Shared parental leave is an opportunity for working parents to balance their responsibilities of childcare and employment.
This policy permits eligible parents to share their statutory maternity and adoption leave entitlement between them, creating a flexible solution for working families.
Through sharing parental entitlements, parents can divide paid time off work into blocks of weeks or combine them into a continuous period away from the workplace.
Shared parental leave provides many options, allowing each family to decide how best to meet their circumstances.
Further, businesses also benefit from this system as it helps promote a culture of flexibility that engages employees, increases productivity, and reduces staff turnover.
Shared Parental Leave Entitlement
SPL can be taken by eligible parents in up to three blocks and taken at any time within the first year of the child's birth or adoption.
The total SPL available to parents is 39 weeks, with a maximum of 37 weeks being paid.
The amount of pay available during SPL depends on the parent's average weekly earnings and can be either statutory shared parental pay or maternity pay. Parents can choose how to split the leave and pay between them.
When an employee wishes to take SPL, they must give their employer at least eight weeks notice of the start date of the leave.
Employers may also require employees to provide evidence of their eligibility, such as a child's birth or adoption certificate.
SPL can be booked in one continuous block or separate blocks and cancelled with the proper notice. During SPL, employees are allowed to keep in touch with their employer, such as by attending a meeting or training.
Who can take shared parental leave?
Shared Parental Leave in the UK is open to parents whose baby is due or placed for adoption on or after 5 April 2015.
Eligible mothers, fathers, partners, and adopters can take Shared Parental Leave (SPL) and Statutory Shared Parental Pay (ShPP).
All eligible employees must meet specific criteria to take SPL and ShPP. To qualify for Shared Parental Leave (SPL), both parents must meet the following requirements:
Have been employed for at least 26 weeks by the end of the 15th week before the child's expected due date or the date of placement for adoption.
Have been employed or self-employed for at least 26 weeks in the 66 weeks leading up to the due date or placement and have earned at least £390 in 13 of the 66 weeks.
The mother, or primary adopter, must have ended their maternity pay or adoption leave, paid or given the notice to end it.
The father, or secondary adopter, must have or expect to have responsibility for the child's upbringing.
The father or partner must give notice of the intention to take SPL and provide the required evidence to the employer.
What is statutory shared parental pay?
Statutory Shared Parental Pay (ShPP) provides eligible couples with up to 37 weeks of maternity and adoption for use during shared parental leave.
Statutory Shared, Parental Pay amount, is based on the parent's average weekly earnings. It is usually paid at a lower rate than statutory maternity pay or paternity pay.
The rate of ShPP is currently £156.66 per week or 90% of the employee's average weekly earnings, whichever is lower. The rate is subject to change, and it's best to check for the current rate. This rate is for the 2021-2022 tax year, and it's reviewed annually.
The amount parents are entitled to depends on each individual's earnings, rounded to the nearest pound before tax.
For example, if one parent earns £300 a week and the other earns £400 a week, both parents can claim up to £300 per week of ShPP.
Payment is made the same way it would for maternity or adoption pay and must be claimed at least eight weeks before Shared Parental Leave begins.
For a couple to be eligible for Statutory Shared Parental Pay, both parents must meet the following criteria:
The employee must have a baby due or have adopted a child on or after 5 April 2015.
Couples must satisfy the 'work pattern test,' which means that both parents must have worked for at least 26 weeks in the 66 weeks, ending with the expected week of childbirth/adoption placement and not taking more than 50 weeks of leave.
Both parents must give their employer eight weeks' notice of statutory shared parental pay eligibility.
The other partner must have taken at least two consecutive weeks of shared parental pay before statutory shared parental pay can be claimed.
The employee must also be eligible for statutory maternity pay, maternity allowance, or adoption pay and must have shared the leave with the other parent.
Employees who are self-employed are not eligible for statutory shared parental pay.
If the same employer employs the employee's partner, only one can claim statutory shared parental pay, and the other can claim statutory paternity pay.
It's worth noting that the eligibility for statutory shared parental pay is different than the eligibility for SPL, which is more flexible and doesn't require the employee to be employed for a specific time.
Additionally, the amount of statutory shared parental pay differs from that of statutory maternity or paternity pay, which is usually paid at a higher rate.
The shared parental leave can be taken consecutively or at different times over an uninterrupted block throughout the first year and split between eight weeks each.
Depending on employer policies, some employees may qualify for extra-statutory maternity or paternity pay on top of the basic shared parental pay entitlement.
Employers can also top this up on their terms if desired. Shared parental leave is an excellent option for parents looking to balance financial commitments while maximizing flexibility in childcare arrangements.
What is the continuity of employment test?
The continuity of employment test is a criterion used to determine an individual's eligibility for certain employment rights and benefits, such as Statutory Maternity Pay (SMP), Statutory Paternity Pay (SPP), Statutory Adoption Pay (SAP), and Shared Parental Pay in the UK.
The test is used to establish whether an individual has been continuously employed by their employer for a certain period and whether they meet the minimum earning threshold.
Continuous employment: To meet the continuity of employment test, an individual must have been continuously employed by the same employer for at least 26 weeks ending with the 15th week before the expected week of childbirth (EWC) or the week in which the child is placed for adoption.
Earning threshold: An individual must also have earned at least £120 in an average week during the eight weeks leading up to the 15th week before the EWC or the week the child is placed for adoption.
Self-employed: If an individual is self-employed and paying Class 2 National Insurance contributions, they will be eligible for Maternity Allowance (MA) and not SMP, SAP, SPP, or ShPP.
It's worth noting that the continuity of employment test applies differently if the parents adopt. In this case, the continuity of employment test will apply to the adopter, not the birth parent.
If an individual does not meet the continuity of employment test, they may still be eligible for statutory pay and leave under the eligibility criteria of the SPL regulations.
Who can take shared parental leave?
Shared Parental Leave (SPL) can be taken by eligible parents who meet the following criteria:
The birth mother or the primary adopter must have ended their maternity or adoption leave or pay.
The other parent, including the birth father, the partner of the birth mother, or the partner of the primary adopter.
Either parent can take SPL, regardless of whether they are the birth mother or father, the partner of the birth mother or father, or the primary adopter.
SPL is available to both parents whether they are married, in a civil partnership, or cohabiting.
The father or partner of the mother must also have been employed by the current employer for at least 26 weeks by the end of the 15th week before the baby is due or the child is placed for adoption.
How is shared parental leave taken?
Shared Parental Leave can be taken in one continuous period or separated into several shorter periods. It is also possible for each parent to take time off for up to three different blocks of time.
Employees must give their employers a minimum of eight weeks' notice before taking the leave, and both parents must agree on the period they will take the rest.
Shared Parental Leave can be taken any time after the baby is born or adopted up until their first birthday.
Taking leave at the same time: Both parents can take shared parental leave simultaneously, allowing them to care for their child together during the early months.
Taking leave separately: Both parents can take shared parental leave separately, allowing them to divide the rest between them and care for the child at different times.
Taking leave in blocks: Parents can take shared parental leave in blocks, allowing them to rest in shorter periods rather than one continuous block.
Flexible taking leave: Parents can take shared parental leave flexibly, such as alternating weeks or taking shorter periods of leave.
Returning to work on a part-time basis: Parents can return to work on a part-time basis while they are still on shared parental leave, allowing them to continue to care for their child while also maintaining their career.
Giving notice for Shared Parental Leave (SPL) in the UK involves a few steps, including:
Notifying your employer: Parents should give their employer written notice at least eight weeks before the start date of the leave they want to take. The information should include the start and end date of the rest and should be signed by both parents if they are both eligible for SPL.
Providing proof of birth or adoption: Parents should also provide their employer with a copy of their child's birth certificate or adoption certificate.
Notifying your employer of the leave pattern: Parents should also give their employer notice of the leave they want to take, such as if they wish to take the rest in one continuous block or separate blocks.
Get a two-week discussion period about the leave with your employer: Parents should also consult their plans for SPL, including how the withdrawal will affect their job and how their employer will cover their absence.
Providing a written notice: The written statement should include the leave's start and end date, the rest's pattern, and the name of the other parent taking a break. The employer should also be notified of the contact details of the parent taking the leave.
It's worth noting that employers have the right to refuse the request if it would cause undue burden on the business, but they must provide a written response within 28 days. Also, the employer has the right to request a meeting with the parent to discuss the arrangements for the leave.
Reducing statutory maternity pay/leaves to create shared parental pay
Eligible parents can curtail or reduce their SMP or leave to create Shared Parental Leave and pay.
Parents can curtail their SMP or leave at any point after the baby is born up until they reach the end of their maternity leave, and they will then receive Shared Parental Pay instead.
How do I curtail (reduce) my maternity leave?
To reduce your maternity leave, you must give your employer a “Curtailment Notice”.
This notice must be given at least eight weeks before the date on which you wish to end your maternity leave and pay, and it must explain how much of your maternity leave and payment is being reduced.
The process for curtailing SMP or leaving to create SPL involves a few steps, including:
Notifying the employer: The mother should inform her employer of her intention to reduce her SMP or leave and take SPL. She should provide the employer with a notice of her entitlement to SPL, including the start and end date of the leave.
Providing proof of SPL entitlement: The mother should feed her employer with evidence of her SPL entitlement, such as her partner's employment status and Shared Parental Leave entitlement.
Agreeing on the leave pattern: The parents should decide on the way of the leave, including the start and end date, and inform the employer of their decision.
Completing the process: The employer will process the request and inform the mother of the new end date for her SMP or leave and the amount of SPL pay she will receive.
It's important to note that the leave and pay for SPL are separate from SMP and Maternity.
Advantages of taking shared parental leave
Increased bonding time with baby
One of the primary advantages of sharing parental leave and pay is that it allows parents to spend more time bonding with their newborn baby.
Studies have shown that increased bonding time between parent and child can lead to a stronger emotional connection and a more secure attachment.
Additionally, bonding time can promote social and communication skills development.
More evenly distributed workload.
Another advantage of shared parental leave is that it can help distribute the workload between parents more evenly.
This is especially beneficial for mothers who may otherwise bear most childcare burdens.
When both parents can take leave, it can help create an equal partnership in childcare responsibilities.
Improved mental health for parents
Taking shared parental leave has also improved mental health for both mothers and fathers.
This may be because it allows parents to have more time for self-care, as well as a positive impact on family dynamics.
Reduced stress levels for parents
In addition to improved mental health, sharing parental leave can help reduce stress levels for both parents.
This is because when both parents can take leave, they can share the responsibility of caring for the child, which can help ease the burden on any individual.
Enhanced workplace productivity
Finally, sharing parental leave and pay can enhance workplace productivity for both parents.
This is because when employees feel supported by their employer in terms of family responsibilities, they are more likely to feel motivated and engaged in their work.
Flexibility
Shared parental leave and pay also offer flexibility in terms of childcare arrangements.
For example, parents can decide to take the leave consecutively or at different times over an uninterrupted block throughout the first year.
This allows parents to be creative with their childcare arrangements and find solutions that work best for everyone involved.
Gender Equality
Shared parental leave is also essential to gender equality in the workplace.
It allows women to remain more actively involved in the workforce without sacrificing their maternity leave, which can otherwise lead to a loss of career opportunities and income.
At the same time, it allows men to take on a more significant role in caring for their children, which can ultimately lead to a more equitable sharing of parental responsibilities.
Career Development
Taking shared parental leave and pay can also provide career development opportunities.
For example, if parents take leave at different times, it allows them to rotate responsibilities and take on new roles or learn new skills that may benefit their careers in the long run.
This can help both parents to become more marketable in their respective fields.
Better work-life balance
Finally, sharing parental leave can help promote a better work-life balance for both parents.
By having the opportunity to share in childcare responsibilities, parents can maintain a healthier relationship with their careers while prioritizing family commitments.
Disadvantages of taking shared parental leave
Disruptive to a team's productivity.
If one or more team members take extended periods off, it can disrupt productivity.
This is especially true if the team is already operating at or near capacity.
The team may need to adjust its workload or find ways to compensate for the absent members, which can lead to increased stress levels and decreased morale.
Difficult to coordinate.
Shared parental leave can be challenging to coordinate, primarily if the parents work for different employers.
Each employer may have different policies and procedures regarding leave, making it challenging to ensure that both parents can take the holiday they want or need.
Additionally, coordinating childcare arrangements between two households can be challenging, mainly if the parents live in different locations.
Financial impact
One of the main disadvantages of taking Shared Parental Leave is that it may financially impact families.
The pay rate for Shared Parental Leave is lower than that of Statutory Maternity or Paternity Pay, which can be a deterrent for some parents who may not be able to afford the financial implications.
This may be especially true for single-parent families who rely on one parent's income.
Employer's Perspective
From an employer's perspective, Shared Parental Leave can also be challenging.
This is because it requires employers to plan for the possibility of both parents taking leave at different times, which may require additional staffing to ensure business operations continue as usual.
Inconvenience: Shared Parental Leave can also be inconvenient regarding childcare arrangements.
Parents may find it challenging to manage their leave period around their usual commitments and schedules, especially if both parents take the leave at different times.
Career Impact: Taking extended periods of leave can also have an impact on career development.
Although some employers may understand, taking extended leave can make it difficult for parents to progress in their careers and maintain a competitive edge in the job market.
Limited Availability
Shared Parental leave is limited to specific circumstances.
Employees must meet specific criteria to be eligible for the leave, which is only available at a particular time each year.
This means that many parents who would benefit from Shared Parental Leave may not have access to it due to restrictions.
Limited Awareness
Finally, employers and employees need more awareness of Shared Parental Leave.
Employers may need to be aware of the benefits associated with offering Shared Parental Leave, or they may need help understanding how to implement it properly.
Similarly, many parents may need to be aware that they can take shared parental leave or have misconceptions about what it entails.
Final thoughts
Shared parental leave allows parents to share the care of their newborn or adopted child. The statutory shared parental leave enables eligible parents to take up to 50 weeks, with 37 weeks being paid.
Additionally, many employers offer unpaid parental leave and occupational shared parental leave. Some employers also provide enhanced shared parental pay, which is higher than the statutory rate.
It is important for parents to be aware of the shared parental leave regulations and to check with their employers about the options available to them. Overall, shared parental leave is a valuable tool for parents to balance work and family life
In conclusion
Shared Parental Leave is an option for eligible parents in the UK who want to share the care of their child.
It allows both parents to take leave from work and share the responsibility of caring for their child while receiving payment for a specific time. SPL is designed to work with maternity pay, maternity allowance (MA), and paternity leave, allowing parents to take rest and pay in various ways.
The amount of parental leave and pay available, and the eligibility criteria, may vary depending on the parents' circumstances and employment status.
Furthermore, parents can reduce their Maternity Allowance to create Shared Parental Pay and Leave as long as they meet the eligibility criteria. SPL is an excellent option for parents who wish to have a better work-life balance and be more involved in the early stages of their child's life.
Shared Parental Leave is an option for eligible parents in the UK who want to share the care of their child.
It allows both parents to take leave from work and share the responsibility of caring for their child while receiving payment for a specific time. SPL is designed to work with maternity pay, maternity allowance (MA), and paternity leave, allowing parents to take rest and pay in various ways.
The amount of parental leave and pay available, and the eligibility criteria, may vary depending on the parents' circumstances and employment status.
Furthermore, parents can reduce their Maternity Allowance to create Shared Parental Pay and Leave as long as they meet the eligibility criteria. SPL is an excellent option for parents who wish to have a better work-life balance and be more involved in the early stages of their child's life.
Frequently Asked Questions
Shared Parental Leave allows parents to transfer up to 50 weeks of leave and 37 weeks of pay. The rest can be taken any time after the baby is born or adopted up until their first birthday.
The amount of leave each parent can take varies depending on their circumstances and is subject to change.
Yes, both parents can take their Shared Parental Leave simultaneously. This allows them to care for their child together during the early months.
No, only one parent can receive Shared Parental Pay at a time. The other parent must take unpaid leave if they wish to take SPL simultaneously with their partner.
If both parents are eligible for Shared Parental Pay, it will be up to them to decide how the pay is divided between them.
Yes, certain workers aren’t eligible to take Shared Parental Leave. This includes self-employed, agency workers, and those in the armed forces.
If both parents qualify for Shared Parental Leave, they can take it together or separately.
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