An employee had not handed their timesheets into their manager to sign from November to date.  This was not chased up by payroll so they were paid full to end of January. 

In February they did not turn in to work ( child was ill) for the first week then sent in a sicknote for the second.  We pay wages on the 15th of the month so the last  2 weeks are predicted.  Payroll recalculated the timesheets from November with information from signing in sheets and Manager texts and realised the employee had been overpaid so they paid one week full pay for the sickness for the whole of February.  

My question is another sicknote has been sent in for a month (anxiety and low mood). Payroll want to pay statutory sick pay for the whole month but under our sickness policy they are  entitled to one month (to date they have received 2 weeks of their entitlement) Can they do this? Or do we have to pay the 2 week full pay and 2 weeks statutory which would still leave the organisation in deficit?