after completing this wizard manually.
  • You can’t complete this wizard more than one time. Make sure that the wizard incorporates all of your intended configuration.

Note: This wizard is only visible after a UK pay group has been installed.

Important: You can only complete the UK Statutory Occupational Sick Pay wizard one time only. Make sure that this wizard incorporates all of your intended configuration. If you need to make additional changes after completing this wizard, you must make the changes directly in Dayforce.

Prerequisites

You must complete the Pay Policies wizard before completing this wizard.

If you haven’t already completed the Entitlement Policies wizard, you must associate the entitlements from the UK Statutory Occupational Sick Pay wizard manually to any entitlement policies you later create in the Entitlements wizard.

Key concepts

Statutory Sick Pay (SSP)

Statutory (Stat) Sick Pay determines how sick time is accumulated and paid. The payroll configuration handles this compliance item.

Note: Eight (8) weeks of historical data is managed manually using the LEL settings for the first 2 months.

Occupational Sick Pay (OSP)

Works with the Statutory Sick Pay (SSP) to determine how sick time is accumulated and paid. Employers aren’t required to offer Occupational Sick Pay, which uses a lookback of 1-3 years of historical data.

Tasks

To confirm that you’ve completed the prerequisites:

  1. In Activate Central, click Build Dayforce. The Build Dayforce wizards show.
  2. Click UK Statutory and Occupational Sick Pay.

  3. On the UK Statutory and Occupational Sick Pay Configuration page, verify that you:

    • Completed the Pay Policies wizard.
    • Completed the Entitlements wizard. (If not, you must manually add the entitlements installed by this wizard to the required Entitlement Policies in the future.).
    • Understand that this wizard can only be completed one time, so make sure that it incorporates all of your intended OSP Levels. Any further changes must be made directly in Dayforce.
    • Understand that you won’t need to install OSP Unpaid (OSP Percent Value: 0) because it will be installed automatically.
  4. Confirm that you’ve completed the tasks by selecting all checkboxes.
  5. Click Next.

To select the pay and entitlement policies:

On the first Questions page, select the Pay and Entitlement policies to link with the Occupational Sick Pay and Statutory Sick Pay setup.

  1. Select the existing pay policies to update to include the OSP and SSP pay rules.

    You can select multiple pay policies in the drop-down list.

    As you select the pay policies, they show in the field.

    Note: Make sure that you select UK pay policies.

    Note: If you select a pay policy in error, click after the policy name to delete it.

    Note: If the No Pay Policies available message shows, you can’t continue.

  2. Select the entitlement policies to update to include the OSP and SSP entitlement Balance rules.

    You can select more than one entitlement policy.

    As you select the entitlement policies, they show in the field.

    The entitlements installed in this wizard are linked to the selected Entitlement policies in Dayforce.

    Note: If you select an Entitlement policy in error, click after the policy name to delete it.

    Note: If the No Entitlement Policies available message shows, you can continue.

  3. Click Next.

To customize the SSP configuration:

On the second Questions page (Customize Your SSP Configuration), customize the Pay and Entitlement policies you’re configuring.

Note: All fields on this page are required.

  1. Select the qualifying method for Dayforce to use to identify the days that qualify as SSP days:
    • Work Contract: Select this option if days in work contracts qualify for SSP.
    • Shift Rotation: Select this option if days within work rotations qualify for SSP.
    • Schedule: Select this option if days with a schedule qualify for SSP.
    • All Days: Select this option if all days qualify for SSP.
  2. Select the Weekly LEL (Lower Earning Limit).

    To qualify for SSP, an employee must have average weekly earnings greater than or equal to the LEL.

    You can enter any decimal number from 0–9999.

  3. Select the Eligible Pay Categories for the LEL.

    Select which pay categories the qualifier should include when determining if the employee is eligible for LEL.

  1. Enter the LEL Lookback Weeks.

    The LEL Lookback Weeks is the number of weeks that Dayforce looks back when qualifying work details.

    You can enter any decimal number from 0–9999.

  1. Enter the government-defined SSP Weekly Rate.

    For example, if SSP covers up to £88.45 per week, an employee that works five days a week would receive £17.69 per day. The remaining daily compensation is then covered by OSP, if offered by the employer.

    You can enter any decimal number from 0–9999.

  1. Enter the number of Days to form PIW (Period of Incapacity for Work).

    Enter the number of consecutive days that an employee must have a PIW time off pay adjustment on the timesheet to be considered a period of incapacity to work. For example, if employees must have PIW pay adjustments on four consecutive days, enter the value of 4.

    You can enter any decimal number from 0–9999.

  1. Enter the Lookback days for linked PIW.

    The Lookback days for linked PIW is the number of days that Dayforce looks back from the start of the current PIW to find previous PIW periods. If Dayforce finds another PIW within this span of this duration, Dayforce will link the periods.

    You can enter any decimal number from 0–9999.

  1. Enter the waiting days for SSP.

    This is the number of scheduled days that must occur within a set of linked PIW periods before the employee is eligible to receive SSP.

    You can enter any decimal number from 0–9999.

  1. Enter the minimum weeks worked.

    This is the number of weeks that an employee must work before they qualify for SSP.

    You can enter any decimal number from 0–9999.

  1. Indicate if you want to include holidays.
    • Yes: Select this option if you want Holidays to be considered as qualifying days.
    • No

  1. Click Next.

To add an occupation sick pay level:

  1. On the OSP/CSP Review page, click Add.

    The Customize Your OSP/CSP Configuration page opens.

    Note: All fields on this page are required.

  2. Enter your OSP Percent Value.

    The OSP Percent Value is the percent of pay an employee would receive. For example, entering a value of 100 would set the employee's OSP payout to 100% of the employee's rate of pay.

    You can enter any number from 1-100.

    Note: You can’t enter a value of 0 in this field.

  3. Select the time unit to use to award the employee's balance:
    • Hours
    • Days
    • Weeks
  4. Enter the balance amounts to award for the entitlements when employees reach seniority levels.
    1. Click Add.
    2. Enter the Seniority (Months) date. Enter whole numbers in this column.

      Note: The scale used to determine an employee's seniority is based on the Months of Service.

    3. Enter the Award Amount <time unit>. Enter the balance amount that is awarded when employees reach each seniority level in the table below. Enter whole numbers in this column. This column header updates to reflect the time unit selected for the question What time unit is this balance awarded in? dynamically.
    4. If you want to add a new seniority level, click Add Level. When you add a new row, the new row shows the total of the value in the previous level plus one.
    5. Repeat steps b. - d. as needed.

      Note: You can add as many rows to the table as needed. When you add a new row, the value in the To (Months of Service) field in the previous row defaults to the value in the From (Months of Service) field in the new row. Also, the value in the To (Months of Service) field in the new row defaults to “Infinite.“

  5. Click Done.

    The OSP/CSP Review page opens.

To edit an occupational sick pay level:

  1. On the OSP/CSP Review page, hover the mouse in the row containing the OSP Level and click Edit.
  2. Update the fields as needed.
  3. Click Done and the OSP/CSP Review page opens.

To copy an Occupational Sick Pay level:

  1. On the OSP/CSP Review page, hover the mouse in the row containing the OSP Level and click Copy.
  2. In the prompt, enter the updated OSP Percent Value for the new level. This value is required. You must enter a number between 1-100, and you can’t enter an OSP level value that already exists in the system.
  3. Click Done and the OSP/CSP Review page opens with the newly created OSP Level shown on the page.

To delete an occupational sick pay level:

  1. On the OSP/CSP Review page, hover the mouse in the row containing the OSP Level and click Delete. A prompt states that you’re about to delete this OSP permanently and the action can’t be undone.
  2. Click one of the following:
    • Delete to continue with the deletion. The OSP/CSP Summary page opens and the deleted OSP Level no longer shows on the page.
    • Cancel. The OSP/CSP Review page opens with the OSP Level still shown on the page.

To install policies:

When the policy configuration is complete in Activate, you must install the policies in Dayforce.

  1. On the Review your OSP/CSP Configuration page, click Done & Install.

    A warning message states that Activate will now install data into Dayforce. If Activate finds any errors, it does a database rollback and removes any manual changes applied in Dayforce during the installation. Don’t continue with the Activate installation if users are actively making configuration changes as their changes might be removed during a failure.

    Important: If someone is signed directly in to Dayforce and potentially applying manual configuration, Activate shows a warning at Done & Install. Don’t continue with the Activate installation if users are actively applying configuration changes. Users’ changes might be lost if a failure occurs during the Activate installation. Download the User Report and follow up with the team members before you continue with the Activate wizard.

  2. Click one of the following:
    • Cancel to return to the Questions page.
    • OK to continue with the installation.

    You can click Download User Report to get a report of the data to be installed.

    The Load page opens with a list of the steps to complete and an estimate of how long the installation usually takes. During the installation, the current step in the process is bolded so you can monitor the progress.

  3. Click one of the following:
    • Add Email and enter your email address to be notified when the installation process ends instead of waiting for it to finish.
    • Next when the installation is complete.

    Activate Central opens with the wizard name now in green text and a green checkmark next to it. The day, date, and time of completion show, along with your name as the user who completed the wizard. The environment in which the installation was applied (Stage, Config, or Train) is also shown.

Results

The pay categories and their associated rate values are available on the Pay Category page in Dayforce.

The pay codes are applied to the pay categories that match their names on the Pay Code page. For each balance-unit combination, the balance units are appended to the pay code names.

The Balances page shows all of the OSP and SSP balance configurations, including the necessary cascade rules.

The Entitlements page shows each percent level that you set up. Percent levels include four entitlements: Initialize, Replenish, Service Award, and Service Award - Transfers.

The Pay Policies that you specified in the Pay Policies page include rules and qualifiers that relate to the OSP levels that you set up and the SSP configuration you completed.

Next steps

The Pay and Entitlement policies you selected in this wizard are now updated in Dayforce with the rules and qualifiers you specified. You can customize these policies further, if you need to.

This wizard installs the following OSP Unpaid elements automatically:

  • OSP Unpaid Pay Category
  • OSP Unpaid Pay Code
  • OSP Unpaid Balance
  • OSP Unpaid Pay Policy Rule
  • OSP Unpaid Entitlements