LEGAL MATTERS BY RAINE ST. CLAIRE
The risks of ‘pulling a sickie’ and malingering: Think twice!
D
espite its intended purpose of providing financial support to employees during illnesses, South African businesses are currently grappling with a significant challenge in the form of sick-leave fraud. The misuse of sick leave for personal reasons has become widespread across industries. Occupational Care South Africa (OCSA) suggests that approximately 40% of sick leave claims are not genuine, resulting in businesses losing up to 17% of their annual payroll.
According to labour analyst Tony Healy, there is an “extraordinary amount of sick leave fraud in South Africa, and employers would be amazed at the level this type of fraud has reached. It has gotten to the point where it has become a business to some people”. He highlights instances, where administrative and reception staff in doctor’s offices stole blank doctor’s pads and scripts to sell fraudulent sick notes from their homes as a side hustle.
A recent report from OCSA highlights that absenteeism costs the South African economy between R12 billion and R16 billion annually, with 15% to 30% of employees being absent on any given day. The Basic Conditions of Employment Act allows employees 30 days of sick leave over a three-year cycle, equivalent to six weeks of paid sick leave spread across 36 months. New employees can request one day of paid sick leave for every 26 days worked. Within this framework, employers have the authority to request a medical certificate under specific circumstances, such as when an employee misses two consecutive workdays or frequently takes sick leave. This jurisdiction also extends to situations where employees claim illness on a Monday or a Friday. Regrettably, this practice has given rise to a concerning trend where some individuals exploit sick leave by falsely alleging illness when their actual intention is to take a personal day off.
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This type of dishonesty is not unusual, as Tony estimates that nearly 50% of medical certificates submitted to employers contain fraudulent information, amounting to theft and fraud. Such actions can potentially result in employee dismissal and legal consequences and should serve as a stark warning to employees to maintain integrity when handling sick leave-related issues.