UK IKEA to Cut Pay for Unvaccinated Employees During Isolation

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Cho Hyun-ui] IKEA UK has decided to reduce the salary of employees who are unvaccinated against COVID-19 and must self-isolate due to close contact.

On the 10th (local time), the BBC reported, "IKEA will pay only the statutory minimum sick pay of ?96.35 per week (about 157,000 KRW) to unvaccinated employees classified as close contacts and required to isolate." The average weekly wage at IKEA is ?404 (about 658,000 KRW).

However, exceptions will be made for those exempted from vaccination for medical reasons. IKEA told the BBC, "We acknowledge that (salary reduction) is a sensitive issue" and "each case will be reviewed individually."

IKEA decided on this measure last September. The UK government announced in August last year that individuals who have received two vaccine doses are exempt from self-isolation when identified as close contacts.

Wessex Water, a UK water utility company, also decided from this week to pay only the statutory minimum sick pay to unvaccinated individuals or those who have not booked vaccination appointments when they self-isolate due to close contact.

Recently, various sectors in the UK have been experiencing severe labor shortages as the number of self-isolating individuals surged due to the Omicron variant outbreak. A Wessex Water spokesperson said, "Absences due to COVID-19 doubled last week," adding, "We have managed without furloughs so far and have paid full wages to those self-isolating."

However, an expert told the BBC, "While such measures may encourage vaccination, they might also reduce testing or self-isolation. Additionally, due to legal risks, responses must be handled on a case-by-case basis."

This content was produced with the assistance of AI translation services.