April baby showers
The issue
New maternity/adoption leave and pay changes apply to employees with babies due on or after 1 April 2007 (irrespective of when the baby is born).
The following provisions are now in place:
- all pregnant employees are entitled to 52 weeks’ maternity leave;
- the statutory maternity pay (“SMP”) period is 39 weeks (instead of 26 weeks);
- businesses have the right to make “reasonable” contact with employees on maternity leave, e.g., to discuss return to work dates;
- businesses can agree that employees will work up to 10 days without loss of SMP;
- KIT (Keeping in Touch) days can attract additional pay without loss of other rights;
- employees must now give 8 weeks’ notice if they intend to return to work before the end of their 52 week leave period.
These changes apply equally to those entitled to adoption leave and pay, (although adopters with the requisite qualifying service for statutory adoption pay (“SAP”) are still not entitled to the first six weeks at 90% of their salary as with SMP, and will only receive 39 weeks at the statutory rate (now £112.75 per week for both SAP and SMP from 1 April)).
The consequences
This will help businesses in so far as:
- an early returner now needs to give 8 weeks’ prior notice
- a business can maintain contact generally; and
- a business can preserve skill levels and team or client contact through new unpaid “keeping in touch” (“KIT”) days.
The solution
Businesses should take proactive steps to update their employment handbooks and communicate the changes to staff.
What next?
The baby leave rights swap
By April 2009 (it is planned that)
- SMP will extend to 52 weeks; and
- a father (or the mother’s partner) may:-
- commence up to 6 months’ additional paternity leave (with statutory paternity pay) after 6 months’ of a mother’s statutory maternity leave, provided the mother has returned to work; and
- retain the benefit of his employment terms and conditions during this additional paternity leave and the right to return to his role after the leave.
Information in this e-alert is a guide only. We recommend that you seek professional advice before taking or refraining from any action. No liability accepted by the firm for any action taken or not taken as a result of this publication.