New law grants parents paid leave for neonatal care
In our September 2024 Employment Law Update we commented on a new law that could entitle employees to statutory leave and pay if their baby requires specialist neonatal care after birth. On 20 January 2025, the government laid regulations to implement the Neonatal Care (Leave and Pay) Act 2023, which subject to parliamentary approval will take effect from 6 April 2025.
The legislation is expected to benefit around 60,000 new parents each year, enabling them to focus on supporting their new family without worrying about choosing between keeping their job and spending time with their baby.
Announcing the legislation, Employment Rights Minister Justin Madders said: “Parents of children in neonatal care have more than enough to worry about without being concerned about how much annual leave they have left or whether they’ll be able to make ends meet”.
There are two sets of regulations, one covering the right to leave and one covering the right to paid leave. Here’s a breakdown of employees’ key rights and eligibility for each.
Statutory neonatal care leave (SNCL)
- Only applicable to children born after 6 April 2025.
- Employees must meet certain criteria regarding their relationship with the child or the child’s mother:
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- At the date of birth, be the child’s parent, intended parent, or the partner of the child’s mother, or be the child’s adopter or prospective adopter, including from overseas
- Have or expect to have responsibility for the upbringing of the child
- Take the leave to care for the child
- Neonatal care must commence within the first 28 days after birth and continue without interruption for at least seven days, beginning the day after the day on which the care starts
- Neonatal care means:
- Medical care received in hospital
- Medical care received in any other place where:
- The child was an inpatient in hospital and the care is received upon the child leaving hospital
- The care is under the direction of a consultant
- The care includes ongoing monitoring by and visits to the child from healthcare professionals arranged by the hospital where the child was an inpatient
- Palliative or end of life care
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- The right to SNCL is a day-one right, with no minimum qualifying service.
- Employees are entitled to take one week of SNCL in respect of each qualifying period a child has spent in neonatal care, up to a maximum of 12 weeks.
- Leave must be taken within 68 weeks after the child’s birth.
- SNCL can be added to the end of other statutory leave.
Statutory neonatal care pay (SNCP)
- Only applicable to children born after 6 April 2025.
- Employees will need to meet certain requirements to be eligible for paid leave:
- They must satisfy the relationship requirements as per SNCL
- The type of care provided and the duration of the care must meet the requirements as per SNCL
- They must have been employed continuously for 26 weeks at the date 14 weeks before childbirth
- On the above date they must still be entitled to be in that employment
- The person’s normal weekly earnings for the eight weeks leading up to the above date must not be less than the lower earnings limit
- SNCP will be paid at same rate as for statutory paternity pay and statutory shared parental pay. The employee may choose how they receive this pay.
- Employees must give written notice to their employer of their intention to take leave along with evidence of their entitlement to SNCP.
The introduction of statutory neonatal care leave and pay marks a significant step forward in supporting working parents during one of the most challenging times of their lives. By providing up to 12 weeks of additional leave and financial support, the new regulations will help ensure that parents can focus on their baby’s health without the added stress of job security or income loss.
How can we help?
Employers should take steps to understand the new entitlements and update their policies accordingly to ensure compliance. For tailored advice on how these changes may affect your business, contact our employment law specialists Brendan Bah on 0113 487 3931 (or email ku.oc1742502672.fcl@1742502672habb1742502672) or James Austin on 01132 384 046 (or email ku.oc1742502672.fcl@1742502672nitsu1742502672a.sem1742502672aj1742502672).
