The Government has recently published regulations supporting the Neonatal Care (Leave and Pay) Act 2023, a significant step forward in supporting families during challenging times. The legislation is set to come into force on 6 April this year and aims to provide much-needed support to parents of premature or sick babies, ensuring they can take time off work without the added stress of financial concerns.
What is Neonatal Care Leave and Pay?
Neonatal Care Leave and Pay is a new statutory right that allows parents to take up to 12 weeks of paid leave if their baby requires neonatal care. This leave is in addition to other parental leave entitlements, such as maternity, paternity, and shared parental leave. The goal is to provide parents with the flexibility and financial support they need during a critical period in their child’s life.
Key provisions of the legislation
Who is eligible and what are the entitlements?
From 6 April 2025, Neonatal Care Leave (NCL) will be available to parents of babies born on or after this date who are admitted to neonatal care within the first 28 days of birth and require a minimum of seven consecutive days of care. It is available to both parents, including birth parents, adoptive parents, and intended parents in surrogacy arrangements.
Duration and pay details
Eligible employees are entitled to one week of leave for each week their baby is in neonatal care, up to a maximum of 12 weeks. This leave can be taken in week-long increments and is in addition to other parental leave entitlements, including maternity and paternity leave. Statutory Neonatal Care Pay (SNCP) will be available to those who meet the minimum earnings threshold and have at least 26 weeks of continuous service with their employer. The pay rate will be £187.18 per week or 90% of average weekly earnings, whichever is lower.
What employers need to know
Preparing for compliance
Employers need to be ready for the implementation of these new regulations. This involves updating employment policies, training HR staff, and communicating the changes to employees. It’s essential for employers to understand the eligibility criteria and the process for applying for Neonatal Care Leave and Pay to ensure compliance and effectively support their employees.
Supporting your employees
Offering support to employees during this challenging period is crucial. Employers might want to provide extra resources, like counselling services or flexible working options, to assist parents in managing their work and family duties. Showing empathy and understanding can create a supportive work environment and boost employee loyalty.
Benefits for employees
Financial and emotional support
The introduction of Neonatal Care Leave and Pay offers essential financial and emotional support to parents during a critical time. This entitlement enables parents to concentrate on their baby’s health without the added stress of financial worries or job security concerns. It also ensures that parents can spend valuable time with their newborn, which is crucial for bonding and the baby’s development.
Ensuring job security
Employees who take Neonatal Care Leave are entitled to return to their original job or a suitable alternative role, ensuring job security during and after their leave. This protection is crucial for parents who may already be experiencing significant stress and uncertainty.
Comment
The introduction of Neonatal Care Leave and Pay represents a major advancement in supporting working families in the UK. It’s crucial for employers to ensure that all staff members are informed about the new policies and procedures.
How can we help?
Ruby Rai is a Senior Associate in our expert Employment Law team, advising on a wide range of employment matters, including TUPE, redundancies, and senior-level exit strategies, drafting policies, procedures, employment contracts and settlement agreements.
If you have any questions about Neonatal Care Leave and Pay or need help preparing for these changes, please don’t hesitate to contact Ruby or another member of the team in Derby, Leicester or Nottingham on 0800 024 1976 or via our online enquiry form.
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