Maternity benefit is payable using the same average pay calculation looking at salary over 12 months, but at differing rates (and always using 30 days for each month).
Those who choose to take up to six months maternity leave are entitled to 100% of average salary. Those who wish to take up to 12 months maternity leave (maternity leave and parental leave) will be entitled to 81.5% of average salary.
In many cases an employee may not know what they might want to take in leave. They could therefore indicate that they will take just six months, and be paid the 100% rate. If they then change their mind and decide to extend to 12 months, they are then paid at a rate of 70% of average salary for months 7 to 12, making the overall payment
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Web page updated on 28 Aug 2024 12:18