I hired a person in Feb and he started having an illness that's not disclosed to me(HR does know it) shortly after. He's exhausted all his sick and vacation days. Basically he's missed a lot of time and when he is here his mind is clearly not at work. What's worse is that he is dishonest about his conditions and thinks he is doing good enough to hang on to his job.
I have given my full support for him to last this long out of sympathy but its in the hands of HR now. His condition could be fatal and firing him now would be like pushing someone off the cliff. Not only he will lose the income but also the medical insurance. Unfortunately, he is heading down that path. It's hard.
You should have a private talk with him, be supportive of him if he wants to improve. If he doesn't there is not much you can do as its a business.