Newsflash: Maternity leave and childcare vouchers

Is it unlawful discrimination for an employer to suspend the payment of childcare vouchers during maternity leave?

No, not if those vouchers are provided by way of a salary sacrifice agreement, says the EAT in Peninsula Business Services Ltd v Donaldson available here.

This decision is contrary to HMRC guidance which states that salary sacrifice child care vouchers should continue to be provided during maternity leave.  So where does this leave employers?

We’ll look more at what the EAT’s decision means for employers in our March Newsletter, so watch this space…