Tory management candidate Kemi Badenoch prompted a backlash final weekend when she stated maternity pay within the UK was “excessive” and referred to as for larger “personal responsibility”.
Her feedback – which she later backtracked on – ignited a brand new dialog about how moms are supported whereas away from work. So what’s maternity pay, who can get it and the way does the UK rank?
What it’s essential know
Statutory maternity pay (SMP) was launched within the UK in 1987.
Somebody who’s legally classed as an worker (our Cash weblog Principally on employment rights explains this) can get SMP if:
- They’ve been working constantly for 26 weeks for a similar employer earlier than their ‘qualifying week’ (the fifteenth week earlier than the newborn is due);
- They earn at the least £123 every week on common for eight weeks earlier than their qualifying week.
SMP is paid for as much as 39 weeks of the 52 weeks of go away that eligible workers are provided.
Some employers, nevertheless, might supply “enhanced” maternity pay packages for employees which have been with them for a sure size of time – similar to 26 weeks’ primary pay, adopted by 13 weeks statutory.
Importantly, eligible girls are nonetheless entitled to maternity go away and/or pay if their child is stillborn after 24 weeks of being pregnant, or is born alive at any level however doesn’t survive.
What’s it value?
For the primary six weeks, SMP is paid at 90% of your common weekly earnings.
After this, you’re paid whichever is decrease:
- £184.03 every week (the speed often will increase in April annually)
- 90% of your common weekly earnings
Maternity pay is identical whatever the variety of youngsters you could have (eg twins or triplets).
Should you take the total 52 weeks’ maternity pay, the final 13 weeks are unpaid except your employer presents you an enhanced package deal.
Who pays for it?
The employer pays SMP to their worker within the first occasion – however they will declare again most, or probably all, of the quantity from HM Income and Customs relying on the dimensions of the enterprise.
If an organization is smaller and has paid lower than £45,000 in school one nationwide insurance coverage contributions within the final tax 12 months, they will declare again the total SMP quantity from the federal government plus 3% on prime in small employers’ aid.
Bigger employers can often declare again 92% of SMP.
How does UK maternity pay examine with different nations?
The UK is ranked very in a different way on two totally different measures of maternity pay within the OECD (Organisation for Financial Cooperation and Growth) – a 38-member group which appears at financial and social coverage.
In relation to total pay, the UK sits in the direction of the underside of the pack – however it’s close to the highest when measured on the size of paid time girls have the authorized proper to take off, in keeping with analysis by the OECD in 2023.
A YouGov ballot performed amid the row over Ms Badenoch’s remarks has discovered that simply 7% of Britons suppose maternity pay is at the moment an excessive amount of – in contrast with 36% who suppose it’s too little, and 28% who suppose it’s about proper.
Ladies (42%) had been extra seemingly than males (30%) to suppose it’s not sufficient.
Learn extra:
How accident in cafe and £400 changed into genius enterprise thought
The commonest vacation reserving scams
cut up home tasks pretty – and the belongings you shouldn’t say
What if I can’t get statutory pay?
Should you’re not entitled to statutory maternity pay, you may have the ability to declare maternity allowance for as much as 39 weeks of your go away, which is paid straight from the federal government.
You will get this in case you:
- are employed however don’t qualify for SMP;
- are self-employed;
- have just lately stopped working;
- participate in unpaid work for the enterprise of your partner or civil companion.
Should you’re employed or self-employed, you have to have been registered as such for at the least 26 weeks within the 66 weeks earlier than your child is due date.
You’ll must have earned at the least £30 every week for at the least 13 of these weeks.
Should you’re employed or have just lately stopped working, you’ll be paid an allowance of £184.03 every week or 90% of your common weekly earnings (whichever is much less). Should you’re self-employed, you will get between £27 to £184.03 every week relying on what number of class two nationwide insurance coverage contributions you’ve made within the 66 weeks earlier than your child is due.
Paternity pay
Fathers are additionally entitled to some pay and day off work once they welcome a toddler.
Like maternity pay, the statutory charge of paternity pay is £184.03, or 90% of your common weekly earnings – whichever is decrease.
Usually, statutory paternity go away is for as much as two weeks relying on eligibility, although some employers might supply extra with their enhanced parental go away package deal.
