Statutory Adoption Pay: Who Qualifies and How Does It Work?

Statutory Adoption Pay is an important benefit. It helps individuals or couples who are adopting a child or taking in a child through permanent fostering. Both employees and employers need understand the legal rights and rules about adoption leave and pay. This understanding helps with compliance and better payroll management.

Eligibility for Statutory Adoption Leave and Pay

Individuals may qualify for Statutory Adoption Leave and pay if they are:

• Adopting a child.

• Fostering a child for the long term with the goal of becoming their legal parent is known as "fostering to adopt."

It is important to note that 'statutory' refers to the minimum legal entitlement. Some employers may offer enhanced adoption leave and pay packages, which should be verified within employment contracts or through direct discussion with the employer.

Surrogacy Arrangements

For those having a child through surrogacy, adoption leave and pay may still apply. To qualify, intended parents must apply to be the child's legal parents within six months after birth. This can be through:

• A parental order if one parent is genetically related to the child.

• An adoption order if neither parent is genetically related.

Different rules apply when pursuing a parental order in surrogacy cases.

Adoption Leave for Couples

Only one person in a couple can take Statutory Adoption Leave and pay when adopting. The partner not taking adoption leave may be eligible for paternity leave and pay. Couples may also consider Shared Parental Leave and pay. This lets both parents take time off work.

Statutory Adoption Leave Entitlements

Statutory Adoption Leave provides up to 52 weeks of leave. This mirrors the provision for maternity leave. This entitlement applies from the first day of employment.

Eligibility for Adoption Leave

To qualify for Statutory Adoption Leave, an individual must:

• Be legally classified as an employee.

• Provide their employer with the correct notice.

• Supply proof of adoption or fostering to adopt if requested.

Leave is only available for adoptions arranged through an agency. Private adoptions, including stepchild or relative adoptions without agency involvement, are excluded.

Statutory Adoption Pay

Statutory Adoption Pay (SAP) is provided for 39 weeks. It follows the same structure as Statutory Maternity Pay:

• First 6 weeks: 90% of the employee’s average weekly earnings.

• Next 33 weeks: The lower of £187.18 per week or 90% of the employee’s average weekly earnings.

Eligibility for Statutory Adoption Pay

To qualify for SAP, an employee must:

• Have worked for the same employer for at least 26 weeks, including the week they matched with a child.

• Earn at least £125 per week (before tax) in the eight weeks leading up to the matching week.

• Provide the correct notice and documentary evidence. This usually means a matching certificate from the adoption agency.

Agency workers may also be eligible for SAP. If an employee does not qualify for SAP, they may still be entitled to adoption leave, although this would be unpaid.

Overseas Adoptions

For overseas adoptions, the employee must:

• Have been employed continuously for at least 26 weeks by the end of the week they receive official notification of eligibility to adopt.

• Earn at least £125 per week (before tax) in the qualifying period.

Notice Requirements

Employees must inform their employer within seven days of:

• Being matched with a child.

• Confirmation of permanent fostering placement.

If this is not possible, notification should be given as soon as practicable. It is advisable to provide at least 28 days' notice before the intended start of SAP.

When giving notice, employees must:

• Confirm the expected date of placement.

• Specify the intended start date of leave.

• Declare if they are opting for SAP instead of Statutory Paternity Pay (if adopting jointly).

Intended parents in surrogacy cases need to give a statutory declaration. This declaration confirms their intent to apply for a parental order.

Employer’s Obligations

Upon notification, employers must:

• Respond in writing within 28 days.

• Confirm the end date of the adoption leave period.

Time Off for Adoption Appointments

Eligible employees are entitled to paid time off for five adoption appointments arranged by the adoption agency. The partner not taking adoption leave is entitled to unpaid time off for two appointments. Each appointment may last up to 6.5 hours, including travel.

If additional time off is required, this should be discussed with the employer, who may offer special leave arrangements.

Providing Proof of Adoption

Employees must provide proof to qualify for SAP. However, evidence of adoption or placement isn’t required for adoption leave unless the employer asks for it.

For UK adoptions, the required documentation includes:

• Employee’s name and address.

• Adoption agency details.

• Date of matching.

• Expected placement date.

For overseas adoptions, proof must include:

• Official notification from the relevant UK authority.

• Evidence of the child’s arrival in the UK.

Holiday Entitlement

Employees continue to accrue holiday entitlement during adoption leave. If holiday cannot be taken before or during the leave period, it may be carried forward, subject to agreement with the employer. Employees may also request to tag annual leave onto the beginning or end of their adoption leave.

Changes to Adoption Leave Dates

Employees wishing to change their adoption leave start date must provide 28 days' notice. This applies whether they intend to start earlier or later than initially planned.

Working During Adoption Leave

Employees may work up to 10 Keeping In Touch (KIT) days during adoption leave without affecting their entitlement to leave or pay. KIT days must be mutually agreed between the employer and employee and can be used to remain engaged with the workplace. Payment for these days should be arranged in advance.

If more than 10 KIT days are worked, adoption leave and pay automatically end.

Returning to Work After Statutory Adoption Leave

Employees are not required to confirm their return date unless they choose to return early. In this case, eight weeks' notice must be provided. If no notification is given, employers will assume the employee will return after the full 52 weeks.

If the employee decides not to return to work, they must give the appropriate contractual notice.

Conclusion

Statutory Adoption Leave is a significant financial and legal entitlement. It supports adoptive parents in balancing work and family life. Knowing the eligibility criteria, pay structure, notice requirements, and employer obligations helps manage payroll correctly and stay compliant. Employers should maintain clear communication with employees throughout the adoption process to facilitate smooth transitions and support family-friendly working arrangements.