Explainer: Shared parental leave and pay for employers (technical guide)
This explainer summarizes the contents of the government guidance for employers on shared parental leave and pay, clarifying who is affected, how eligibility is determined, and practical steps for implementation. It uses plain language and defines common terms.
What the guidance covers
The document is a technical guide for employers explaining how shared parental leave and pay should be implemented in workplaces. It updates details on current statutory payment levels and how earnings are calculated for family-related statutory payments—particularly for employees who have been furloughed under the Coronavirus Job Retention Scheme. The guide also translates legal rules into practical steps for payroll, HR policies, and record-keeping.
Who is affected
Employees who are expecting a child or whose partner is expecting can be eligible for shared parental leave and pay. Eligibility depends on factors such as employment status, length of service, and earnings. The guidance explains what counts as ‘earnings’ for calculating statutory payments and how furlough scenarios impact payment calculations. It also covers changes to references and how to reflect current payment levels in payroll and HR systems.
Practical next steps for employers
1) Review current policies: Compare your workplace policy with the guidance to ensure it aligns with the latest statutory payment rules and earnings calculations.
2) Check eligibility criteria: Confirm which employees may qualify based on service length and earnings, and how to document eligibility.
3) Payroll integration: Update payroll systems to calculate shared parental pay using the defined earnings rules, including any impacts from furlough schemes.
4) Record-keeping: Maintain clear records of the leave period, pay calculations, and any changes to employment terms during leave.
5) Communications: Prepare a plain-language summary for employees so they understand their rights and steps to request leave.
Limits and common questions
Key terms explained:Shared parental leaveis a potential period when a parent can take leave after the birth or adoption of a child.Shared parental payis the payment made during that leave, calculated from earnings as defined by the guidance. The document clarifies how to treat earnings for those on furlough and how updates to payment levels are reflected in practice. If you have questions about eligibility or specific payroll situations, consult the statutory guidance or a legal adviser familiar with employment rights.
Which sources did Setup in Bahrain review?
Setup in Bahrain reviewed the following source material before preparing this explanatory article.
The links remain visible so readers can inspect the evidence, compare dates and context, and confirm current requirements with the relevant authority.
- gov.uk — evidence source reviewed for this article.
Information and responsibility notice: This article is general information based on the cited material available when published. It is not legal, tax, immigration, medical, financial, banking, or investment advice; it does not create a professional-client relationship; and it is not a guarantee of outcome, availability, accuracy, or eligibility. Rules, schedules, prices, and third-party information can change. Confirm material decisions with the relevant authority and an appropriately qualified adviser before acting.