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Tags: Neonatal Care (Leave and Pay) Act, neonatal care leave, PREGNANCY AND MATERNITY
Categories: Employment Law
The Neonatal Care (Leave and Pay) Act 2023 started out as a Private Member’s Bill (see our update here) and received Royal Assent on 24 May 2023.
In a nutshell, the Act gives eligible parents up to 12 weeks of paid leave to care for their baby in neonatal care. Whilst we are still waiting for the Government to publish the regulations that will set out the nitty gritty of how the leave (and pay) will work in practice, the Act comes into force soon so it’s a good time to think about preparing for it.
What is Neonatal care?
It is specialised care for sick or premature babies in a hospital’s neonatal unit. Most babies go into hospital within 24 hours of birth and only stay a few days or weeks. But some of the most premature and the sick babies can stay for months.
Who is eligible for Neonatal Care Leave (NCL)?
Employees from day one of employment who:
How much leave are they entitled to?
The length of NCL depends on how long the baby spends in hospital. The leave will be one week for every one week the child spends in neonatal care, up to a maximum of 12 weeks. This is in addition to other statutory leave entitlements such as maternity, paternity or shared parental leave.
If a week of NCL overlaps with prior pre-booked parental leave such as maternity leave, the parent can pause their NCL (and pay) to accommodate the other pre-booked leave. They can then tag the remaining days onto the end of that other leave (as long as they take NCL within 68 weeks of the birth).
Who is eligible for Neo Natal Care Pay?
Employees who qualify for the leave, will also be eligible for pay if they:
What is the rate of pay?
The rate of pay is expected to be in line with other statutory pay allowances (such as Statutory Paternity Pay) which is currently £184.03 or 90% of the employee’s average weekly earnings, whichever is lower. This rate will be reviewed in April of each year.
If an employer already offers enhancements to other types of family-friendly leave, then NCL should be treated the same to avoid potential discrimination claims.
What notice do employees need to give?
We are waiting for regulations to confirm the notice provisions. However, responses to the consultation on the Act suggested a two-tiered approach: 1. Very short, informal, notice for NCL taken very soon after the date of the baby’s admission to hospital and 2. A longer period of notice (one week) where the leave begins at a later stage.
What’s next?
Although we don’t yet know all the detail, it’s worth thinking about which of your employees, if any, might qualify for this right. If so, let them know they maybe eligible and what we know so far. Also, update your relevant family friendly policies to include an overview of NCL, pay and eligibility.
We’ll be sure to update you once the detail is published in the regulations.
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