WRC Rules on Sick Pay Scheme and Penalisation Claim

June 13, 2025

When “Better Than Statutory” Really Matters

A recent Workplace Relations Commission (WRC) decision offers valuable insights for employers operating company sick pay schemes — particularly those that are more generous than the statutory minimum. The case also serves as a timely reminder of the importance of clearly defined policies and robust communication when managing employee absence and disciplinary action.


The Case at a Glance

An employee of McDermott Laboratories Limited (trading as Viatris) lodged a complaint under the Sick Leave Act 2022, claiming he was penalised after exercising his rights under the Act. However, the company raised a key preliminary issue: that the Act did not apply because their internal Sick Pay Scheme was more favourable than the statutory scheme.


The WRC adjudicator agreed — and ultimately ruled that she had no jurisdiction to hear the complaint under the Sick Leave Act.


Statutory Sick Leave vs Company Sick Pay

The case turned on the interpretation of Section 9 of the Sick Leave Act 2022, which states that the Act does not apply to employers who provide a more favourable sick pay scheme.

Here’s how the two schemes compared:

Statutory Sick Leave vs Company Sick Pay

Despite the waiting period, the Adjudicator was satisfied that the employer's scheme, viewed as a whole, was significantly more favourable.


Jurisdiction Denied

Because the company scheme exceeded the statutory minimum, the WRC Adjudicator ruled she was precluded from considering the claim under the Act. This effectively dismissed the complaint before the substantive penalisation claim could be evaluated.


What About the Penalisation Allegation?

Although the case was closed on jurisdictional grounds, the Adjudicator still examined the penalisation claim.


The employee alleged he was penalised after receiving calls from occupational health on the day of a surgery, and that his father contacted the company on his behalf. That call was reportedly viewed as threatening, and the employee subsequently received a formal written warning, which also referenced a missed occupational health appointment.


The adjudicator found:

• The company’s Sick Pay Policy clearly allowed for medical referrals and outlined potential disciplinary consequences for non-compliance.

• The disciplinary action taken was based on policy breaches — not retaliation for exercising rights.

• Therefore, even if the Act had applied, the penalisation claim was not well-founded.


At MSS The HR People, we help employers design, update, and defend workplace policies that meet statutory requirements and go beyond, when needed. Whether you're reviewing your sick pay arrangements or responding to a grievance or disciplinary matter, our team can help you navigate it with clarity and confidence.



Contact us for more information: info@mssthehrpeople.ie Ph: 018870690 

WRC Finds Pregnancy Discrimination Following Probationary Review
By Amanda Scully August 18, 2026
A recent WRC decision highlights the importance of fair, well documented probation procedures, particularly where pregnancy or pregnancy-related illness is involved.
Record €323,000 WRC Award Highlights the Serious Risks of Whistleblower Penalisation
By Amanda Scully August 18, 2026
WRC decision has highlighted the significant consequences for employers where an employee is found to have been penalised after making protected disclosures.
Pregnancy Loss Leave Bill – Proposed New Statutory Leave for Employees
By Amanda Scully August 18, 2026
Proposed new statutory entitlement to paid leave for employees who experience pregnancy loss before 23 weeks' gestation
Can Employees Use ChatGPT at Work? What Irish Employers Should Consider
By Amanda Scully August 18, 2026
Do employees understand how AI can be used safely and appropriately in the workplace
New Retirement Age Legislation Takes Effect on 29 June 2026
By Amy Vickers July 1, 2026
The Employment (Contractual Retirement Ages) Act 2025 introduces new obligations for employers who operate a contractual retirement age below State Pension Age .
Labour Court Issues First Decision on Right to Request Remote Working
By Amanda Scully June 30, 2026
A landmark Labour Court decision reinforces that the right to request remote working, highlighting the importance of employers following the correct process.
How SMEs Can Attract Great Candidates Without Big Salaries
By Amy Vickers June 30, 2026
Recruitment is about more than pay, and SMEs can gain a competitive edge by promoting the unique benefits of working in a smaller organisation.
Hot Weather in the Workplace: Employer's Responsibilities?
June 30, 2026
As Ireland experiences warmer weather, we examine employers' responsibilities and share practical tips for creating a safe and comfortable working environment.
By David Casey June 12, 2026
One of the biggest mistakes we see employers make is starting recruitment before defining exactly what they need.  When a vacancy arises, there is often pressure to recruit quickly. However, taking time to plan before advertising a role can significantly improve recruitment outcomes and reduce costly hiring mistakes. Before starting the recruitment process, employers should ask themselves five fundamental questions. 1. Do We Actually Need to Hire This Person? Before recruiting, consider whether a new hire is genuinely required. Is the workload permanent? Could responsibilities be redistributed? Is there another solution available? Recruitment should address a business need, not simply fill a vacant seat. 2. What Exactly Do We Need From This Person? Many employers focus on job titles rather than outcomes. Consider: • What responsibilities will they own? • What skills are essential? • What results should they achieve? A clear understanding of the role makes it easier to identify the right candidate. 3. Will This Candidate Be the Right Cultural Fit? Technical skills are important, but so is cultural fit. A candidate may have the right experience on paper, but will they align with your company values, team dynamics, and ways of working? Long-term success often depends on both capability and compatibility. 4. Are Our Expectations Realistic and Sustainable? Unrealistic expectations can make recruitment unnecessarily difficult. Employers should assess whether the salary, responsibilities, and required experience are aligned with the realities of the market. The ideal candidate rarely ticks every box. 5. Do We Have the Infrastructure to Support and Retain Them? Hiring successfully requires a meaningful investment of time. Before proceeding, evaluate whether you have the necessary time, administrative resources, and budget to effectively interview, onboard, and train a new employee. Recruitment doesn't end when the offer is accepted. Supporting and retaining talent is equally important. Key Takeaway Recruitment done right is rewarding for both employers and employees, laying the foundation for a successful and productive working relationship. However, it requires careful planning, time, and investment to achieve the best outcomes. Taking the time to answer these five questions before recruiting can help streamline your hiring process, protect your budget, and ensure you're attracting the right person for your business. If you're planning a hire and would like support with your recruitment strategy, we're happy to help. info@mssthehrpeople.ie | 01 887 0690
WRC Upholds Constructive Dismissal and Protected Disclosure Complaints
By Amy Vickers June 4, 2026
Health and safety concerns, deteriorating workplace relationships and poor record keeping create significant exposure for employers