The Government has published the proposed new statutory rates for maternity pay, paternity pay, shared parental pay, adoption pay and sick pay applicable from April 2019.
The revised rates are set out below and are currently subject to parliamentary approval.
The statutory benefits
Maternity and adoption pay
Statutory maternity and adoption pay is paid for up to 39 weeks. The first six weeks are paid at 90% of the employee’s average weekly earnings (before tax). Thereafter, a statutory rate applies (or 90% of the employee’s average weekly earnings if lower).
The current statutory rate is £145.18. This is set to rise to £148.68 from April 2019. The increase normally occurs on the first Sunday in April, which is 7 April 2019.
Paternity pay
On 7 April 2019, the rates of statutory paternity pay and statutory shared parental pay are set to go up from £145.18 to £148.68 (or 90% of the employee’s average weekly earnings if this figure is less than the statutory rate).
Statutory Sick Pay (SSP)
The rate of SSP is set to increase from £92.05 per week to £94.25 per week on 6 April 2019.
The Lower Earnings Limit
To be entitled to these statutory payments, the employee’s average earnings must be equal to or more than the lower earnings limit.
The lower earnings limit is increasing from £116 to £118 in April 2019.
A copy of the full benefit and pension rates for 2019 to 2020 can be located here.
Impact on Schools
Subject to parliamentary approval, schools will need to update their internal policies and practices to reflect the revised rates.