Research has highlighted a significant gap in enhanced maternity pay offered as a benefit, with private sector employees found to be missing out compared to public sector workers.
Almost all (97 percent) public sector employers offer staff enhanced maternity pay, compared to 75 percent of companies in the private sector, according to a survey by Brightmine.
This divide in provision reflects the higher proportion of female employees in the public sector (65 percent) compared with the private sector (44 percent).
Missing out
There might be a higher ratio of women to men in the public sector than there is in the private sector, but the data showed there are almost double the number of female employees in the private sector, 10.96 million, than in the public sector where there are 4.98 million.
Researchers calculated that this means 2.74 million women working in the private sector are missing out on enhanced maternity pay, compared to just 149,400 in the public sector.
However, the research shows the number of organisations that offer enhanced maternity pay has increased by 10 percent since 2021. The data revealed that the proportion of employers only offering the statutory minimum has fallen to 26 percent from 36 percent recorded in Brightmine’s 2021 survey.
Right direction
Researchers said that length of service requirements are also moving in the right direction. In 2021, day one entitlement was offered by just 12 percent of organisations, but this has increased to 16 percent.
Employers that require staff to have completed a year of service before they are eligible for maternity pay fell from 37 percent to 32 percent, however, organisations requiring people to be in a job for six months before they become eligible has risen to 27 percent up from 22 percent in 2021.
The length of time that employees offer enhanced maternity pay varies substantially between organisations. Some employers offer as little as one week of enhanced pay, while others offer 39 weeks.
The median period was found to be 18 weeks, while the most common period provided is 26 weeks offered by 30 percent of organisations. Sixteen percent provide enhance pay for 18 weeks and 14 percent enhance it for 12 weeks.
Dial is moving
Bar Huberman, content manager, HR strategy and practice at Brightmine, said: “While it is reassuring that the dial is moving in the right direction, more can be done to support working mothers – especially in the private sector. Some mothers decide to return to work much earlier than they would have liked after having a baby due to very little pay during maternity leave, which can take a toll on their health.
“Taking a proactive approach to building an equitable benefits package is key. Organisations that go above and beyond the minimum statutory requirements are likely to be rewarded with loyalty and engagement from existing members of staff and an improved ability to attract new talent.”
