Will I need to pay back my Occupational Maternity Pay?

lilian1977

Have been reading on Mumsnet forums about this and can't work it out. Basically I want to know whether, if I claim occupational maternity pay then hand in my notice at the end of mat leave, do I have to pay back what I received over and above statutory levels? The indication I seem to have from Mumsnet is that it will state in your contract, maternity paperwork or employee handbook whether you do or not. I will post what I've received from HR in the next post, can anyone see anything that indicates that I will need to pay it back?

I can see that it says that SMP is payable even if the employee does not intend to return to work - but it says nothing under the OMP section relating to it. That implies to me that SMP is payable if you tell them you're not coming back straight away. I don't believe it should just be "implied" that you would have to pay back OMP - it should be in black and white.

Thanks

Oh - edited to say that I don't want to ask HR in case they realise they've slipped up and change the paperwork - I haven't left yet!

lilian1977

MATERNITY BENEFITS:

All pregnant employees have a right to 52 weeks maternity leave regardless of length of service (26 weeks ordinary maternity leave and 26 weeks additional maternity leave). Maternity leave cannot begin earlier than the 11th week before the expected week of confinement and 2 of these weeks must be after the day of the birth.

Additional maternity leave begins at the end of ordinary maternity leave. During this period, all contractual benefits with the exception of remuneration must be continued as if the employee was not absent. Holiday pay and pension rights are included in contractual benefits. Basic pay is included in remuneration.

Notification of Maternity Leave:

To take advantage of her right to maternity leave an employee must notify her line manager and the HR Manager no later than the end of the qualifying week (15 weeks prior to the expected week of confinement) or as soon as reasonably practicable.

The employee must supply a MATB1 certificate showing the expected date of confinement. The expected week of confinement is the Sunday prior to the expected date of confinement. This must be supplied from the midwife or GP and returned to her line manager at least 28 days prior to the intended maternity start date.

Paid Time off for Appointments:

The employee has the right not to be unreasonably refused time off during working hours to attend an appointment for ante-natal care, including parent craft and relaxation classes. The ante natal appointment must have been made on the advice of a registered medical practitioner, registered midwife, or registered health visitor. With the exception of the first visit proof must be given. The employee is entitled to be paid for this time off.

Occupational Maternity Pay:

• Total of 39 Weeks paid maternity leave.

Ø 6 Weeks at 90% of average salary
Ø 20 Weeks at 50% of average salary
Ø 13 Weeks at current Statutory Maternity pay rates.

Employees are entitled to Occupational Maternity Pay if:

• She has one year’s continuous employment by the qualifying week.

Statutory Maternity Pay:

Statutory Maternity Pay is payable even if the employee does not intend to return to work. These amounts are subject to tax and national insurance in the normal way. Average earnings are usually calculated by using the eight weeks ending on the last pay day on or before the Saturday of the qualifying week.

The maternity pay period can start at any time between the 11th week before the expected week of confinement and the Sunday following the date the baby is born. Employees who are not eligible for Statutory Maternity Pay can claim Maternity Allowance from the Benefits Agency. Other state benefits (e.g. Statutory Sick Pay, Unemployment benefit) will not be payable at the same time as Statutory Maternity Pay.

To receive Statutory Maternity Pay an employee must:

• Have been continuously employed for at least 26 weeks by the qualifying week.
• Still be pregnant or have had the baby at the 11th week before the expected week of confinement.
• Have average weekly earnings of not less than the lower earnings rate (at the qualifying week) for the payment of NI earnings (currently £124.88 - April 2010).
• Give at least 21 days notice of the date her maternity pay period (MPP) is due to start.
• Have given medical evidence of the date the baby is due/born within 21 days of the start of her MPP
• Have stopped work.

If these limitations are not applied the company will not receive any rebate from the government.

Statutory Maternity Pay is payable at two rates:

• 90% of average earnings for the first 6 weeks
• A minimum rate set by the Government for the remaining 33 weeks of the maternity pay period.

Absence Due to Pregnancy:

If an employee is off sick with a pregnancy related illness within 4 weeks of the expected week of confinement, the employee will be deemed to be on maternity leave. Where the sickness is unrelated to pregnancy it will be treated as sick leave. Maternity leave can be extended for up to 4 weeks by the employee on medical grounds. A doctor’s certificate must be provided. Similarly, the employer can postpone return by up to 4 weeks if adequate reason can be demonstrated.

Return to Work:

The employee must give 8 weeks written notice of the date of their return to work if intending to return before the end of the ordinary maternity leave period (or the end of the additional maternity leave period if this is being taken). All employees are entitled to return to their old job and if this is not possible they must be offered alternative work on terms no less favourable than before.

Luella

Hi, at our work an expectant mother is also required to fill in and return a "form of undertaking" which states that if the mother chooses not to retrn to work for at least 2 months all OMP will be repaid.
There may have been a similar form for you? The stuff you've posted above doesn't seem to make it clear. If not just give HR a buzz, someone should be able to help you quickly.

lilian1977

I haven't been given anything else yet but I also haven't told them how long I will be off for and when I want my leave to start - perhaps this will be something to discuss then.

Like I say - I'm reluctant to actually ask HR in case it wouldn't have occured to them beforehand, but perhaps I should...

Luella

Sorry, I didn't the bit about not talking to HR.
It's probably the case that they'll pass you a form once you inform them of commencement date etc. Have you handed in your MatB1 yet?
I think it's unlikely it's something they've overlooked to be honest, sorry!

RLH33

In the first instance you don't need to tell them how long you will be off for - in fact it is much better not to as you need to keep your options open and the decisions you make now may not be the same in 12 months time. For many reasons you may 'need' to go back to work and you will kick yourself if you have said you won't be.

Do you work for a local authority? It looks just like my contract:D I don't know if you are aware but on top of the 50% Occupational maternity pay you should also get your statutory maternity pay on top - this sometimes mean that you still 'earn' the same as if you were at work.

If you are worried then get in touch with HR but you could just wait and see if they get you to sign anything, I have to return to work for 13 weeks in order to avoid paying back my OMP.

Hope that helps

pinkshoes

My last company had OMP, and every penny had to be paid back if you didn't return to work for 12 months. They gave the option of a lump sum on the day you return to work just in case people weren't sure about returning!!

In fact, I don't know of any (private) company schemes where you can keep the money without returning, so I'd say that more thank likely you'd have to pay it back if you didn't go back to work.

kate1979

Your stat/occ pay looks just like mine and I work for the LA (teacher), so I'm guessing you're doing something similar? I can't remember if it was in my contract but once the LA were informed I was pregnant, they sent me a letter to ask when I was starting mat. leave. In that letter was a clause about how the occupational pay would have to be paid back if I didn't return for at least 13 weeks after my leave, so you may well find that they inform you in a similar manner.
To be honest, I would speak to HR, you don't want hassle over your pay when you've got a little one to look after as well.

lilian1977

I work in the private sector - a concert hall.

Spoke to HR today in the end - and she said I probably wouldn't have to, especially as I had that in writing and there was a precedent that others hadn't paid it back either

bylromarha

As a teacher I would have had to pay all my OMP had i not gone back to work in my old full time position for at least 13 weeks.

My friend had an entire year off work in 2009 at full pay (£40k+) plus the 2 new cars every 6 months she gets as part of her role. If she'd decided to quit after that year off, she wouldn't have had to repay any of the wage. If she gets preg again anytime soon, same thing happens for baby 2,3,4. Talking to HR pre pregnancy helped her decide her and her OH could afford to have a baby. Looks like having that chat with HR has also worked in your favour OP!

lilian1977

Wow, your friend is very lucky! x