| Employment
A service
for Employers and Employees
Team Leader
and Partner Mike Pitt
Family
Friendly Provisions
April 2003 will
see the implementation of the Employment Act 2002 which provides
new rights for working parents which may affect you as an employer.
Parents of children aged under six or of disabled children aged
under 18 will have the right to apply to work flexibly. Maternity
leave and pay will be increased and extended and new rights to paid
adoption and paternity leave will be introduced. These rights apply
in England, Scotland and Wales.
I set out below
the basic details relating to these changes. If you require further
advice or information please contact either myself or a member of
my team to obtain detailed advice relevant to your specific circumstances.
Flexible
Working
The 2002 Act
gives parents the right to apply for flexible working. It will not
provide an automatic right to work flexibly as there will always
be circumstances when the employer is unable to accommodate the
employee’s desired work pattern. The right is designed to
meet the needs of both parents and employers, especially small employers.
It aims to facilitate discussion and encourage both the employee
and the employer to consider flexible working patterns and to find
a solution that suits them both.
Employees who
wish to make a request must have responsibility as the mother, father,
adopter, guardian or foster parent of the child; or be married to
such a person and living with the child; or be the partner of such
a person; and have or expect to have responsibility for the upbringing
of the child. The child must be aged under six or a disabled child
aged under 18. Parents wishing to adopt a flexible working pattern
will need to submit a written application to their employer. This
application must set out the desired working pattern and include
an explanation of how the employer could accommodate this request.
There will be a clearly defined procedure for both employees and
employers to follow. The employee must have worked with their employer
continuously for 26 weeks at the date the application is made. Employees
can complain to an Employment Tribunal if the employer has not followed
a correct procedure or the grounds on which the employee has been
refused the request for flexible working are incorrect.
We can help
you to deal with any applications you may receive for flexible working.
Maternity Leave
Women whose
expected week of childbirth (EWC) begins on or after 6 April 2003
will benefit from the new maternity leave provisions. Women whose
ECW is on or after 6 April 2003 will benefit from the new leave
rights even if their babies are born earlier than expected.
The changes
to maternity leave provisions will NOT apply to women whose EWC
is before 6 April 2003, even if their babies are born later than
expected on or after 6 April 2003.
The length of
ordinary maternity leave will be increased and pregnant employees
will be entitled to 26 weeks’ ordinary maternity leave, regardless
of how long they have worked for their employer.
Women who have
completed 26 weeks’ continuous service with their employer
by the 15th week before their EWC will be able to take additional
maternity leave. Additional maternity leave will start immediately
after ordinary maternity leave and continue for a further 26 weeks.
Additional maternity
leave is usually unpaid although a woman may have contractual rights
to pay during her period of additional maternity leave.
A pregnant employee
will be required to notify her employer of her intention to take
ordinary maternity leave by the 15th week before her EWC, unless
this is not reasonably practicable. She will need to tell her employer:-
- That she
is pregnant
- The week
her baby is expected to be born
- When she
wants her ordinary maternity leave to start
A woman will
be able to change her mind about when she wants to start her leave
providing she tells her employer at least 28 days in advance (unless
this is not reasonably practicable).
There will be
a new requirement on employers to respond to a woman’s notification
of her leave plans within 28 days. An employer will need to write
to his employee, setting out the date on which he expects her to
return to work if she takes her full entitlement to maternity leave.
We can provide a draft letter for you to use if you so require.
There will be
no change to how early a woman is able to start her maternity leave
– the earliest date will continue to be the beginning of the
11th week before her baby is due.
There will no
longer be provision for an employer to write to a woman before the
end of her ordinary maternity leave period to ask the date on which
her child was born and whether she intends to return after her additional
maternity leave period. This means that a woman who intends to return
to work at the end of her full maternity leave entitlement will
not be required to give any further notification to her employer.
An employee
who wants to return to work before the end of her maternity leave
will need to give her employer 28 days’ notice of the date
she wants to return to work..
A woman’s
maternity leave will start automatically if she is absent from work
for a pregnancy related illness during the four weeks before the
start of her EWC, regardless of when she has said she actually wants
her maternity leave to start.
Statutory
Maternity Pay
The Department
for Work and Pensions will be making changes to Statutory Maternity
Pay (SMP). The most important of these changes will be the length
of time covered by SMP and the increase in the amount paid.
In order to
qualify for SMP the employee must have completed 26 weeks’
continuous service at the 15th week before the EWC. Women who are
entitled to SMP and whose EWC begins on or after 6 April 2003 will
receive SMP for 26 weeks.
Women who are
entitled to SMP and whose EWC begins on or after 6 April 2003 but
who give birth prematurely, will still be entitled to receive SMP
for 26 weeks.
From 6 April
2003 the standard rate of SMP will increase from the current £75.00
a week to £100.00 a week (or 90% of the woman’s average
weekly earnings if this is less than £100 a week). There will
be no change to the current earnings-related rate of SMP (90% of
average weekly earnings) which applies for the first six weeks of
the pay period. This means that when the changes are fully in place,
women will get SMP from their employer worth 90% of their earnings
for 6 weeks, followed by 20 weeks at £100.00 (or 90% of earnings
for the full 26 weeks if this is less than £100.00 a week).
Existing arrangements
for employers to recover SMP will continue – employers are
able to claim back 92% of the payments they make, with those eligible
for small employers’ relief able to claim back 100% plus an
additional amount in compensation for the employer’s portion
of National Insurance contributions paid on SMP.
In addition,
under the new arrangements, employers who need to, will be able
to receive funding in advance for payments of SMP from the Inland
Revenue.
Right
To Return After Maternity Leave
An employee
returning from ordinary maternity leave is entitled to go back to
her normal job on the same terms and conditions as if she had not
been absent. If a redundancy situation arises during her maternity
leave, you must offer her any other suitable work that is available
at that point.
An employee
returning from additional maternity leave is entitled to go back
to her old job. However if a redundancy situation has arisen during
the additional leave period, or if there is some other genuine reason
why her original job is no longer available, you must offer her
any other suitable work that is available when she returns. But
if you have five or fewer employees, it would not be an automatically
unfair dismissal if you did not take back a woman after the additional
maternity leave period if to do so would not be reasonably practicable.
(If there is a dispute, it would be for an employment tribunal to
decide what was ‘reasonably practicable’)
Paternity Rights
To qualify for
paternity rights employees will need to satisfy the following conditions.
They must:-
- Have or
expect to have responsibility for the child’s upbringing
- Be the biological
father of the child or the mother’s husband or partner
- Have worked
continuously for their employer for 26 weeks leading into the
15th week before the baby is due.
Eligible employees
will be able to take up to two weeks’ paid leave in addition
to parental leave to care for their new baby and support the mother.
Paternity leave
must be taken during the period of 56 days beginning with:
The date on which the child is born, or
The first day of the expected week of the child’s birth
Whichever is the later.
During their
paternity leave most employees will be entitled to Statutory Paternity
Pay (SPP) from their employer. The rate of SPP will be the same
as the standard rate of SMP – from April 2003, this will be
£100.00 a week or 90% of average weekly earnings if this is
less than £100.00.
Any paternity
pay period which starts before 6 April 2003 will be paid for the
full period at the same standard rate as SMP from April 2002 - £75
a week.
Employees who
have average weekly earnings below the lower earnings limit for
National Insurance purposes (£75 a week from April 2002) will
not qualify for SPP.
Employees will
be required to inform their employer of their intention to take
paternity leave by the fifteenth week before the baby is expected,
unless this is not reasonably practicable.. They will need to tell
their employers:-
- The week
the baby is due
- Whether they
wish to take one or two weeks’ leave
- When they
want their leave to start
Employees will
be able to change their mind about the date on which they want their
leave to start providing they tell their employer at least 28 days
in advance (unless this is not reasonably practicable). Employees
will have to tell their employer the date they expect any payments
of SPP to start at least 28 days in advance, unless this is not
reasonably practicable.
Employees will
have to give their employer a completed self-certificate as evidence
of their entitlement to SPP. Employers can also request a completed
self certificate as evidence of entitlement to paternity leave.
This self certificate must include a declaration that the employee
meets certain eligibility conditions and provide the information
specified above as part of the notice requirements.
By providing
a completed self certificate employees will be able to satisfy both
the notice and evidence conditions for paternity leave and pay.
Employers will not be expected to carry out any further checks.
Employees are
entitled to the benefit of their normal terms and conditions of
employment, except for terms relating to wages or salary (unless
their contract of employment provides otherwise), throughout their
paternity leave. However most employees will be entitled to SPP
for this period. If the employee has a contractual right to paternity
leave as well as the statutory right, he may take advantage of whichever
is the more favourable. Any paternity pay to which he has a contractual
right reduces the amount of SPP to which he is entitled.
Employees will
be entitled to return to the same job following paternity leave.
Employees will
be protected from suffering unfair treatment or dismissal for taking,
or seeking to take, paternity leave. Employees who believe they
have been treated unfairly will be able to complain to an employment
tribunal.
Employers will
be able to recover the amount of SPP they pay out in the same way
as they can currently claim back SMP.
In addition,
employers who need to will be able to receive funding in advance
for payments of SPP from the Inland Revenue.
Adoption
Rights
A new right
to adoption leave and pay is being introduced. The new right will
be available to individuals who adopt, or one partner of a couple
where the couple adopt jointly. A new right to paternity leave and
pay for the other member of the couple, or an adopter’s partner,
is also being introduced. Subject to Parliamentary approval, employees
whose children are placed with them on or after 6 April 2003 will
benefit from the new adoption and paternity leave and pay rights.
To qualify for
adoption leave, an employee must:-
Be newly matched
with a child for adoption by an approved adoption agency
Have worked continuously for their employer for 26 weeks leading
into the week in which they are notified of being matched with a
child for adoption
Adopters will
be entitled to up to 26 weeks’ ordinary adoption leave followed
immediately by up to 26 weeks’ additional adoption leave –
a total of up to 52 weeks’ leave.
Additional adoption
leave will usually be unpaid although an adopter may have contractual
rights to pay during his period of additional adoption leave.
An adopter can
choose to start their leave:
- From the
date of the child’s placement (whether this is earlier or
later than expected), or
- From a fixed
date which can be up to 14 days before the expected date of placement.
Only one period
of leave will be available irrespective of whether more than one
child is placed for adoption as part of the same arrangement.
If the child’s
placement ends during the adoption leave period, the adopter will
be able to continue adoption leave for up to eight weeks after the
end of the placement.
During their
adoption leave, most adopters will be entitled to Statutory Adoption
Pay (SAP) from their employers.
Adopters will
be required to inform their employer of their intention to take
adoption leave within 7 days of being notified by their adoption
agency that they have been matched with a child for adoption, unless
this is not reasonably practicable.They will need to tell their
employer:-
- When the
child is expected to be placed with them and
- When they
want their adoption leave to start
Adopters will
be able to change their mind about the date on which they want their
leave to start providing they tell their employer at least 28 days
in advance (unless this is not reasonably practicable). They will
have to tell their employer the date they expect any payments of
SAP to start at least 28 days in advance, unless this is not reasonably
practicable.
Employers will
have 28 days in which to respond to their employees’ notification
of their leave plans. An employer will need to write to the employee,
setting out the date on which they expect the employee to return
to work if the full entitlement to adoption leave is taken. We can
provide a draft letter for you to use if you so wish.
Employees will
have to give their employer documentary evidence – a ‘matching
certificate’ – from their adoption agency as evidence
of their entitlement to SAP. An employer can also ask for this certificate
as proof of entitlement to adoption leave.
Employees are
entitled to the benefit of their normal terms and conditions of
employment, except for terms relating to wages or salary, (unless
their contract of employment provides otherwise), throughout their
26 week ordinary adoption leave period. However most adopters will
be entitled to SAP during this period. If the employee has a contractual
right to adoption leave as well as the statutory right, he may take
advantage of whichever is the more favourable. Any adoption pay
to which he has a contractual right reduces the amount of SAP to
which he is entitled.
During additional
adoption leave, the employment contract continues and some contractual
benefits and obligation remain in force, for example compensation
in the event of redundancy and notice periods.
Adopters who
intend to return to work at the end of their ordinary or additional
adoption leave entitlement will not have to give any further notification
to their employer.
Adopters who
want to return to work before the end of their ordinary or additional
adoption leave period, must give their employers 28 days’
notice of the date they intend to return. There is no requirement
that this notice be given in writing.
If an employee
attempts to return to work without having given at least 28 days’
notice, the employer is entitled to postpone the employee’s
return to a date that will secure the full period of notice. The
employer may not, however, delay the employee’s return beyond
the end of the additional adoption leave period. If the employer
has exercised the right to defer an employee’s return date
on account of inadequate notice having been given by the employee,
but the employee nevertheless returns to work before the date specified
by the employer, then the latter is under no contractual obligation
to pay the employee remuneration until that date.
Employers will
be able to recover the amount of SAP they pay out in the same way
as they can currently claim back SMP.
In addition
employers who need to will be able to receive funding in advance
for payments of SAP from the Inland Revenue.
Following the
placement of a child for adoption, the new rights for paternity
leave and pay will give eligible employees the right to take paid
leave to care for their new child or support the adopter.
Rights To Parental Leave And Time Off For Dependants
Employees –
both mothers and fathers – who have completed one year’s
service with their employers are already entitled to 13 weeks’
(unpaid) parental leave to care for their child. Parental leave
can usually be taken up to 5 years from the date of birth or in
cases of adoption five years from the date of placement (or the
child’s 18th birthday, if that is sooner).
Parents of disabled
children are entitled to 18 weeks’ parental leave (previously
13 weeks) up to the child’s 18th birthday, providing they
have the qualifying length of service.
All employees
are also entitled to take a reasonable amount of (unpaid) time off
work to deal with an emergency or unexpected situation involving
a dependant.
If you require
any further information on the new Family Friendly provisions please
do not hesitate to contact either myself Michael Pitt, my colleague
Mrs Tracey Banks or my assistant Ms Susan Mayall.
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