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Maternity
April 2009
MATERNITY PAY TO RISE TO £370 P,W.?
If recent media reports are to be believed Statutory Maternity Pay is soon set to triple. But is this really true, or just another exaggerated headline?
Rumours. It seems that barely a week goes by without another headline screaming about the introduction of a new piece pf European legislation. This month, it’s Statutory Maternity Pay (SMP) that’s in the spotlight. Various reports have said that the EU intends to triple the current rate of SMP. Since April 5 this is £123.06 per week.
Proposal. This latest EU proposal will also raise the minimum period of maternity leave from 14 to 18 weeks, though this does not actually affect the UK as it already gives in excess of this. But what does matter is that this period would be at the woman’s full rate of pay. In the UK, mothers currently get 90% of their average salary for the first six weeks of maternity leave and then SMP for the next 33 weeks.
UK wants opt-out. The government says it’s firmly against the move because of the difficulties already faced by businesses in the current economic climate. Instead, it’s backing a proposed “opt-out” that would allow EU Member States to set their own SMP pay ceiling.
Reality check? At the moment this is just a proposal – it’s not set in stone. The issue is due to be debated by the European Parliament later in the year where it’s expected to be widely attacked. This is likely to delay negotiations. But in reality, even if an agreement is reached, it will take two years or more for it to come into effect.
No worries. For now, just be aware of these proposals. Don’t panic and start asking female job applicants about their plans to have a family. This type of question is discriminatory. But to get round this, ask all candidates where they see themselves career-wise in one and three years’ time. Their responses will tell you if you should have any concerns about their commitment. You can also use a maternity policy to let staff know what payments they are entitled to.
Ignore the scaremongering. Although the EU wants to triple statutory maternity pay, it’s not a done deal and there’s still a long way to go. On April 5 2009 the current weekly rate went up to £123.06.
Source: Tips & Advice Personnel April 20 2009
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