The UK Government must address fundamental flaws in the parental leave system as part of its proposed full review, the Women and Equalities Committee (WEC) has warned. In a new report, Equality at work: Paternity and shared parental leave, the committee describes the system as “broken” and urges ministers to reject minimal reforms in favour of comprehensive change.
The WEC highlights several shortcomings in the current system, including low statutory pay, inadequate leave for fathers and other parents, limited eligibility, and design issues with Shared Parental Leave (SPL). The report warns that working parents will be failed by a review that does not fully address the scale of these problems.
Current statutory parental pay has not kept pace with inflation and remains significantly below the rates offered in many comparable economies. The WEC recommends that the Government raise paternity pay to 90 percent of average earnings for the first six weeks, to match statutory maternity pay during that period. Over the longer term, it suggests increasing pay across the system to a substantial portion of average earnings or the real Living Wage.
The report also calls for an amendment to the Employment Rights Bill or, at minimum, a commitment to reviewing a day one right to paid paternity leave. At present, the UK offers a maximum of two weeks’ paternity leave, which the WEC argues is out of step with the needs of families and reinforces outdated gender roles.
Sarah Owen MP, Chair of the Women and Equalities Committee, said, “It’s clear from the evidence in our Committee’s report that the UK’s parental leave system is in urgent need of an overhaul to fit with the reality of working parents’ lives. This must start with longer and better paid paternity leave.”
Improving access and equality across all working families
The WEC advises that statutory paid paternity leave should be gradually extended to six weeks over the course of this Parliament, using international models as a guide. The report also recommends the introduction of a Paternity Allowance for self-employed and non-employee fathers, similar to the existing Maternity Allowance.
Self-employed fathers are currently excluded from paid leave provisions, which WEC calls “deeply unfair”. The Committee says this group must be included in the Government’s review and urges consideration of options that provide equivalent rights.
In addition to addressing statutory entitlements, the report highlights cultural and social factors that may discourage fathers from taking extended leave. WEC recommends that the Government examine the effectiveness of initiatives such as the National Children’s Bureau’s A Better Start partnerships, which aim to increase male involvement in early parenting.
On Shared Parental Leave, WEC concludes the scheme is complex and difficult to access for both parents and employers.
Falling through the gaps
Nicola Wallbank, employment partner at leading law firm Freeths, told HR Review, “In the UK, the current right is for fathers and same-sex partners to take up to two weeks of statutory paternity leave. This must be taken within 52 weeks of a child’s birth and is paid at the rate of £187.18 a week or 90% of average weekly earnings (whichever is lower).
“The current system certainly does lead to many new fathers and same-sex partners falling through the gaps in the system, with the self-employed, or those who have not yet been with their employer for long enough (i.e. less than 26 weeks before the “qualifying week”) being entitled to nothing in way of paternity leave or pay.”
Wallbank added that in her experience as an employment lawyer, the take up of shared parental leave has been “very low” since its introduction over a decade ago
“The complexity of the regime (which many employees and employers don’t understand), and the fact that it effectively takes the leave away from the parent on maternity leave contribute to this poor take up,” Wallbank added.
Call for meaningful reform
Owen added that it’s “essential” the Government’s proposed review addresses the system’s fundamental failings.
“The UK’s parental leave system has fallen far behind most comparable countries, and we now have one of the worst statutory leave offers for fathers and other parents in the developed world. Countries which provide a substantial period of well-paid leave for all parents have on average a four-percentage point smaller gender pay gap than those that allow less than six weeks,” she said.
She urged ministers to implement medium-term reforms that would move the UK toward a more equal system, rather than opt for minor adjustments.
Claire McCartney, policy and practice manager at the CIPD, welcomed the WEC report.
“The system in its current form isn’t working, and there needs to be a holistic and thorough review from government, that supports better, fairer and fuller employment,” she said.
“In particular, we’re pleased to see the WEC’s recommendations to increase paternity leave up to six weeks at or near the full rate of pay, through a phased approach, and to simplify the currently very complicated shared parental leave system. The CIPD has called for statutory paternity leave and pay to be extended, to help balance caring responsibilities, provide much-needed financial support to working parents and assist with retention.
“It’s also important that the government review considers lessons learnt from successful international approaches and the steps it can take to reduce wider cultural and societal barriers to fathers taking more leave.”