At the end of regulation 4 of the principal regulations (modification of entitlement provisions), there shall be inserted the following paragraph:
(3) In relation to a woman to whom either paragraph (1) or paragraph (2) applies, section 48 of the 1986 Act shall be modified so that —
(a) subsection (2) has effect as if the reference to the period of 8 weeks immediately preceding the 14th week before the expected week of confinement was a reference —
(i) in a case to which paragraph (1) applies, to the period of 8 weeks ending with the last day in respect of which she was paid in accordance with her contract of service with her employer, or
(ii) in a case to which paragraph (2) relates, to the period of 8 weeks immediately preceding the week in which her confinement occurred;
(b) subsection (4) has effect as if the words “or would but for her dismissal or confinement have been” were inserted after the words “expected week of confinement has been”; and
(c) subsection (5) has effect as if there were added at the end of the subsection the words —
and for the purpose of this subsection —
(a) a contract of service which ended before the end of the week immediately preceding the 14th week before the expected week of confinement shall be deemed to have continued until the end of that week; and
(b) in any week which falls —
(i) after the week preceding the week in which her employment ended or confinement occurred, but
(ii) before the 14th week before the expected week of confinement,
the woman shall be deemed to have been employed under her contract of service for the same number of hours weekly as that which her contract involved in the week preceding the week in which her employment ended or her confinement occurred.