Irish Payroll Essentials: Payslip, Parental Leave & Benefits Guide

Managing payroll in Ireland is a grand task, filled with nuances and regulations that can catch even the most experienced employer off guard. In this post, we'll delve into three aspects of payroll that are vital to understand: the rules for holiday and sick pay, handling maternity and paternity leave, and the requirements for providing payslips to employees.

1. What Are the Rules for Holiday and Sick Pay in Ireland?

Holiday Pay

In Ireland, employees are entitled to a certain number of paid holidays each year. The amount depends on the hours worked, but generally, full-time employees are entitled to four working weeks of paid leave. Read more about this on the link below.

Sick Pay

As of 1 January 2023, employees have a right to 3 days’ certified sick pay a year. This is called statutory sick pay (that means the legal minimum). Please note the entitlement to paid sick leave is being phased over 4 years, and will amount to a maximum of 10 days by 2026. Sick pay is paid by the employer at 70% of your normal pay up to a maximum of €110 a day. It's a good idea to have a clear policy in place so everyone knows where they stand. Find out more on sick leave and sick pay in Ireland on the link below.

2. How Do I Handle Maternity and Paternity Leave in Payroll Calculations?

Maternity Leave

Expectant mothers in Ireland are entitled to 26 weeks of maternity leave, with the option to extend it by 16 additional unpaid weeks. Employers must keep track of this leave in their payroll system.

Paternity Leave

New fathers are entitled to two weeks of paternity leave. Like maternity leave, it's essential to handle this properly in payroll calculations to ensure compliance with Irish law.

3. What Are the Requirements for Providing Payslips to Employees in Ireland?

Providing payslips is more than just a courtesy in Ireland; it's a legal requirement. Payslips must include specific details such as:

• Gross pay
• Deductions (tax, PRSI, etc.)
• Net pay
• Total hours worked

Employers must provide payslips to employees on or before payday, either in print or electronically.

Conclusion

From holiday and sick pay to maternity and paternity leave, and even the humble payslip, payroll in Ireland is a complex affair. But with a bit of knowledge and the right approach, it's something that can be managed effectively.

If you find yourself in trouble with your payroll or need some expert advice, don't be afraid to reach out to us. We're always here to help. You can email Yvonne ybullencranny@rda.ie / Valerie vwaters@rda.ie or call our office.