As part of the changes to Statutory Maternity Pay brought in by the government, employees on maternity leave were given the right to be able to return to work for up to 10 days without this affecting their SMP payments. Previously, an employee who had undertaken any work during their Normal Maternity Leave would have forfeited any SMP for that whole week, however it was decided that in order for employees to ‘keep in touch’ with their colleagues and employers that this should be changed.
If an employee utilises all 10 of their available KIT days during their Maternity leave, then they will lose the right for any Statutory Maternity Pay for the whole week for any subsequent days that they work.
KIT days are not compulsory and must be agreed upon by both the employee and the employer. A KIT day can consist of any type of work, be it simply a meeting or a whole day’s normal work, however any day in which work is undertaken, even if it is only for half an hour, counts as one whole KIT day.
Employees should be paid for KIT days. However, it is up to the discretion of the employer how this pay should be calculated. The employee should know how much pay they are to receive before taking a KIT day.
The SAP standard solution for KIT days treats them as absences; this can cause difficulties when entering KIT days because a collision occurs between the employee’s maternity leave and their KIT day. The maternity leave needs to be delimited the day before the KIT day begins and restarted the day after the KIT day ends. When doing this, it is essential to check that the maternity leave is not treated as two separate absences, to ensure this does not happen the maternity leave needs to have 20 ‘linking days’ specified in table T5GPBS21 (the view is V_T5GPBS21).
When entering a KIT day onto SAP, an employee’s SMP will remain unaffected, however any Occupational Maternity Pay they may be entitled to during this period will be affected. When a KIT day is entered, SAP does not consider this as a day on which OMP should be paid and as such will not reduce the entitlement for this day, so when the maternity leave restarts after the KIT day, the employee’s OMP entitlement will be the same as it was before the KIT day. This means that the OMP and SMP payments will then be out of synch. i.e. If an employee is entitled to 39 weeks SMP and 39 weeks OMP and takes 6 KIT days during this period, then their OMP will end 6 days after their SMP.
The SAP standard solution for KIT days does not allow for hours to be used for calculation of pay; it will only pay a full day’s remuneration. SAP will use the wage types that the employee would usually earn were they not on maternity leave to pay the employee for a KIT day instead of using OMP ( e.g. Wage Type 1000, Basic Pay ) any allowances in infotype 0014 will also be paid for KIT days.
When calculating the weekly offset between OMP and SMP, SAP classes all the pay earned on the KIT day as OMP
For Example:
An employee, whose normal weekly wage is £350.00, receiving Lower Rate SMP and 50% Occupational Maternity Pay would receive;
SMP £124.88
OMP £175.00
No OMP offset would be needed, because the total gross for the week is not more than the total gross for a normal working week.
The same employee, if they were to undertake 2 KIT days in a week would receive;
SMP £124.88
OMP £175.00
KIT days £100 (2 days @ £50)
OMP offset = (SMP + OMP + KIT days) – Normal Gross
= 124.88 + 175 + 100 – 350
= £49.88
Therefore the OMP Paid would be: 175 - 49.88 = £125.12.
NB: With this new calculation it is now possible to receive negative OMP for a Sunday – Saturday week, this was not previously the case.
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