Assuming we're talking about a person employed by the Contractor then the Employer does have some liability to pay for people who are absent due to ill health. The Schedule of Cost Components item 12(e) states payments to people for absence due to sickness.The key thing here is that the Contractor must prove that the person is directly employed and that they are paying the employee in accordance with their employment contract.
If the person is not directly employed then the Employer is liable to pay the amounts paid by the Contractor, if the person was for example paid via an agency or was a labour only subcontractor then it would be highly unusual for them to be paid anything whilst they weren't at work.
If the person is not directly employed then the Employer is liable to pay the amounts paid by the Contractor, if the person was for example paid via an agency or was a labour only subcontractor then it would be highly unusual for them to be paid anything whilst they weren't at work.