Question about Market Supplements

[eatingfortwomum]

Hi, i'm a lurker but new to posting. I would like some advice please.

If you are on maternity leave, are you still eligible to receive market supplements that are usually paid monthly, in addition to salary?

I work in an area where it is hard to recruit or retain staff. This supplement is in effect a retention bonus.

I work for a large organisation and have spoken to HR and Payroll and have had conflicting responses. My manager does not know either.

I was informed that you are automatically entitled. I was then informed that you receive it pro-rata, according to the level of maternity pay you are receiving, to a straightforward no.

Can anybody shed some light?

What does the company maternity policy state (if anything?)

I have never heard of market supplements. I would love to know what area you work in (so I can tell the DC to get a job in it!)

The maternity policy does not mention them.

Neither does my contract but we all receive them

Thanks

I've never heard of market supplements but if they are paid monthly with salary it sounds to me like your normal remuneration and therefore not something you are entitled to receive on maternity leave unless the employer decides otherwise.

hi - are you getting any maternity pay above statatory - if you are - eg at my work we got 50% of pay for 18 weeks (it was bit more complicated than that but you get the idea) - in my view if that was the case then you should get 50% of your salery including the supplements. however if you are getting statutory - then aside from the first 6 weeks of ML when you get 90% of your pay - which in my view again should include the supplement (and your employer claims back from the govement BTW) - you shouldn't get them the rest of the time - disclaimer not a lawyer so I could be wrong

If you received any extra during the period that was used to calculate your SMP (usually between weeks 17 and 25 of your pregnancy) then they should have been taken into account when making that calculation.

Harrumph. Seeing as OP didn't answer my question, I googled 'market supplements'. It seems to be a government / academia stunt to negate the effect of silly pay rates arising from the job evaluation bureaucracy.
In the real world, employers just pay the going rate.

Hi, thanks for replies.

I'm on SMP.

Maternity policy states all benefits will continue to apply during maternity leave except numeration.

Market supplements are paid on top of salary - they are not part of salary.

Thanks

remuneration even

Yes all benefits continue to apply during maternity leave except remuneration, but this sounds like remuneration. Just because it's not called salary doesn't mean it isn't remuneration - it's the normal money you receive for doing your job.

When they calculated your SMP was the 90% portion based on the total money you received during the relevant period or was just the portion known as 'salary' used? If that's the case then that was wrong as all monies received should be taken into account for that.

Sorry I did not answer your question Senua, I work in a small team and was trying not to out myself.

I do work for local government and due to the pressures of the job and the hours worked, it is extremely difficult to recruit or retain staff, hence they give us a sweetener. They refuse to actually increase salaries as this would then be contractual and affect pension and NI contributions, rates of sick pay etc. Apparently, then can withdraw this supplement at any time.

Flowery, I have no idea about the calculations for my SMP but I will definitely check.

Thanks to everyone for replies.

I thought with local goverment - standard maternity package was 6 weeks full pay and a further 12 weeks 50% pay plus SMP

It's 6wks 90% and 12 weeks half pay plus smp then just smp.

so the 90% and the 12 week half pay should include the supplement I would have thought

this is what im trying to find out and I cannot get a straight answer from Hr or Payroll.

I have checked my payslips and only got 90/50% of my salary, not this supplement.

I will contact them again tomorrow as it seems I have missed out.

Thanks

The 90% should definitely be based on both. Whether the half pay bit is based on both or just on salary is entirely up to them/dependent on the wording of the maternity policy. What exactly is the wording on maternity pay?

'You are entitled to your contractual terms and conditions whilst on maternity leave, apart from remuneration' and 'The essential car user allowance will continue to be paid for the complete duration of the maternity leave'

I was querying why I would get a car allowance, when I'm not driving anywhere but would stop receiving a supplement that is a retention payment?

It also says occupational maternity pay is:

6 weeks at 90% of contractual pay

12 weeks at half pay in addition to statutory maternity pay if you are returning to work after maternity leave as long as the two combined do not exceed full pay'

The supplement is not mentioned in any of our contracts though.

Thanks

So the only question is whether the market supplements are contractual or not. Just because it isn't specifically mentioned in your contract doesn't necessarily mean it isn't part of your contractual terms and conditions. If you are public sector are you in a union? I'd suggest speaking to them about these supplements, the conditions required to get them and a view on whether they are contractual or not.

The car allowance they are paying because it is in lieu of a company car, which they would have to continue to provide.

Hi, just found some further information:

"The terms, on which the supplement is awarded, the amount, duration and review period will form part of the employment contract. It will be identified as a distinct and separate element of pay in all contractual documents and records"

Ok sounds as though it is contractual pay then in which case you can certainly claim that both SMP and your enhanced maternity pay should be based on your total pay not just the salary element.

Fantastic! Thanks Flowery and everyone else.