IDR | 05 Jul 2023

New employment legislation for parents and carers receives royal assent

While a handful of employers such as M&S and British Land and Virgin Media  have already implemented policies aimed at parents whose babies require neonatal care, such support is set to be formalised for the wider workforce with the introduction of the Neonatal Care (Leave and Pay) Act 2023. This is one of three new pieces of employment-related legislation that receive royal assent. 

Three new pieces of legislation received royal assent at the end of May providing extra protections for pregnant employees and new parents against redundancy and new rights to additional leave for carers and parents of newborns.

Rights protecting new and expectant parents

The Neonatal (Leave and Pay) Act will allow up to 12 weeks of paid leave for each parent in addition to other leave entitlements, such as maternity and paternity leave. Although the date these provisions will take effect from has not yet been announced, once in force they will be available to new parents whose baby is admitted to hospital within the first 28 days of their life for seven days or more.  Although unconfirmed, this leave is expected to be paid at the same rate as statutory maternity and paternity pay (currently £172.48 or 90% of the employee's average weekly earnings, whichever is lower).

In addition, the Protection from Redundancy (Pregnancy and Family Leave) Act will offer pregnant women and new parents greater protection against redundancy. Currently, the Maternity and Parental Leave Regulations 1999 provide that while a parent is on a period of maternity or shared parental leave, the employer has an obligation to offer a suitable alternative position where available before making him or her redundant. This legislation is now being extended for an additional period, from when an employee tells her employer she is pregnant until 18 months after birth. While the Act comes into effect next month, secondary legislation setting out the detail as to how it will apply in practice has yet to be issued.

Additional leave offered to unpaid carers

The Carer’s Leave Bill received royal assent on 24th May, allowing unpaid carers five days’ unpaid leave annually to provide or arrange care for dependent older, disabled or seriously ill family and friends. This leave can be taken flexibly, in either full or half days throughout the year, and is expected to come into effect in 2024.

While there are already employment protections in place to assist with caring responsibilities for children (such as parental leave allowing for 18 weeks of unpaid leave to be taken up to the child’s 18th birthday), to date no such legislation has existed for adult carers. Similarly to parental leave, carers will not need to provide evidence of how the leave is used and will be protected from dismissal as a result of using this leave.