PART 4: STATUTORY PAYMENTS
STATUTORY PAYMENTS Note: Many of the statutory benefits available have their own rules on rate changes and most are different to the routine payroll benefits such as SMP and SSP which always change on the first Sunday in April. Readers should consult the official Benefit and pension rates 2021/2022 document at https://www.gov.uk/government/publications/benefit-and-pension-rates- 2021-to-2022/benefit-and-pension-rates-2021-to-2022 and the individual benefit conditions in order to determine the exact date of change where it is necessary. The information in this part of the book will show only April 2021 as the date of change. ADOPTION - STATUTORY ADOPTION PAY (SAP) AND LEAVE Adoptive parents are entitled to 52 weeks’ leave of which 39 may be paid if they have 26 weeks service as at their matching date for adoption. The first 26 weeks are classed as ordinary adoption leave and the second 26 additional adoption leave. The right to return to work is the same as for maternity leave (see PART1). The 39-week adoption pay period is paid in the same way as maternity pay, the first 6 weeks due at 90% of average weekly earnings with the balance paid at the standard rate in force for that tax year. Prior to 6th April 2015 all adoption pay was paid at the standard rate. N.B. Where changes are referred to as effective in April they apply to employees due to adopt on or after the first Sunday in April of that year. COPYRIGHT © 2021 THE CHARTERED INSTITUTE OF PAYROLL PROFESSIONALS Qualification for leave In order to qualify for leave the employee must be: • the adopter (or joint adopter) • married to the adopter themselves or • living with the adopter in an ‘enduring family relationship’ or • in a same sex/unmarried couple relationship with the adopter (from April 2004). have worked for the employer for not less than 26 weeks at the point of being matched with a child (the ‘matching date’), this becomes the ‘Notification Week’ for an adoption case, and • have Average Weekly Earnings (AWE) of at least the Lower Earnings Limit over the eight weeks preceding the matching date. Entitlement Is to a maximum of one year’s adoption leave. Prior to 6th April 2015 the adopter needed 26 weeks’ service at the matching date. There are two types of adoption leave the first 26 weeks are classed as Ordinary leave and the second 26 weeks as Additional leave. Additional leave runs immediately from the end of Ordinary leave. Statutory Adoption Pay (SAP) is payable at 90% of average weekly earnings for the first 6 weeks followed by the lower of 90% of average weekly earnings and the standard rate (see table below) for 33 weeks (increased from 39 weeks at the standard rate only and 26 weeks at the standard rate only with effect from 1st April 2007). No printing, copying or reproduction permitted. Qualification for pay In order to qualify for pay the employee must: • Ordinary and Additional Adoption Leave can be taken in conjunction with up to 4 weeks’ unpaid Parental Leave. Couples that adopt can choose which of them takes the adoption leave (Until 2004 this applied only to married couples). The other partner may qualify for Ordinary Statutory
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