Are You Entitled to Maternity Pay on a Fixed Term Contract?
If you are working on a fixed term contract, you may be wondering if you are entitled to maternity pay. The answer is yes, but there are some specific conditions that need to be met.
Maternity Pay for Fixed Term Contract Workers
If you are on a fixed term contract, you are entitled to the same statutory maternity pay as a permanent employee, as long as you meet the following conditions:
– You have been continuously employed by the same employer for at least 26 weeks (or more) leading to the 15th week before the expected week of childbirth.
– You earn an average of at least £120 per week before tax.
In addition to the above, you must also give your employer at least 15 weeks’ notice before the expected week of childbirth to qualify for maternity pay. If you fail to do so, you may not be eligible for maternity pay.
How Much Maternity Pay Will You Receive?
If you meet the eligibility criteria, you’ll be entitled to statutory maternity pay for up to 39 weeks. The first six weeks of maternity pay are paid at 90% of your average weekly earnings before tax, while the remaining 33 weeks are paid at the lower of either £151.20 per week or 90% of your average weekly earnings before tax (whichever is lower).
Bear in mind that some employers offer enhanced maternity pay schemes that can provide more generous benefits. Your contract should outline the terms of any such scheme, so be sure to check the details.
What Happens After Your Fixed Term Contract Ends?
If your fixed term contract comes to an end while you’re still on maternity leave, you may be eligible for redundancy pay if you have been continuously employed for at least two years. However, your employer must follow strict redundancy procedures, including the proper notification period, consultation, and consideration of alternative employment options.
If you’re on a fixed term contract and are expecting a child, you’re entitled to maternity pay as long as you meet the conditions outlined above. Remember to give your employer at least 15 weeks’ notice before the expected week of childbirth to qualify for maternity pay, and be sure to check your contract for details of any enhanced maternity pay schemes. If your contract ends while you’re on maternity leave, you may be eligible for redundancy pay, but your employer must follow the proper procedures.