In this article, Wills & Tax Solicitor Rhiannon Stevinson aims to clear up any confusion and answer your burning Inheritance Tax questions.
The Court of Appeal has decided that it is not discriminatory for an employer to pay men on shared parental leave less than birth mothers on statutory maternity leave.
The Court of Appeal looked at the issue in a series of joined cases, including Hextall v Chief Constable of Leicestershire Police. In all the cases, men claimed direct or indirect discrimination for being paid less for shared parental leave than a woman on maternity leave.
Shared parental leave pay for men and women
The special treatment women receive in relation to pregnancy and childbirth is a legal exception to the rules on discrimination.
The Court of Appeal said that the correct comparator in a direct discrimination claim is a woman taking shared parental leave, not a woman on maternity leave. On that basis, there was no discrimination in these cases since men and women on shared parental leave would be paid at the same rate.
Equal pay or indirect discrimination?
The Court went on to say that any claim relating to a contractual difference in pay between men and women should be brought as an equal pay claim, not an indirect discrimination claim.
Any special treatment afforded to women in connection with pregnancy and childbirth is a defence to an equal pay claim, just as it is for direct discrimination. A man cannot get around the law by bringing an indirect discrimination claim on the same facts if he is prevented from bringing an equal pay claim because of the 'special treatment' exception.
What is the difference between maternity pay and parental leave pay?
The Court of Appeal pointed out that maternity leave is designed to protect a woman's health and safety in late pregnancy as well as allow time to recover from childbirth and facilitate breastfeeding. These are things which affect the birth mother exclusively, not the father. Maternity leave isn’t just childcare and is different to parental leave by design.
Paul Burton, Head of Employment says “While the number of new parents taking shared parental leave is still low, it has been increasing. Legislation around this area was always going to be tested, but the ruling appears to be very clear. Maternity pay and parental leave pay are different by design.”
At Frettens, all of our solicitors offer a free initial meeting or chat on the phone to answer your questions. If this article raises issues for you or your business, please call us on 01202 499255 and the Employment team will be happy to discuss it with you.
