Percentage Threshold Scheme To Be Abolished

The government response to the independent review of sickness absence ‘Fitness for Work’ has been presented to Parliament by the Secretary of State.

The review made a number of recommendations but one of note for small employers is the recommendation of the abolition of the Percentage Threshold Scheme (PTS) which has been highlighted as “compensating mainly smaller employers for very high rates of sickness absence”. The government agreed and intend to use the funds saved on the provision of a new health and work assessment and advisory service. It is proposed that the service would begin in 2014.