20 November 2019 Julia Ascott, Employment Taxes Specialist
Mrs Dare was paid a settlement from her ex-employer to account for any claims following her termination of employment. She successfully argued at the First-tier Tribunal (FtT) that her compromise agreement did not include any entitlement to Statutory Maternity Pay (SMP).
The details:
As the SSCBA effectively stops or voids any exclusion or limit of SMP, it therefore fell to the wording of the compromise or settlement agreement as to whether Mrs Dare was compensated for SMP. As it wasn’t mentioned in her agreement, it was therefore not part of the payment.
Practical consideration for HEIs – review your settlement agreements thoroughly to ensure that they expressly mention all types of claims an individual can make against the organisation.