Shared Parental Leave and Pay

Published on Thursday 7 January 2021

Mothers of babies due on or after 5 April 2015, or parents of children placed with them for adoption on or after 5 April 2015, may choose to end their Maternity/Adoption Leave early and convert this into Shared Parental Leave (SPL).

  • Up to 50 weeks of shared parental leave may be taken between the baby’s birth date and first birthday (or within 1 year of adoption).
  • The mother must take the compulsory two weeks of the Statutory Maternity Leave following the birth (4 week if she works in a factory).
  • Employees can take SPL in up to 3 separate blocks. The leave does not need to be taken in consecutive blocks; each block of leave must be for a minimum of one week and taken in complete weeks.
  • The employee may change his/her plans during the year, but is restricted to three requests – either to notify a period of leave or to vary a previous request.
  • The parents may take time off together if they wish and are not compelled to take their leave in one continuous block.

How much is Shared Parental Pay (ShPP)?

2021-2022 Rates

Weekly Rate: Lesser of 90% of average weekly earnings or the standard fixed weekly rate of £151.20
Lower Earnings Limit: £120.00

The total period of paid leave will not exceed 39 weeks, whichever parent takes the leave.

How is eligibility for Shared Parental Leave determined?

A parent who intends to take SPL must:

  • be an employee
  • share the primary responsibility for the child with the other parent at the time of the birth or placement for adoption
  • have properly notified their employer of their entitlement and have provided the necessary declarations and evidence.

In addition, a parent wanting to take SPL is required to satisfy the ‘continuity of employment test’ and their partner must meet the ‘employment and earnings test’.

Continuity of Employment Test

The individual has worked for the same employer for at least 26 weeks at the end of the 15th week before the child’s expected due date/matching date and is still working for the employer at the start of each leave period.

Employment and Earnings Test

In the 66 weeks leading up to the baby’s expected due date/matching date, the individual has worked for at least 26 weeks and earned an average of at least £30 a week in any 13 weeks.

How is eligibility for Shared Parental Pay determined?

To qualify for ShPP an employee needs to have earned above the “Lower Earnings Limit” in the eight weeks leading up to and including the 15th week before the expected week of childbirth/matching date and still be employed by the same employer at the start of the first period of ShPP.

For a partner to claim, the mother/primary adopter must qualify for Statutory Maternity Pay or Maternity Allowance or Statutory Adoption Pay and must have given notice to stop the allowance.

How does the employee notify his/her employer?

Initial declaration:

Both employees should give their employers a signed declaration, confirming their intention to take SPL and that they meet the eligibility requirements. This declaration should be in writing and should:

  • provide the expected date of birth or adoption
  • confirm that they both meet the eligibility criteria, that the information is accurate and that if either ceases to meet the conditions of entitlement to shared parental leave then they will immediately notify the employer
  • specify how much leave and pay has been taken as maternity/adoption leave
  • specify how much remains to be taken as SPL (and ShPP if applicable) and how it will be divided between the two and include a non-binding indication of the expected pattern of leave

They can do this using forms available on the ACAS website.  After receiving this notice, the employer can ask for:

  • a copy of the child’s birth certificate
  • the name and address of their partner’s employer

In addition, the mother/primary adopter will have to give at least eight weeks’ notice to end the Maternity/Adoption Leave and Pay and take Shared Parental Leave instead.

Continuous period of leave:

If a request is for one continuous period of leave, it must be accepted. The employer cannot refuse the request, provided the employee meets the eligibility criteria stated above.

Discontinuous periods of leave:

If the request is for a discontinuous period of leave, the employer can agree, refuse or propose alternative dates. If, after a two week “discussion period”, the employer is unable to agree to the employee’s requested pattern of leave, the employee must either take that period of leave in a single block starting on a date of their choice, or else withdraw the request for leave.

What happens to contractual benefits during the time of leave?

Employees remain entitled to all contractual benefits (such as a company vehicle, mobile phone and annual leave). This includes benefits that are given under a salary sacrifice arrangement, such as childcare vouchers.

What happens to Pension Contributions?

Employers are required to continue to make pension contributions based on the employee’s normal salary for any period of ShPP. The employee is only required to pay employee contributions on the amount of contractual or statutory pay she actually receives.

How do SPLIT Days work?

  • SPLIT Days should be agreed by mutual consent.
  • A maximum of 20 SPLIT days can be taken per employee.
  • SPLIT days worked will not extend the period of SPL.

What happens when the employee wants to return to work?

An employee will be entitled to return to their original job if they have been absent for no more than 26 weeks in total (either as one block or in aggregate and including any time on maternity, paternity or adoption leave); and to return to a job that is similar and suitable if the absence is longer than 26 weeks.

An employee who wishes to return to work earlier or later than their expected return date should make a written request to do so, giving at least eight weeks’ notice of the proposed date of return. This will count as one of the three permitted requests. If the employee has already used all three notifications to book/vary leave, the employer should consider the request but is not obliged to accept it.

For more detailed guidance in respect of Shared Parental Leave and Pay, please refer to www.gov.uk.