The Neonatal Care (Leave and Pay) Act 2023 came into effect on 6 April 2025, providing new leave and pay entitlements for parents with a baby in neonatal care.
ACAS has issued new advice to employers regarding neonatal care leave in the workplace. The aim of this is to help employers understand what neonatal care is, who is eligible for leave and pay and how employers can support employees taking leave.
The right to neonatal care leave
- Any parent classed as an ‘employee’ is entitled to neonatal care leave from day one of their employment.
- An employee is entitled to one week of leave for each week their child spends in neonatal care, up to a maximum of 12 weeks leave.
- The leave must begin within 28 days of the child’s birth and last for a continuous period of at least 7 days (excluding the first day of care).
Neonatal care pay
To be eligible, parents must:
- Have 26 weeks of continuous service before the ‘relevant week’.
- Have earned at least £125 a week on average for 8 weeks before the relevant week.
The relevant week depends on other types of leave taken. If a parent is taking statutory maternity or paternity pay, it will be the 15th week before the baby is due. For any other family leave pay, it will be the week before neonatal care starts.
It is important to note that someone with the legal status of a ‘worker’ who is not eligible for neonatal care leave may be eligible for neonatal care pay.
What counts as neonatal care?
Neonatal care does not need to take place in a neonatal unit, it can include:
- Medical care in a hospital
- Care given to the baby after leaving hospital, under direction of a consultant
- Follow up monitoring and visits arranged by healthcare professionals
- Palliative or end of life care
When should a parent give notice?
The notice a parent is required to give depends on the tier of leave they are taking.
Tier 1 leave is the period when the baby is still receiving care, including 1 week after the care has ended. For tier 1 leave, employees must tell their employer before they are due to start work on the first day of leave. This will be after the child has already had 7 consecutive days of neonatal care. The notice does not need to be in writing and can be given verbally. Notice of pay must be given within 28 days, starting with the first day neonatal care pay is claimed.
Tier 2 is for the period outside the time the baby is receiving care and before the end of 68 weeks from the date of birth. For one week of leave, employees will need to give notice in writing at least 15 days before the start date. Pay notice for one week’s leave must be given at least 15 days before the first day that the pay is being claimed. For two weeks or more leave, employees must give notice in writing 28 days before the leave starts and pay notice must be given at least 28 days before the first day that the pay is being claimed.
Employers are encouraged to show flexibility with notice requirements during this emotionally difficult time. A friend or family member may also notify the employer on the employee’s behalf.
Supporting employees on neonatal care leave
Employers should try to maintain appropriate contact with employees who are on neonatal care leave, allowing a trusted contact as a point of communication, if preferred. Information about the baby’s care must remain confidential but employers should discuss with the parent whether colleagues should be informed to encourage a sensitive workplace response.
Some parents will not be entitled to neonatal care leave, for example, if their baby is in care for less than 7 consecutive days. Employers should remain flexible during this time, offering paid special leave or unpaid time off where possible.
It is important that employers have a clear process for parents requesting neonatal care leave and pay and this should be made clear in contracts and policies. If you require assistance in relation to the new act or help updating any of your policies, please contact a member of our team employment@wslaw.co.uk