Maternity pay and annual leave

[roisin]

When on maternity leave, you continue to accrue annual leave. But how does this work? And what about bank holidays?

X had her baby end of March; started maternity leave mid March and plans to be off a full year.
Company just runs statutory maternity pay and minimum statutory leave (20 days plus 8 bank holidays)?
X did not take any annual leave in Jan-Mar, and there was one bank holiday before she went on mat leave.
The company would prefer to pay her the accrued annual leave than have her carry it over to the next year and she is happy with that.

So at the end of the year (December) they need to pay her the accrued leave. But will that be 20 days? Or would it be 28 days, as the statutory minimum AL is 28 days (incl bank holidays).

If you know the answer, it would be really helpful if you could link to an official site that says so, as I have searched and cannot find this information.

Many thanks

Also, would it be usual for - instead - the accrued leave to be paid each month, along with any maternity leave, so that it is spread evenly through the period?

Umm it would be 28 days, but more to the point I am not sure they are permitted to pay it out when it is an employment requirement to have leave.

I'm sure it's the 28 days on the basis that a person on matleave should not be treated less favourably than anyone else ie she should get paid BHs in the usual way.
There's an employment handbook called Tolley's that the professionals use but I haven't got one (sorry).

I stand slightly corrected - you are only entitled to accrue public holidays if they are in your contract but either way you need to get the minimum holiday entitlements which is nearly always annual+ public holidays (unless in an exempted profession, listed in link)
m.acas.org.uk/media/pdf/r/c/Acas-guide-Holidays-and-holiday-pay.pdf

I think it might be hard to find material on paying it out as I don’t think it’s allowed.

I am not HR, but had taken 2 maternity leave at two places. They both allow normal carry over if leave, but leave must be taken in the correct year. So all the leave before I went on maternity were taken just before, and then what I want to use up in the next year was taken just after. (So I didn’t end up with 25 days to use in October to December in my second leave). The second company told me if i didn’t use my leave from the first year, I would lose it all because they have no pay unused leave as salary policy. Also I must used up the annual leave before the baby arrived, otherwise maternity starts the moment baby was born.

For your case, do you book 20 days annual leave or 28? I believe it’s 20 days minimum plus bank holdiays. So if you do have a cash for unused leave policy, then it will be 20 days of extra pay. If you don’t have that, how many days can they carry over? She can ask for the leave to be carried over.

She can have it paid but also needs to have the actual time off added to her maternity leave

To take another angle if they and you are happy to pay It out it’s fine I’m sure! It’s if they want to pay it and you don’t that you would have to look it up.

It will be 28 days. You have to take the leave unless you are leaving employment so it can't be taken in December if off until March. It could be taken in Feb - last month off is paid leave or March - delaying return to work date. Whichever is best needs to be agreed between employer and employee. It can not be spread over maternity leave period. An employer can not enforce a non roll over policy while you are on maternity leave even if there is generally one in place in he organisation - although you can be asked to use up leave if your holiday period ends shortly before your maternity leave starts.

Thanks

Company has a 'no carry over' policy and also limits as to when leave can be taken. But when she is on maternity leave, she can't take annual leave, so there is no option but to pay in December as accrued leave the leave earned up to that point?

This link details accrued annual leave www.maternityaction.org.uk/advice-2/mums-dads-scenarios/pregnant/discrimination-during-maternity-leave-and-on-return-to-work/

If you are on a statutory leave a company cannot enforce a no carry over rule ... if mat leave covers 2 holiday years convention would be to take a chunk before the leave starts and the remain at the point of return from May leave. Co cannot enforce no carry over in the case of mat leave

I go on maternity in August and I have to take this year's leave before I go off. Then next year I'll accrue when I'm off so I can add it into my leave or take it when I get back. My company wouldn't pay the money instead

They cannot enforce no carry over policies while on mat leave as the only reason you can’t take the annual leave is because you are on maternity leave so it’s discriminatory. However they can require you to take it at the start or end of Mat leave.

Unfortunately taking which includes paying annual leave ends maternity leave - so it can't be paid in December unless returning to work in January. As everyone has said non roll over policies are void on maternity leave so the company has to add it to the next year's leave (they could have asked for some of it to be taken in the 3 months before mat leave started but did not). They can pay it 28 working days before the individual wants to return to work - so either as last 5.6 weeks of maternity period or directly after it ends - if that is what the employer and employee want. If it is not taken then it is added to the current year leave period. Many people have it paid out at end of mat leave as it avoids having a huge amount of leave to take just after returning to work but it does not have to be / employer does not have to agree to do that - but they cannot cancel it.

They can’t insist you take it in the 52 weeks of Mat leave ie they can’t make you end Mat leave early, but of course you can choose to go back early and instead use paid leave (I’m doing this next year)

Thanks all: that is really super helpful and very clear which is ideal.