The UK currently provides the ability, in many circumstances, for either parent to care for a new child during the first twelve months after their birth. The availability of Shared Parental Leave has, in theory at least, promoted more options for sharing of childcare between parents and more opportunities for parents to balance work and domestic responsibilities. Beyond the first year, however, options for new parents are extremely limited at present. There are narrow rights to unpaid parental leave, and right to request (but – of course – not to have) flexible working. Most employers, understandably, resist compressed hours working requests (i.e. working the same hours for the same pay but over fewer days) and the best potential option for many working parents is to request fewer hours of work for less pay. With the escalating costs of childcare the reality is that many parents are simply economically forced out of the workforce.
ReGenerate, a charity dedicated to innovation, research, education and advocacy, has an idea to change this. They are pioneering a (voluntary) policy under which working parents would have the right to work 80% of their normal working pattern for 90% of their normal pay. This would apply from the end of Shared Parental Leave (or other applicable family leave) until the child’s second birthday. This is a key period in a child’s development, and the benefits for families of such an arrangement are obvious. From the employer’s perspective, whilst this is a policy with an upfront cost, there is significant scope for it to have a positive impact on both recruitment and medium and long-term staff retention. Many employers also experience greater relative productivity and lower absence from employees who work less than full time. There are therefore real potential business upsides to adoption of such a policy.
Bates Wells is delighted to have been working (pro bono) with ReGenerate to develop a model policy for Extended Parental Rights, which anticipates the practical and legal issues that may arise in putting an arrangement of this kind in place. If employers are interested in finding out more, and potentially being an early adopter of trialling this approach, more information is available here, or please contact Lucy McLynn at [email protected].
The material in this article is provided for guidance and general information only and is not intended to constitute legal or other professional advice upon which you should rely. In particular, the information should not be used as a substitute for a full and proper consultation with a suitably qualified professional. Please do contact the Bates Wells team if you require further information.