Full parental leave entitlement for furloughed workers

Please note: this article was correct at the time of writing and publication. However, please bear in mind that advice and guidance may change at short notice due to the nature of this unprecedented situation. We are doing our utmost to provide up to date information, as and when it happens.

For the latest, please visit www.ncass.org.uk/coronavirus

Furloughed workers needing to take parental or adoption leave will be entitled to pay based on their usual earnings rather than the furloughed pay rate of 80%, the government has announced.

The measures will ensure that workers whose period of family-related pay begins on or after 25th April will be assessed on their usual, full pay.

Entitlement to Statutory Maternity Pay in addition to Parental or Adoption Pay, are currently calculated through someone’s average earnings over an 8-week assessment period. For Maternity Allowance, entitlement and the rate payable is determined by looking at average earnings over a 13 week period.

The changes will ensure those intending to take time off following the birth, adoption, or death of a child will not see their entitlement to pay affected as a result of being furloughed in the wake of the impacts of COVID-19.

Business Minister Paul Scully said:

“Maternity and other forms of parental leave are pivotal times in people’s lives, and they should absolutely be protected from the impacts of COVID-19.

We are supporting workers and businesses in a way never seen before, in response to the unprecedented effects of COVID-19. These measures will ensure those on the Coronavirus Job Retention Scheme continue to receive the parental leave and pay they are entitled to.”

Lords Minister for the Department for Work and Pensions, Baroness Stedman-Scott said:

“At an already challenging time for families, peace of mind that they can rightly take time off and receive their full entitlement will provide much needed reassurance.

Throughout this health emergency we’ve taken unprecedented steps to help those affected make ends meet, and today’s new measures further extend vital financial support.”

NCASS Member?

To discuss any of the above points or if you have any questions, please contact your NCASS Account Manager on 0300 124 6866 Monday -Thursday 9-5:30pm and Friday 9am – 5pm.