2022 Statutory pay rates announced

2022 Statutory pay rates announced

The new statutory pay rates, applicable from 11th April 2022, are currently awaiting parliamentary approval (but are unlikely to change). Statutory national minimum and living wage increases have already been announced and were covered in our earlier article, which you can access by clicking here.

Statutory sick pay

The weekly rate of statutory sick pay (SSP) will be £99.35 (up from £96.35).

SSP applies to employees and employed agency workers, who must have earned at least £120 per week (the rate for the year 2021 – 2022). SSP is payable to those ill or self-isolating from the 4th day of absent (the first 3 days are ‘waiting days’ when SSP does not apply). SSP is payable for up to 28 weeks of linked absences (that is, sick absences that are less than 8 weeks apart) in a 3 year period.

Statutory maternity pay

will increase to £156.66 per week or 90% of qualifying earnings if this is less. SMP applies to employees (not workers or the self-employed) who have worked for their employer continuously for at least 26 weeks continuing into the ‘qualifying week’ – which is the 15th week before the expected week of childbirth – and have earned at least £120 per week on average. Those who don’t qualify for SMP may qualify for maternity allowance, which is essentially the same, but paid direct from government. SMP is payable by employers who can reclaim this amount plus a small amount of compensation. The first 6 weeks of SMP are paid at 90% of normal earnings. Holiday continues to accrue throughout maternity, meaning many women will return with several weeks of accrued unused entitlement. There is a version of SMP for those adopting a child with different eligibility criteria and timescales.

Statutory paternity Pay

increases to a similar amount, this is payable in blocks of a week, is for a maximum of 2 weeks and must (usually) be taken within 56 days of the birth. SPP applies to the ‘father’ (these days that can have quite a wide interpretation) who has 26 weeks service at the 15th week before the baby is due. The ‘father’ must employed by the employer, not a worker or self-employed.  There is a version of SPP for those adopting a child with different eligibility criteria and timescales.

Shared parental Pay

undoubtedly the most complex piece of family leave, ShPP will also increase to £156.66 per week, ShPP rules are complex, for the purposes of this article, it applies in circumstances when the mother has returned to work early, and the ‘father’ opts to take some of the unused maternity leave and pay. Eligibility criteria apply, and it is different to the criteria for SPP and SMP. Again there is an equivalent scheme for those adopting a child.

Statutory adoption pay

as mentioned above there are equivalent entitlements to SMP, SPP & ShPP for those adopting a child, the eligibility criteria are different

HR Support from myHRdept

If you need help updating your HR policies, myHRdept’s HR support services are ideal. Included within all of our HR outsourced support packages is a bank of support hours to help manage staff issues. In most cases client HR support hours banks are not impacted by time spent updating handbooks, employment contracts, or introducing new policies.

If you’re thinking of outsourcing your HR or employment law needs, why not contact myHRdept? Call us on 01628 820515, email us at enquiries@myhrdept.co.uk to discuss your requirements, or contact us via our website and we’ll call you back.

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