The Statutory Maternity Pay, Social Security (Maternity Allowance) and Social Security (Overlapping Benefits) (Amendment) Regulations 2006

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend the Social Security (Overlapping Benefits) Regulations 1979 (S.I.1979/597) (“the Overlapping Benefits Regulations”), the Statutory Maternity Pay (General) Regulations 1986 (S.I.1986/1960) (“the Statutory Maternity Pay Regulations”) and the Social Security (Maternity Allowance) Regulations 1987 (S.I.1987/416) (“the Maternity Allowance Regulations”).

Regulation 2 amends the Overlapping Benefits Regulations by substituting a new regulation 14(1) to provide for adjustments of all benefits at a rate of one-seventh of the appropriate weekly rate for each day of the week.

Regulation 3(2) substitutes a new regulation 2 of the Statutory Maternity Pay Regulations, the effect of which is as follows—

• New regulation 2(1) provides that a woman’s maternity pay period will begin in accordance with a notice to her employer stating the day she expects his liability to pay her Statutory Maternity Pay (“SMP”) to begin, if that day is 11 weeks or less before her expected week of confinement (“EWC”) and not later than the day after she gives birth.

• New regulation 2(2) establishes that the maternity pay period is 39 consecutive weeks.

• New regulation 2(3) provides that a woman’s maternity pay period will begin the day after she gives birth if that day is before the 11th week before her EWC or, if it is after the 12th week before her EWC, and she gives birth before the day specified in a notice to her employer stating the day she expects his liability to pay her SMP to begin.

• New regulation 2(4) provides that a woman’s maternity pay period will begin the day after her absence from work where she is absent because of pregnancy or confinement on a day four weeks or less before her EWC and before her actual confinement (if earlier).

• New regulation 2(5) provides that a woman’s maternity pay period will begin the day after she leaves her employment where she leaves 11 weeks or less before her EWC, before the start of the maternity pay period and before her actual confinement (if earlier).

Regulation 3(3) inserts a new regulation 9A in the Statutory Maternity Pay Regulations to provide that SMP shall be paid where a woman works for her employer for not more than 10 days within her maternity pay period.

Regulation 3(4) substitutes a new regulation 28 of the Statutory Maternity Pay Regulations to allow payments of SMP for a week or part of a week to be rounded up to the next penny.

Regulation 4(2) amends the Maternity Allowance Regulations by substituting a new regulation 2(1)(a) to provide that a woman will be subject to disqualification from maternity allowance if she works as an employed or self-employed earner for more than 10 days in the maternity allowance period.

Regulation 4(3) amends regulation 3(2A) of the Maternity Allowance Regulations to extend the maternity allowance period to 39 weeks and to allow the maternity allowance period to commence no earlier than the day a woman becomes entitled to maternity allowance and no later than the day after which she is confined in specified circumstances.

An assessment of the cost to business, charities and the voluntary sector of the provisions in these Regulations is included in the regulatory impact assessment that accompanied the Work and Families Act 2006. A copy of that assessment has been placed in the library of both Houses of Parliament. Copies may be obtain from the Department for Work and Pensions, Workplace Health Division,1-11 John Adam Street, London WC2 6HT or from the Department of Trade and Industry website: www.dti.gov.uk/employment/workandfamilies