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ARTICLE · 15 SEPTEMBER 2003

Employee Benefits: Pension Rights on Maternity Leave

Jones Day
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By John Papadakis, Partner, Martin Scott, Associate and Rosalind Connor, Associate

For some time there has been a degree of confusion as to women’s rights to pension benefits accrual whilst on maternity leave. However, the Employment Act 2002 has now clarified the position. This commentary summarises the employer’s and employee’s duties in relation to the pension scheme whilst the employee is on maternity leave. The position varies between ordinary and additional maternity leave.

Ordinary Maternity Leave

Ordinary maternity leave is the 26 week period of maternity leave during which the employee is entitled to statutory maternity pay. Under the Employment Rights Act 1996, an employee’s benefits continue whilst on ordinary maternity leave as if she were still working, except in relation to remuneration.

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