Tuesday 17 May 2011

Parental leave to undergo radical new changes

New fathers will be allowed an additional four weeks’ paid parental leave following the birth of their child under new proposals announced by the Government on 16 May 2011.

The proposals contained in the Modern Workplaces Consultation are aimed at updating the law on parental leave to reflect the changes in the workplace and create a system that is fairer for new fathers, whilst maintaining the rights of new mothers.

New fathers are currently only entitled to two weeks’ paid paternity leave after the birth of their child. The proposals would increase this allowance to six weeks’ paid leave, two weeks to be taken off straight after the birth with a month to be taken off at a later date.

The proposals also introduce the concept of ‘shared parental leave’. Shared parental leave allows the new mother to take five months’ paid maternity leave after the birth of the baby and gives the parents an additional seven months leave, four of which will be paid, to split between them as they see fit. This means if the mother returns to work early, the new father could have almost six months’ paid paternity leave.

The plans also allow the time to be taken off in ‘chunks’, allowing the parents to take some time off at the same time. However, if the parents and their employers cannot reach a suitable arrangement, the employer can request the employee to take the parental leave in one continuous stretch.

The Business Secretary Vince Cable said of the proposals: "These measures are fairer for fathers and maintain the existing entitlements for mothers - but crucially give parents much greater choice over how to balance their work and family commitments.

"Of course, I'm mindful of the need to minimise the costs, bureaucracy and complexities on businesses ... we will ensure that businesses will still be able to take into account their needs when agreeing how leave can be taken."

His words are intended to reassure the business community that has expressed concern at the disruption the new parental leave rights could have on its businesses.

Jackie Orme, Chartered Institute of Personnel and Development chief executive, expressed some concerns about the workability of the proposals: "We believe that parents should be required to take leave in reasonable blocks of time - no shorter than two weeks - if the employer is not to be subjected to unreasonable burdens."

In addition to the shared parental leave plans, the consultation also includes plans to extend the right to request flexible working to all employees.

The Home Secretary Theresa May said the proposals form part of the Government’s “commitment to closing down the gender pay gap”.

Job Justice can connect employers to local and recommended employment law specialists who can provide guidance on the consultation and what it would mean for them.

The proposals are expected to come into force in 2015.

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