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Childcare Vouchers and Maternity Leave

The Employment Appeal Tribunal (EAT) has recently decided that childcare vouchers provided to employees through a salary sacrifice scheme can be classed as ‘remuneration’ and as such do not have to be continued when an employee is on maternity leave. This is completely contrary to HMRC guidance and the previously accepted position. As ever nothing is as straight forward as it seems and employers should exercise caution before withdrawing childcare vouchers from employees currently or due to go on maternity leave.

If you would like to discuss this, please contact Karl Thomas on: 029 2080 3112 or email: