Maternity policies typically provide 19.5 weeks’ pay
Pregnant employees are entitled to up to 52 weeks’ maternity leave and most also receive statutory maternity pay (SMP – this is worth 90% of average weekly earnings for the first six weeks, followed by 33 weeks at lower-rate SMP (currently £184.03). In practice however, many women receive more than this: our recent survey of maternity and paternity leave and pay found that 82% of respondents offer occupational maternity pay policies that improve on the statutory minimum terms. At the median, enhanced maternity pay is worth 19.5 weeks’ pay.
The most generous maternity pay policies (worth 26 weeks’ pay at the median) are found in the public sector while occupational maternity pay is typically worth 25.3 weeks’ pay in the manufacturing and production sector, 18.8 weeks’ pay in the not-for-profit sector and 18 weeks’ pay in private services. Larger employers tend to offer better terms: 95% of employers with a headcount of 1,000 to 9,999 offer enhanced maternity pay, compared with 64% of those with fewer than 50 employees.
The survey also found that enhanced paternity pay is commonplace, with 78% of respondents improving on the statutory paternity pay (SPP) offering of one or two weeks at £184.03. The most common approach, adopted by just under half of survey respondents, is to pay both weeks of paternity leave in full. A further 9% offer one week’s full pay followed by one week’s SPP while the same proportion offer four weeks at full pay and there are also examples of employers with paternity pay policies that are worth six or even eight weeks’ pay.
Once again, the public sector has the most generous provision: at 60% of organisations here, employees can take two weeks’ paternity leave at full pay. Meanwhile half of respondents in the not-for-profit sector, 48% of those in manufacturing and production and 44% of private services companies pay both weeks of paternity leave in full.
For partners wishing to take a longer period of leave during the first year of their baby’s life, there is the option of shared parental leave and pay, which provides for a period of up to 37 weeks’ paid leave (and a further 13 weeks’ unpaid leave). This is usually paid at a rate equivalent to lower-rate SMP or SPP (ie £184.03 at present) but two-fifths of employers enhance shared parental pay, in most cases by mirroring maternity pay provision.
Want to know more?
These results are based on a survey conducted by IDR of 100 employers across the economy, together employing almost 650,000 staff. Further detailed analysis of enhanced maternity, paternity and shared parental leave and pay policies, plus parental and carer’s leave and fertility support, is available in our full report. Find out more here:
Pay Climate subscribers
A detailed article about the survey featured in Pay Climate 37, which was published on 6 June 2024.