Changes to Statutory Paternity Pay

Changes to Statutory Paternity Pay

Is it lawful for a male employee on shared parental leave to be paid less than a female employee on adoption leave?

Draft legislation introduces changes to statutory paternity pay to align with a more flexible paternity leave regime.

The Paternity Leave (Amendment) Regulations 2024 are due to come into force on 8 March 2024 and make changes to the right to take paternity leave, details of which can be found here. The draft Statutory Paternity Pay (Amendment) Regulations 2024 address corresponding changes to statutory paternity pay (SPP).

If the draft legislation is passed, the changes will apply to employees where the expected week of childbirth (EWC) is after 6 April 2024 or the expected date of placement for adoption is on or after that date.

The proposed changes:

 

Current scheme

Proposed

Flexibility as to when SPP is paid

An employee may choose for SPP to be paid in a single period of one or two weeks.

An employee may choose for SPP to be paid for a single period of one or two weeks, or for two non-consecutive periods of a week each.

Period in which SPP may be paid

SPP may be paid within the first eight weeks of the birth or adoption of the child.

SPP may be paid within the first year after the birth or adoption.


Considerations for employers

Employers should review their policies and procedures and update them if required to allow for employees to split their payments of SPP and to accommodate the longer period in which an employee may be paid SPP. Managers and payroll providers should also be made aware of these changes.

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