I hope you have lots of notes on her performance and the reason for her termination. If you can prove that you handled this situation in a calm, professional manner then she cannot win her medical stress leave or verbal abuse claim. But the onus is on you to prove that you did not verbally abuse her in any way. Did you have any witnesses of your discussions?
Collate all your notes and documentation for this case to assist you against the appeal. But I agree with Moz - you need to pay the 1 week's sick leave, but get an original copy of the certificate and check with the doctor on the certificate to authenticate it (I had an employee that faked one off the internet).
I don't understand why the insurance company is considering the 10 week payout - is there more to this story?
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