Statutory maternity pay too low say employers

The current statutory minimum maternity pay is too low say over half of companies in a survey by the Incomes Data Services (IDS) pay and employment research organisation.

The survey, which polled 115 organisations collectively employing almost 500,000 people, found 52% saying that statutory maternity pay was not high enough with only one per cent saying it is too high. Meanwhile three-quarters (74%) of respondents said they themselves provided more than the statutory minimum.

Since April 2007 all pregnant employees have been entitled to 52 weeks’ maternity leave regardless of length of service with the employer. But statutory paid maternity leave is 39 weeks with only the first six weeks paid at 90% of the employee’s average weekly earnings. The remaining 33 weeks is paid at a rate of £117.18 per week.

TUC general secretary Brendan Barber commented that the survey showed that “many companies see the benefits of paying their female staff a decent level of maternity pay.” But, he added, many women whose employers only pay the statutory minimum would be forced to return to work soon after the birth of their children because they cannot afford to remain off work for long.