Work and Families Bill

House of Commons

Session 2005 - 06
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Other Bills before Parliament

Work and Families Bill

Work and Families Bill
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(a)
section 186(1)(a) and (b) of ERA 1996 (employee’s rights on insolvency
of employer: maximum amount payable);
(b)
section 227(1) of ERA 1996 (maximum amount of a week’s pay for the
purposes of certain provisions of the Act relating to awards of
compensation and redundancy payments).
5
(2)
The Secretary of State may, on one occasion only, by order substitute for each
of the sums mentioned in subsection (1) such higher sum as may be specified
in the order.
(3)
An order under this section—
(a)
is to be made by statutory instrument;
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(b)
may include transitional provision;
(c)
may exclude, on a single occasion specified in the order under this
section, any duty to make an order under section 34 of the 1999 Act
(indexation of certain amounts, &c), so far as relating to the sums
mentioned in subsection (1).
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(4)
Subject to any provision made under subsection (3)(c), this section does not
affect the operation of section 34 of the 1999 Act in relation to the sums
substituted by the order under this section in the provisions mentioned in
subsection (1).
(5)
No statutory instrument containing an order under this section may be made
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unless a draft of the instrument has been laid before, and approved by a
resolution of, each House of Parliament.
(6)
In this section “the 1999 Act” means the Employment Relations Act 1999 (c. 26).
Supplementary
15
Repeals
25
The enactments specified in Schedule 2 are repealed to the extent specified.
16
Interpretation
In this Act—
“ERA 1996” means the Employment Rights Act 1996 (c. 18);
“SSCBA 1992” means the Social Security Contributions and Benefits Act
30
1992 (c. 4).
17
Corresponding provision for Northern Ireland
An Order in Council under paragraph 1(1) of the Schedule to the Northern
Ireland Act 2000 (c. 1) (legislation for Northern Ireland during suspension of
devolved government) which contains a statement that it is made only for
35
purposes corresponding to those of this Act—
(a)
is not subject to paragraph 2 of that Schedule (affirmative resolution of
both Houses of Parliament), but
(b)
is subject to annulment in pursuance of a resolution of either House of
Parliament.
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Work and Families Bill
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Financial provisions
(1)
There shall be paid out of money provided by Parliament—
(a)
any expenses incurred by a Minister of the Crown or government department
under this Act, and
(b)
any increase attributable to this Act in the sums which under any other Act
5
are payable out of money so provided.
(2)
There shall be paid into the Consolidated Fund any increase attributable to this Act in
the sums payable into that Fund under any other Act.
19
Commencement
(1)
Sections 16 to 18, this section and section 20 come into force on the day on
10
which this Act is passed.
(2)
The other provisions of this Act come into force in accordance with provision
made by the Secretary of State by order made by statutory instrument.
(3)
An order under this section—
(a)
may make different provision for different purposes;
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(b)
may include supplementary, incidental, saving or transitional
provisions.
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Short title and extent
(1)
This Act may be cited as the Work and Families Act 2005.
(2)
Subject to subsection (3), this Act extends to England and Wales and Scotland
20
only.
(3)
The following provisions extend also to Northern Ireland—
(a)
this section and sections 17 to 19;
(b)
paragraphs 2, 44, 48, and 54 to 60 of Schedule 1, and section 11 so far as
relating to those paragraphs;
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(c)
the entry in Schedule 2 relating to the Income Tax (Earnings and
Pensions) Act 2003 (c. 1), and section 15 so far as relating to that entry.

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Work and Families Bill
Schedule 1 — Leave and pay related to birth or adoption: further amendments

Schedules
Schedule 1
Section 11

Leave and pay related to birth or adoption: further amendments
Social Security Act 1989 (c. 24)
1     (1)
In Schedule 5 to the Social Security Act 1989 (employment-related schemes
5
for pensions and other benefits: equal treatment for men and women),
paragraph 5A (unfair paternity leave provisions) is amended as follows.
      (2)
In sub-paragraph (3), for “or statutory paternity pay” substitute “, ordinary
statutory paternity pay or additional statutory paternity pay”.
      (3)
In sub-paragraph (4), in the definition of “period of paid paternity leave”—
10
(a)
in paragraph (a), for “or (7)” substitute “, (7) or (8)”, and
(b)
in paragraph (b), for “or statutory paternity pay” substitute “,
ordinary statutory paternity pay or additional statutory paternity
pay”.
      (4)
After sub-paragraph (7) insert—
15
    “(8)
This sub-paragraph applies if—
(a)
the member’s absence from work is due to the fact that he
is caring for a child, and
(b)
in relation to that child, the member satisfies the conditions
prescribed—
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(i)
under section 171ZEA(2)(a)(i) and (ii) of that Act,
(ii)
under section 171ZEB(2)(a)(i) and (ii) of that Act, or
(iii)
under section 171ZEB(2)(a)(i) and (ii) of that Act as
applied by virtue of section 171K of that Act
(adoption cases not involving placement under the
25
law of the United Kingdom).”
Finance Act 1989 (c. 26)
2
In section 182 of the Finance Act 1989 (disclosure of information), in each of
the following provisions—
(a)
subsection (1)(c),
30
(b)
subsection (2A)(a),
(c)
subsection (4)(c)(iii),
(d)
subsection (5)(b), and
(e)
subsection (11A),

for “statutory paternity pay” substitute “ordinary statutory paternity pay,
35
additional statutory paternity pay”.

Work and Families Bill
Schedule 1 — Leave and pay related to birth or adoption: further amendments
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Social Security Contributions and Benefits Act 1992 (c. 4)
3
In section 1(5) of SSCBA 1992 (which provides for payment by way of additional
contributions out of money provided by Parliament of an annual amount equal to
statutory sick pay, statutory maternity pay, statutory paternity pay and statutory
adoption pay recovered by employers and others), for “statutory paternity pay”
5
substitute “ordinary statutory paternity pay, additional statutory paternity pay”.
4
In section 4(1) of SSCBA 1992 (payments treated as remuneration and
earnings), in paragraph (a), for sub-paragraphs (iii) and (iv) substitute—
“(iii)
ordinary statutory paternity pay;
(iv)
additional statutory paternity pay; or
10
(v)
statutory adoption pay; and”.
5
In section 4C of SSCBA 1992 (power to make provision in consequence of
provision made by or by virtue of section 4B(2)), in subsection (11), in the
definition of “statutory payment”, for “statutory paternity pay” substitute
“ordinary statutory paternity pay, additional statutory paternity pay”.
15
6
In section 35 of SSCBA 1992 (state maternity allowance), in subsection (3)(a)
(power by regulations to prescribe cases in which a woman is disqualified
from receiving a maternity allowance), for sub-paragraph (i) substitute—
“(i)
during the maternity allowance period, except in
prescribed cases, she does any work in employment
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as an employed or self-employed earner;
(ia)
during the maternity allowance period she fails
without good cause to observe any prescribed rules of
behaviour; or”.
7     (1)
Section 165 of SSCBA 1992 (the maternity pay period) is amended as follows.
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      (2)
For subsections (2) and (3) substitute—
“(2)
Subject to subsections (3) and (7), the maternity pay period shall
begin with the 11th week before the expected week of confinement.
(3)
Cases may be prescribed in which the first day of the period is to be
a prescribed day after the beginning of the 11th week before the
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expected week of confinement, but not later than the day
immediately following the day on which she is confined.”
      (3)
In subsection (4), at the beginning insert “Except in such cases as may be
prescribed,”.
      (4)
After subsection (7) insert—
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“(8)
In subsections (1), (4) and (6) “week” means a period of seven days
beginning with the day of the week on which the maternity pay
period begins.”
8     (1)
Section 166 of SSCBA 1992 (rate of statutory maternity pay) is amended as
follows.
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      (2)
After subsection (1) insert—
“(1A)
In subsection (1) “week” means any period of seven days.”

Work and Families Bill
Schedule 1 — Leave and pay related to birth or adoption: further amendments
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      (3)
After subsection (3) insert—
    “(4)
Where for any purpose of this Part of this Act or of regulations it
is necessary to calculate the daily rate of statutory maternity pay,
the amount payable by way of statutory maternity pay for any day
shall be taken as one seventh of the weekly rate.”
5
9     (1)
Section 171 of SSCBA 1992 (interpretation of Part 12) is amended as follows.
      (2)
In subsection (1), omit the definition of “week”.
      (3)
After that subsection insert—
“(1A)
In this Part, except section 165(1), (4) and (6), section 166(1) and
paragraph 3(2) of Schedule 13, “week” means a period of 7 days
10
beginning with Sunday or such other period as may be prescribed in
relation to any particular case or class of case.”
10
For the heading to Part 12ZA of SSCBA 1992 (statutory paternity pay),
substitute “ORDINARY AND ADDITIONAL STATUTORY PATERNITY
PAY”.
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11
In Part 12ZA of SSCBA 1992, immediately before section 171ZA insert the
heading “Ordinary statutory paternity pay”.
12
In section 171ZA of SSCBA 1992 (entitlement: birth), in subsections (1) and
(4), for “statutory paternity pay” substitute “ordinary statutory paternity
pay”.
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13
In section 171ZB of SSCBA 1992 (entitlement: adoption), in subsections (1),
(4) and (6), for “statutory paternity pay” substitute “ordinary statutory
paternity pay”.
14
In section 171ZC of SSCBA 1992 (entitlement: general), for “statutory
paternity pay” (wherever occurring) substitute “ordinary statutory
25
paternity pay”.
15    (1)
Section 171ZD of SSCBA 1992 (liability to make payments) is amended as
follows.
      (2)
In subsection (1), after “payments of” insert “ordinary”.
      (3)
In subsection (2)—
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(a)
for “statutory paternity pay”, where first occurring, substitute
“ordinary statutory paternity pay”, and
(b)
for “liability for statutory paternity pay” substitute “liability for
ordinary statutory paternity pay or additional statutory paternity
pay (or both)”.
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16    (1)
Section 171ZE of SSCBA 1992 (rate and period of statutory paternity pay) is
amended as follows.
      (2)
For “statutory paternity pay”, wherever occurring, substitute “ordinary
statutory paternity pay”.
      (3)
After subsection (10) insert—
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“(10A)
Where for any purpose of this Part of this Act or of regulations it is
necessary to calculate the daily rate of ordinary statutory paternity

Work and Families Bill
Schedule 1 — Leave and pay related to birth or adoption: further amendments
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pay, the amount payable by way of ordinary statutory paternity pay
for any day shall be taken as one seventh of the weekly rate.”
17
Immediately before section 171ZF of SSCBA 1992, insert the heading
“Ordinary and additional statutory paternity pay: supplementary provisions”.
18
In section 171ZF of SSCBA 1992 (restrictions on contracting out), in
5
subsection (2), for “statutory paternity pay” substitute “ordinary statutory
paternity pay or additional statutory paternity pay”.
19
In section 171ZG of SSCBA 1992 (relationship with contractual
remuneration), at the end insert—
“(4)
In this section “statutory paternity pay” means ordinary statutory
10
paternity pay or additional statutory paternity pay.”
20
In section 171ZJ of SSCBA 1992 (Part 12ZA: supplementary), in subsection
(10)(f), for “statutory paternity pay” substitute “ordinary statutory paternity
pay or additional statutory paternity pay”.
21    (1)
Section 171ZN of SSCBA 1992 (rate and period of statutory adoption pay) is
15
amended as follows.
      (2)
At the beginning of subsection (3) insert “Except in such cases as may be
prescribed,”.
      (3)
After subsection (6) insert—
“(6A)
Where for any purpose of this Part of this Act or of regulations it is
20
necessary to calculate the daily rate of statutory adoption pay, the
amount payable by way of statutory adoption pay for any day shall
be taken as one seventh of the weekly rate.”
22
In section 176 of SSCBA 1992 (parliamentary control), in subsection (1)(a)
(regulations requiring affirmative procedure), after “section 171ZE(1)”
25
insert—
“sections 171ZEA to 171ZEE;”.
23
In Schedule 13 to SSCBA 1992 (relationship of statutory maternity pay with
benefits and other payments etc.), in paragraph 3 (contractual
remuneration), after sub-paragraph (2) insert—
30
   “(2A)
In sub-paragraph (2) “week” means a period of seven days
beginning with the day of the week on which the maternity pay
period begins.”
Social Security Administration Act 1992 (c. 5)
24
In section 5 of the Social Security Administration Act 1992 (regulations about
35
claims for and payments of benefit) in subsection (5) for “statutory paternity
pay” substitute “, ordinary statutory paternity pay, additional statutory
paternity pay”.
25
In section 122AA(1) of the Social Security Administration Act 1992
(disclosure of contributions information by Her Majesty’s Revenue and
40
Customs), for “statutory paternity pay” substitute “ordinary statutory
paternity pay, additional statutory paternity pay”.
26
In section 150 of the Social Security Administration Act 1992 (annual up-
rating of benefits), in subsection (1)(j), after “171ZE(1)” insert “, 171ZEE(1)”.

Work and Families Bill
Schedule 1 — Leave and pay related to birth or adoption: further amendments
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27
In section 163(1) of the Social Security Administration Act 1992 (sums
payable out of National Insurance Fund), in paragraph (d) for “or statutory
paternity pay” substitute “, ordinary statutory paternity pay or additional
statutory paternity pay”.
28    (1)
Section 165 of the Social Security Administration Act 1992 (adjustments
5
between National Insurance Fund and Consolidated Fund) is amended as
follows.
      (2)
In subsection (1)(b) (adjustments in respect of the operation of legislation
relating to statutory sick pay, statutory maternity pay, statutory paternity
pay and statutory adoption pay), for sub-paragraphs (iii) and (iv)
10
substitute—
“(iii)
ordinary statutory paternity pay;
(iv)
additional statutory paternity pay; and
(v)
statutory adoption pay.”
      (3)
In subsection (5)(a) (adjustments in respect of certain administrative
15
expenses of the Board), for “statutory paternity pay” substitute “ordinary
statutory paternity pay, additional statutory paternity pay”.
Employment Rights Act 1996 (c. 18)
29
In section 27(1) of ERA 1996 (meaning of “wages” etc.), in paragraph (ca), for
“statutory paternity pay” substitute “ordinary statutory paternity pay or
20
additional statutory paternity pay”.
30
In section 47C of ERA 1996 (leave for domestic and family reasons), in
subsection (2), for paragraph (ca) substitute—
“(ca)
ordinary or additional paternity leave, or”.
31
In section 71 of ERA 1996 (ordinary maternity leave), for subsection (3)
25
substitute—
“(3)
Regulations under subsection (2)—
(a)
shall secure that, where an employee has a right to leave
under this section, she is entitled to an ordinary maternity
leave period of at least 26 weeks;
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(b)
may allow an employee to choose, subject to prescribed
restrictions, the date on which an ordinary maternity leave
period starts;
(c)
may specify circumstances in which an employee may work
for her employer during an ordinary maternity leave period
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without bringing the period to an end.”
32
In section 73 of ERA 1996 (additional maternity leave), for subsection (3)
substitute—
“(3)
Regulations under subsection (2)—
(a)
may allow an employee to choose, subject to prescribed
40
restrictions, the date on which an additional maternity leave
period ends;
(b)
may specify circumstances in which an employee may work
for her employer during an additional maternity leave period
without bringing the period to an end.”
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33
In section 75A of ERA 1996 (ordinary adoption leave), after subsection (2)