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SPP and SPL entitlement for more than one baby Q: An employee is expecting two babies by two different mothers. Both are due around the same time. We have received two MATB1s and the correct forms from the employee. Is he entitled to two separate amounts of statutory paternity pay (SPP) and two periods of statutory paternity leave (SPL) if the babies are born at the same time? A: Providing the employee satisfies the eligibility criteria, he will be entitled to two separate payments of SPP and two periods of SPL. Both must be taken within 56 days of each birth. For reference, go to: https://bit.ly/3rdB1wY. AE duties in TUPE scenarios Q: A group of employees were recently moved to our company’s payroll under the transfer of undertakings (protection of employment) regulations (TUPE). Can you confirm what happens regarding automatic enrolment (AE)? In practice, new employees are postponed for three months. Does this apply for employees who transferred under TUPE regulations, or should they be assessed and automatically enrolled (if eligible) in the same month as joining us? A: Where employees transfer to another employer under the TUPE regulations 2006, you should treat them as new recruits for the purposes of AE. Any opt- out notices previously provided to the transferor must be ignored. Receiving employers must assess the employees on the date of transfer and (subject to a maximum postponement period of three-months) automatically enrol any eligible jobholders and satisfy the information requirements for non-eligible jobholders and entitled workers. There’s also a requirement to ensure the new employer meets its duties under the TUPE regulations to offer the transferring employees a certain level of pension provision after the transfer. Do AE duties always apply? Q: A new employee has provided us with a HMRC certificate for fixed protection 2016. This is provided to individuals who have already accrued pension savings above the lifetime allowance and are protected from tax charges, provided no further tax-relieved pensions are made. The
employee has requested that they are not enrolled into the workplace pension scheme. Do AE duties apply to this employee? A: The concept of AE was introduced in the Pensions Act 2008. With effect from April 2015, the Department for Work and Pensions introduced technical changes to AE legislation, listing four new exceptions that modify some of the employer duties, where a worker meets certain conditions. One of these relates to where the employer has reasonable grounds to believe the worker has enhanced or fixed protection on pension savings under HMRC rules. This allows AE to become optional, and not compulsory. It’s the employee’s responsibility to inform the employer if they have protections. The employer can subsequently decide whether to exercise the discretion not to automatically enrol or re-enrol the jobholder. They can also decide what constitutes reasonable grounds to believe the jobholder has enhanced protection or fixed protection 2012, 2014 or 2016. A copy of the HMRC certificate or print-out from an individual’s HMRC online services account are two of several ways to demonstrate reasonable grounds to exclude the individual from AE. For reference, see: https://bit.ly/35CJIst Partner entitlements to statutory leave and pay Q: An employee’s partner miscarried after her 24th week of pregnancy. Is the employee entitled to both SPP and SPL, and statutory parental bereavement pay (SPBP) and parental bereavement leave (PBL), or does one supersede the other? A: SPP and SPL, and SPBP and PBL can both be taken, providing the employee meets the eligibility criteria for both types of leave. SPP and SPL would be granted first, as HMRC guidance states: “If you’re taking another type of statutory leave (for example, maternity leave or paternity leave) when the child dies or stillbirth happens, your PBL must start after the other leave has ended but does not have to be taken immediately after. This includes if the statutory leave is for another child.” It’s important to note that both types of leave must finish within 56 weeks of the date of the death or stillbirth of the child. (The SPL must be taken within 56 days of the stillbirth or due date.) For reference, please see: https://bit.ly/3ALiN9b and https://bit.ly/3rf3PoV. n
Our P11D, expenses and benefits course collection is essential whatever stage of your payroll career. With fines reaching up to £3,000 for each incorrect P11D submitted, whether you’re new to the process or just looking for a refresher, this course will cover everything you need to know.
Find out more and choose the P11D courses that are right for you at cipp.org.uk/training
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| Professional in Payroll, Pensions and Reward |
Issue 78 | March 2022
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