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Maternity rights: Maternity pay did not determine subsistence of contract

This report relates to 1 case(s)

In McPherson v Drumpark House [1997] IRLR 277 the EAT holds that the employment contract of an employee who loses her statutory right to return to work after maternity leave does not necessarily subsist during the period when she receives statutory maternity pay. The fact that the employee receives such pay from her employer does not in itself continue the contract, and indeed is no more than a neutral factor in any consideration of whether the contract subsists.