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Update on the proposed Neonatal Care Bill

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The House of Commons has published a briefing paper on the Neonatal Care (Leave and Pay) Bill 2022-23. The Bill, should it become law, would introduce leave and pay for employees who are caring for babies receiving at least one week of neonatal care.

Background

In the 2019 Conservative Manifesto, the party pledged to allow parents to take extended leave for neonatal care. The government consulted on these proposals in 2020 and, in June 2022, the Neonatal Care (Leave and Pay) Bill was given its first reading in the House of Commons.

Neonatal Leave under the Bill

As the Bill currently stands, the right to neonatal care leave will be a day one right, which means that an employee would not be required to work for a minimum period before they are entitled to the leave. It will also be available in addition to other family leave, such as maternity leave or shared parental leave.

For a parent to be eligible for the leave:

  • The baby must be receiving neonatal care or must have received neonatal care.
  • The neonatal care must have started within 28 days of the day after the child’s birth.
  • The neonatal care must be for a period of at least seven continuous days from the day after the child’s birth.

The leave must be taken within 16 months of the birth and will be for a minimum of a week. The maximum period has not yet been decided, but it is likely to be at least 12 weeks.

The Bill provides for Regulations to be made to deal with further aspects of the leave.

Neonatal Pay under the Bill

Not all employees will be entitled to statutory neonatal care pay under the Bill. There will be certain criteria that an employee has to meet:

  • They must have a parental or personal relationship with the child.
  • They must have been continuously employed for at least 26 weeks.
  • They must be earning more than the lower earnings limit in force at the end of the relevant week.

As with the neonatal care leave, the Bill provides for Regulations to be made to deal with the requirements for notice and evidence of eligibility, as well as for the rate of pay. It is likely that the rate will be the same standard rate as other family leave statutory pay, but this is yet to be decided.

Next steps for the Neonatal Care Bill

The Bill is currently having its second reading in the House of Lords, so it may be some months before it receives Royal Assent. That being said, employers should follow its progress closely: it has so far advanced with little criticism and if this continues it may come around quicker than we think.

Employers should also consider whether, if they do not have one already, a specific neonatal care policy might be of benefit to its employees.

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